1. You’re not flexible on the timeline.
The most important part in making an offer is the timing. Some sellers will be looking at the terms in their specific situation while other may need more than a month to move out. There are also the sellers who have vacated the property and are anxious to unload it as soon as possible. All of these situations are important in customizing the length of the closing period to meet and exceed the seller’s needs. Have a Raines Group real estate agent find out what the sellers need and let them know that you can accommodate them.
2. You don’t have your paperwork squared away.
The next most important part is to become pre-approved for a mortgage before you start your home search. If you have not been pre-approved then your chances of landing the purchase of the home are going to be slimmer. If you do not have the financing in place to make your initial down payment and closing costs, then it doesn’t really matter how many dollars you are going to promise the seller because they are going to turn their interest to those who are pre-approved first. When you are ready to make an offer it is important to have a pre-approval from 30 days or
less.
3. You’re asking for too many contingencies and concessions
For the home that you are bidding on, you will not only want to go in with the highest offer after you are pre-approved, but also with the cleanest offer. You want the deal to be as clean and competitive as possible so that if your seller decides to take it there is a very high chance that the sale with go through. A potential turnoff from the seller could be that you have not sold your house first which could mean that you still might potentially not be able to move in as soon as possible. Another turnoff would be if you are asking the seller to pay all of your closing costs. For example if a home is listed for $500,000 and you are able to pay $510,000 then put in $510,000 with a seller’s concession.
4. You’re requesting too many things to be included in the home
When you are talking to the sellers about what all can be included in the home don’t go overboard or that might cause them to ignore your offer and go with someone else’s. If there are specific items not placed on the listing agreement as included then it is highly suggested that you don’t ask for them to be included. This may frustrate the sellers as well. It is better to place a lower offer and purchase the house
how it is rather than having a higher offer and asking your sellers to include all their drapes, appliances, hot tubs, etc.
5. You have not expressed your love for the house.
While you may think that your bid is the highest, there are often many very similar offers on the table. When similar offers occur the sellers will start to look for other factors to decide on who they want to purchase their home. They will factor in how much you liked the home when you first saw it, how badly you want to make the purchase, whether or not you are planning to remodel a large portion of the home to accommodate your needs and more. It is best to tell the sellers what type of family you are and why you want their home more than other home buyers. Emotional appeals will work more for a family selling the home, but for an investor, they are going to be more concerned about the highest offer.
6. You gave up after your offer was initially refused.
Lastly, if the sellers decide to reject your bid for some reason, it is important that you don’t give up right away. Many times there are contracts that come in way over the asking price and end up with a higher cancellation rate. This can happen due to the buyers not having pre-approval, and financing falls through or they may just lose interest and find a better home nearby. If your offer isn’t picked make sure to let the listing agent know that if there are any problems with the accepted offer to let you know. Your offer might have been the next most attractive offer to the seller and if plans fall through then the home could end up being yours.
