Simple Steps to Making a Home Offer
It finally happened. After months of scouring the internet and going to showing after showing, you are ready to make a home offer. There is a lot more that goes into making an offer than randomly picking a home offer price.
But don’t let it cause you stress.
Follow these 5 easy steps to make a home offer that will help you secure the house of your dreams:
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Determine a Reasonable Price
If you want to make a home offer that is going to be accepted, you need to do research to find out what the realistic value is of the house. Making a lowball home offer might lead the seller to not want to work with you.
Find out what you can about the seller. Are they in a hurry to sell? Did they buy the house recently or have they been in it for years? The more you know, the better your chance will be of choosing a price that the seller will accept.
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Get Pre-Approved First
To show the seller that you are serious, take the time to get pre-approved before you make a home offer. Ideally, you should be pre-approved before you even begin searching for a house to buy. Sellers will be more likely to want to work with you if they feel confident that you will be approved for your mortgage.
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Write a Professional Home Offer
The best way to write a professional offer is to work with a professional real estate agent. Your agent will help you to write an offer that protects you in the process. There are many terms and contingencies that can be included for things like a home inspection or appraisal.
There are many parts of writing an offer that should be left to a professional that is familiar with the regular terms that are included. A real estate agent will include things such as finance terms, escrow details, possession date, and closing date. If you are unfamiliar with this process, you could end up agreeing to something you don’t want to.
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Keep Your Down Payment Safe
When you make a down payment on a house, you want to make sure your funds are protected in case there is a problem and the deal falls through. You want to make sure you can get your down payment back to use on another house.
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Work the Negotiations
After you have established a price and set all of the terms and contingencies, it is time to submit the home offer. As soon as you take this step, it is out of your hands and up to the seller. Be ready to negotiate. The majority of homes that are sold go through a back and forth process of negotiations. Be ready to give a little to get the house that you want.
When you and the seller agree on the terms of the home offer, you are able to move into the escrow process. Make sure to stay in constant communication with your real estate agent to keep the process moving. Then you are on your way to homeownership.