The topic on Real Estate 101 (a weekly podcast and Facebook Live show where we aim to give you tips on the Real Estate market in Rutherford County) this week was how to stack your offer so the seller cannot refuse. GTT (aka Good Time Tommy, Tommy Davidson) explains the all that it takes to win an offer in a sellers market.
Before we dig into this, please note that the example being used is on a $250,000 home listed for sale in April of 2018 in Murfreesboro, TN. So if you are going to go out and buy a house today, in this price range, and you are certain (without a doubt) that this is the house that you want be aware that a lot of people around you are going to tell you to NEGOTIATE. “Get it cheaper.” “You could save $1,000.” “You know they mark these houses up.”
Here is what you need to understand. Whenever you can get into the home before the market, you have a leg up. You have an opportunity to shut this deal down.
I have a list of 7 things you can do to stack your offer so the seller cannot refuse. Now some of these ideas will probably make your agent and you uncomfortable but I am going to be honest with you with what it will take in a Sellers Market right now if your home is priced in the range of $250,000.
*Please note that these ideas are just our opinions. We are not telling you that you must do this.
Remember this is for the house that you want. You need to be 100% certain this is THE HOUSE.
1. You BETTER be using a Local Lender. This lender needs to have a reputation of getting things done. Using an online lender or an unknown lender will create doubt in the sellers’ mind that this deal will close or even close on time. The probability starts to drop and the seller might “shop” other offers.
2. Don’t NEGOTIATE the Price. If the house is UNDER $200,000, you would be LUCKY to pay list price. If the house goes to “market,” the seller will get an ABOVE listing price offer.
3. When bidding ABOVE list price, don’t include appraisal contingency. This allows you (the buyer) a way out of the deal.
4. No Inspection. The market is dictating an offer with more money, better loan, and no contingency. If you’re house is under 20 years, use the money that you would have spent on an inspection and purchase a home warranty. If the house is over 50 years, then yes we would recommend a home inspection.
5. Put up a NON REFUNDABLE Earnest Money. This shows the sellers that you are serious about your offer. The more certainty you can give the seller, the more likely you will win the deal.
6. Have the Lender call. When the lender calls the listing agent, it creates certainty with the agent and the sellers.
7. The Buyer Agent must SELL CERTAINTY. In a debate, whoever is the most certain wins. If the agent shows weakness, than that reflects that the contract is not stable.
Are you in the market to buy or sell a home? Everything we do, we believe in challenging status quo-We believe in thinking differently.
We combine our bold marketing movement with our ability to assist in regulating your emotions as we help navigate you through the process.
Our mission is to take you from confusion to clarity and to position you in a point of leverage whether you’re buying or selling a home.
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Hi. I am Tommy Davidson, aka GoodTimeTommy #GTT, and I am a real estate and self improvement entrepreneur in Murfreesboro, TN. I have over 14 years of experience in real estate sales and the past 5 years I have started playing up to my level.
I hired a coach and surrounded myself with those who were better than me. I have read over 1,000 hours of sales training and constantly improving myself daily.