Fridays with the Fiddle Fig: Making your offer more attractive
How to make your offer more attractive
Without raising the price!
Here are 3 ways we help our buyers make their offers more attractive without increasing the purchase price.
1. Shorten the buyer contingency periods. The contingency period is the time a buyer has to look into a property and still have the option of backing out without having a monetary consequence. By shortening these timeframes it will show a seller you are willing to commit 100% to buying a property sooner which decreases the sellers risk of choosing you as a buyer.
2. Increasing the earnest money deposit. Earnest money is the money a buyer puts into escrow when escrow is opened. It shows the seller that you are willing to put some skin in the game while you inspect the property and acquire your home loan. This money is 100% refundable as long as you have your contingencies in place and is used at the closing towards your downpayment and closing costs. By increasing it from 1% to 2% or 3% it shows a seller you are very serious about the property and that you have a much higher commitment to purchasing it.
3. Shorten the total escrow time. In San Diego a typical escrow is 30 days. This is the time a buyer has to investigate the condition of a property, verify its value and secure a home loan. Often times sellers want to move on and possibly purchase another home so, by shortening the timeframe from 30 days means the seller will be able to move on and find a new home sooner.
These are just some of the many tactics we use to help secure a home for our buyer clients at a price they are comfortable paying.