How to Compete With “All Cash Offers”
The Boston real estate market is competitive, very competitive. Here are some tips to consider when making an offer to help you stay on top when the property you want has multiple competing offers:
Get your loan officer to fully underwrite your mortgage before offering
A full commitment from the bank will allow you to wave mortgage contingencies effectively making your offer all cash… without being all cash. This makes your offer extremely strong in the eyes of a seller and protects you from losing any deposits when waving the mortgage contingency. This would take the place of a pre-approval and can be done by savvy lenders.
Write the seller a letter explaining who you are and how much you love their property
Real estate is an emotional game, being able to show a seller you are a real person and are going to take great care of their old home is sometimes the difference between having an offer accepted and moving onto the next open house.
Find homes that are overpriced and have been on the market for awhile
Low offers are never a good strategy when offering on something that has been on the market for 3 days. Listings that have been sitting for more than 15 days are generally open to negotiation. Great opportunity to get a deal!
Buy off market
Finding a home before it goes on the MLS is often a great way to negotiate without dealing with all the competing offers. Talk to a broker about finding a listing before it hits the market and try to get it under agreement.
