Today is a great day for Karly. For you long-time readers, Karly should sound familiar. We have been working together for almost a year and have been through several misadventures and run across some odd things during our time together house hunting.
She finally found her perfect new home and was ready to put in an offer. Unfortunately, this perfect home of hers was very reasonably priced and was drawing a LOT of attention from other buyers. But Karly wasn’t scared. She was ready to do whatever it may take to win the bidding war and get her into her dream home. We came up with a multi-layered strategy and quickly got to work.
To make ourselves stand out above the rest we did five things.
1) The love letter. Karly wrote a letter to the owners explaining a bit about herself, why she loved the condo, and why she could see herself living there. She even included photos of her, her twin sister, and her soon-to-be dog. The sellers fell in love with her because of the letter and looked more favorably upon her offer.
2) She offered a large Earnest Money amount. This proved to the sellers she was serious about buying the home and would put her money where her mouth was.
3) Offered an escalation clause far above the list price. The escalation clause protects Karly from paying more than she needs to and allows her to set her final price before the emotions of contract negotiations take over and she ends up spending more than she wanted. She also chose an odd number, which really worked in her favor since she beat out the second highest offer by just $1,100!!!
4) We did a pre-inspection. This is where we hire (and pay for!) an inspector to come out to inspect the property before we even submit an offer. This can be risky, since if your offer isn’t accepted, you are out the money for the inspection. Sellers LOVE when buyers complete pre-inspections. They can rest easy that the buyer knows the condition of the home and is willing to move forward to buy it. One less way for the buyer to back out of the contract and one less concern for the seller.
5) A FAST closing. Karly opted to get her mortgage through a smaller, local bank. This allows her to speed past some of the hurdles of the larger banks and close in less than 30 days. The sooner we close, the sooner the seller gets his money. And the more he likes us.
It wasn’t any one of these things that made ours the winning bid. It was the combination of them all. We wanted the house, we put in the work, took a risk, and ended up winning in the end. I love a happy ending!!