We need first-time homebuyers. Yes, first-time homebuyers buying on an FHA loan. First-time homebuyers who might need some help from Mom and Dad. First-time homebuyers who will grow into sellers someday and, then, 2nd-time homebuyers. First-time homebuyers who want to put down roots and start a family.
We NEED first-time homebuyers to LIVE and WORK and CONTRIBUTE to their community.
Investors who bring all cash to even the most affordable home are putting a squeeze on this critical segment of the market. It’s a concerning trend but there are things we can do as buyer’s agents to boost our first time home buyer’s chances with a winning offer.
Recently one of our agents, Cassee Cunningham, listed a single family home for sale around the $200k price point. The house checked all the boxes like curb appeal, good condition, a nice yard, even a little garage. It was an absolutely perfect first time home buyer opportunity and the offers proved it.
Within 48 hours, Cassee had received over 30 offers. Thirty offers, of all shapes and sizes, for the same property, gave Cassee and her sellers a unique vantage point to compare and contrast each offer. Not only that, but it also gave them a unique perspective on the WAY the offer was presented. The experience solidified what 5 Points views as necessary to make a winning offer.
Whether it’s a field of offers to review or just one, attention to the details is arguably the best thing a buyer’s agent can do for her buyer’s offer.
Your agent should place a high priority on the following:
MAKE SURE THE OFFER FORM IS COMPLETE.
- Double check all information is filled out on the offer to purchase and contract.
- Make sure all names are spelled correctly.
- Make sure you indicate buyer’s have been given the applicable disclosures.
- Make sure there are no obvious errors or questions left unanswered.
PRESENT ALL SUPPLEMENTAL DOCUMENTATION WITH OFFER.
Disclosures, Addendums, letters etc.
SEND THE PRE-APPROVAL LETTER WITH OFFER!!!!!
If an offer comes without a pre-approval it goes to the back of the line.
PUT FORTH YOUR HIGHEST AND BEST OFFER FIRST
Time is of the essence with these sales. Don’t waste the buyer’s or the seller’s time. Bring your best.
GO AS BIG AS YOU CAN ON DUE DILIGENCE
In this market, seller’s should not have to wonder if the sale is going to stick. Submitting an offer with a really low Due Diligence fee for a long Due Diligence period just won’t compete with other offers and sends the wrong message.
DON’T ASK FOR SELLER PAID CLOSING COSTS
With 30 offers to choose from the buyer’s who didn’t ask for seller paid closing costs were moved to the front of the pack.
In all of the offers on this home in question, not once was raising the purchase price mentioned.
The buyer’s agent was clear, detail oriented in her presentation of the offer and left no detail for the seller’s agent to chase after.
At the end of the day, Cassee’s sellers chose a buyer that was not an investor. The buyer loved the house and was planning to live there and was excited to be part of the neighborhood. And that’s the kind of transaction we fully support!