Here are my top five tips to help you navigate a bidding war for your home.
If you’ve been following my video blog, you know that the real estate market has been moving at a feverish pace. In fact, average home prices in Snohomish, Skagit, and Island counties are all up about 20% compared to where they were a year ago. Tight inventory has caused a lot of bidding wars to happen out there. If a bidding war isn’t handled well, a buyer could pull out early or the seller could be under contract in a transaction that won’t even close.
As a seller, the question then becomes: How do you ‘win’ a bidding war? Here are my five top tips:
1. Work with an experienced Realtor. You shouldn’t be trying to sell your home on your own or work with an inexperienced Realtor in this market.
2. Try to purchase your new home before selling your current one. This will reduce your stress tenfold.
“Keep in touch with other prospective buyers in case something happens to your top bidder.”
3. Understand that in this market, the sale price will be higher than the asking price (and the appraised value). If you work with an experienced Realtor, they’ll be able to get the buyer to pay the difference between the appraised value and sale price.
4. Avoid looking at offers based solely on sale price. There are so many things to look at in an offer, including the down payment, earnest money, escalation clauses, contingency waivers, etc.
5. Keep in touch with your backup offers. Until both parties have signed the sales contract, it’s not a done deal. Keep in touch with other prospective buyers in case something happens to your top bidder.
If you have questions about this or any real estate topic, call, text, or email me anytime. I’d be happy to help.
