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Buying a new house is harder than it looks. It is not just about finding the perfect house for your family but the legalities and bidding takes the best of every homebuyer. If you have the right home in your sight, the next step is to make an attractive offer without getting into a bidding war and if you do get into it, closing the deal without overspending is the ultimate goal.
5 Tips to Make the Right Bid for Your Dream House
- Understand the market: Are you in a buyer’s market? If you have chosen a house in the buyer’s market, you are in luck. Generally, sellers accept low-ball offers in a buyer’s market. On the contrary, a good house in a hot market is likely to get multiple offers and you must avoid getting into a bidding war. The key is to understand the current market prices and make a bid accordingly.
- Survey the neighborhood: One of the best ways to find out more about the property and the neighborhood is to ask the neighbors. You can start by asking about crime rates, construction plans, noise levels, and similar qualities. If something doesn’t seem alright, withdraw your offer or lower it.
- Consult your agent: You have hired your real estate agent for a purpose and it is best to ask for his/her advice. Every expert realtor has an idea of the local market trends and prices. They will be able to suggest the best price of the property and help you in writing an offer for the homeowner.
- Know more about the seller: Having an exact idea of the reason behind selling the house is helpful in making an offer. If the seller is shifting to a new city or has already moved out, it is the perfect time to lower your offer. Look out for hints like the time for which the house has stayed in the market or if it has been listed prior to this listing.
- Use contingency clause to your benefit: The most important part of making a bid is to include contingencies that can protect you against unforeseen issues. Ask for a professional inspection contingency, which will allow you to withdraw an offer in case of a major repair. You can consult an expert legal attorney for structuring contingencies for best results.