August 4th, 2009
Multiple Offer Situations for Buyers
What are they?
A Multiple Offer Situation is when more than buyer wants to present an offer on a property at the same time. The relationship between buyer and seller goes from a negotiation to an auction, with the highest bidder winning. The Buyers have to compete to get an accepted offer.
3 Ways a Buyer can Win in a Multiple Offer Situation:
1) Hire a good Realtor who specialises in the type of property or area you are interested in. Ask them how many times their buyers have been successful in a multiple offer situation. The more success the better.
2) Be prepared! Make sure you are pre-qualified with a mortgage broker or your bank. This means you will have a written confirmation about how much they will loan you. Get as much information about the property that you can before you write an offer. This will allow you to have a shorter due diligence or “Subject Removal Period”
3) Know what you want to spend before you write the offer. It’s very easy to get caught up in a multiple offer situation. Your Realtor should do an independent market analysis on the property to give you an idea of value. Decide what you want to pay before the offer is presented and stick to it.
Check out the June Stats from the REBGV to get an idea of whats been happening in the Vancouver Market.
I’d love to hear your thoughts in the form of a comment question down below!