Everyone knows just how hard it is to compete in New Zealand’s red-hot property market at the moment, so are there ways to make your offer more attractive and appealing to sellers than all the rest? Here are five ways that just might tip the balance in your direction.
Tip 1: Having The Money Upfront
Getting pre- approval for a mortgage before you make any offer on a house is very important. Mortgage lenders can offer fully underwritten pre-approvals, so your credit has been checked and finances verified before you make an offer. Pre-approvals give sellers confidence that you are a safe bet and will complete the property purchase without difficulty.
Tip 2: Waiving Any Contingencies
Taking away any difficulties that sellers might have will highlight your offer to them. Finance contingencies mean you can back out of the deal if your mortgage falls over, inspection contingencies relate to inspections of the property, and sale contingencies are when you have to sell your existing home before following through with the sale. Waiving contingencies can be risky but can often be completed before an offer is written up so talk to your Harcourts sales consultant about the risks and rewards if you are considering this.
Tip 3: Up The Deposit
A deposit on a property is a ‘good faith’ deposit that reserves your right to buy but means you will lose the money if you back out of your contract without reason. If you really want to stand out, increasing your deposit is a good way of doing so and shows the seller that you want the property now!
Tip 4: Offer Beyond The Asking Price
Cash buyers often come in with lower-than-asking-price offers because of the benefits to sellers. If you have another cash buyer that is low-balling a seller, offering beyond the listing price may be a way of being very noticeable amongst the bidders.
Tip 5: Make It Personal
How about writing a personalised offer letter to the sellers telling them what you love about the property and why it is perfect for your family and/or pets? You could include photos of your family, differentiating you from other buyers and pulling at the heartstrings of sellers.
Remember, call or message me about any questions or ideas you may have on making your offer stand out.