There is an intrinsic connection between art and science. Though the two seem radically different, each discipline can dramatically influence the other. Both include observation and discovery, as well as ingenuity and passion. This duality is evident in many fields, from technology and engineering to astronomy and architecture, and yes — even real estate! Realtors pore over data, preview properties and fill out piles of paperwork with diligence. If those ingredients alone were a recipe for success — anyone could nail it. They'd have an app for that — with an algorithm designed to find your dream home every time. But there is much more involved — not only in pursuing the perfect property but being the one who wins when there are multiple offers on the table.
There are many ways your buyer's agent practices her art while leveraging the science of home buying. She takes the time to get to know you — your wants, needs, likes, and dislikes. She makes suggestions, speculates, and uses her best judgment, starting with potential homes you might have overlooked, guiding you through the pivotal financial planning, and moving on to pricing strategy. Next is when science and art truly merge. Armed with all the facts, figures, and info she's accumulated, your buyer's agent wields her powers of intuition, instinct, and experience during the most crucial stage — the negotiations.
In today's market, we have conditions that we've never seen before for both sellers and buyers. There is a radically low inventory of properties for sale on our coast, still-low-interest rates, combined with a huge demand for property. The result? When a house hits the market, there can be a feeding frenzy of buyers clamoring for it, and the possibility of a multiple offer situation is real. This scenario doesn't happen every time, and even when it does, it doesn't have to be bad news — and it particularly doesn't have to be bad news for YOU!
Here are a few tips and tricks our MCKRE buyer's agents have learned from all their years of local experience and mastering the art of victory in multiple offer situations. We share a few of our secrets with you below:
1. You don't necessarily have to have the highest bid to be the winning bid. There are other variables at play, including how much non-refundable money you are willing to put down, offering a flexible closing date, a shorter due diligence period, or adding an appraisal guarantee — where the buyer agrees to pay the purchase price, even if the bank-ordered appraisal comes back with a lower value.
2. You don't have to be a cash buyer to compete. To echo sentiments shared by RZA from Wu-Tang about having a cache of cash, "You [can't] punch your way out of a wet paper bag with a pair of scissors in your hand." Truer words were never spoken. And, with your financial ducks in a row, a pre-approval letter in hand, and your loyal buyer's agent adviser at your side— you are 100% ready to hop in the ring!
3. There is no single "hot" season in real estate. It's a misconception that multiple offer situations only happen during the busiest times of the year, like summer. Folks often mistakenly think there is one time period of selling and buying homes that is busier than all others; like the Carolina tides, our local market ebbs and flows. There are indeed intervals that tend to be more active. Still, with current conditions combined with the allure of our crystal clear waters — there's always a chance a multiple-offer situation will be in the pipeline.
4. Multiple days on the market doesn't guarantee that your offer will be the only one. Buyers can be caught off guard by a property that is still available after days or weeks, believing multiple-offer situations are no longer possible. The thing is… the longer it's been listed, the more people who've seen it. And, news travels fast if the listing agent is good. The moment one offer is submitted, that agent will reach out to the ones who maybe had been on the fence to let them know there's competition now — et voila! Multiple offers.
5. BONUS TIP: As Realtors, we have a good idea of the market, and we make it our goal to prepare you for what to expect throughout the process of home buying and coach and support you accordingly. We have data, experience, and tools at our disposal. What we don't have is a crystal ball! (if only!) It's impossible to predict just how much over-list price buyers will bid in multiple offer situations. What we do know is that it's best to assume this is YOUR ONE AND ONLY SHOT at this property that you love. To determine how much this property is worth to you, imagine you've received word that the seller selected another offer, and when the property closes and you learn the price— if you say to yourselves, "We would've paid that!" That is your number. And then let the chips fall where they may.
Reach out to our buy team today and let us help coach you to victory!
252.518.5222