If you are lucky enough to find a perfect home for you and your growing family, odds are there is going to be another bid on the property. When there is another bid on your perfect potential home, you have two choices: enter into a bidding war or find a new dream. Before deciding on one choice or the other, let’s talk about what a bidding war is as well as the best strategy in winning one.
What is a Bidding War?
A bidding war occurs when two or more buyers are interested in the same property. Each party makes can offer in hopes of winning the residential or commercial property. This increases the sale price of a property, encouraging a buyer to spend more. It is usually fast paces, urging buyers to make decisions quickly on how much they are willing to spend on the property. This process can cause buyers to have remorse over how much they end up spending.
How to Win a Bidding War?
The first part of winning any bidding war is to be prepared. Make sure all of your financing is in order and you have your down payment ready. This down payment could be your edge in winning the bidding war. When entering a bidding war, it is important to review all of the recent offers on the house to base your bids and conditions on them. It is important to make your offer in line with the most recent bid. To make your bid more appealing, consider making your contingencies more appealing to the offer. You can including the contingencies but specify that it doesn’t need to be done without 10 days of accepting the offer. To help win the war, you can even put in an “escalator clause” that will automatically submit an offer up to $10,000 over the highest submitted offer. You can cap the clause with the highest amount you feel comfortable paying for the property. Loosening up the contingencies and adjusting to the buyer will help you win the bidding war. For more information on buying your dream home, call Clagett Enterprises today!
Decorating Your Dream Home with Clagett Enterprises
At Clagett Enterprises, we have extensive experience serving the greater Frederick area and Western Maryland, since 1987. Our team is a full-service real estate company that’s ready to help you with your real estate needs. Speak with a Clagett professional at 301-665-6009, or request a proposal for preventive maintenance here.