Here’s how to win a new home bidding war

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Needless to say, buying a new home is more difficult than ever right now.

Recently the nation has been hit by a lower supply of homes and that sent prices skyrocketing. We have some suggestions on what to do if you’re trying to buy a new home right now.

According to money.com, about half of United States homes sold for more than their list price last month.

That put potential home buyers into bidding wars just to get the home they want.

Some reports even show that some homes in Texas are selling $100,000 or more above the asking price.

The number one tip most financial experts will tell you is to get pre-approved for a mortgage.

This can help you figure out what you can afford.

Then, shop for homes that are listed at prices below your ceiling so you have room to make an offer above the asking price when you do find a house you want to bid on.

Pre-approved offers can also make sellers much more confident in your ability to buy.

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Next, one of the easiest ways to secure a bid is to make an all-cash offer.

If this is something that seems out of your reach, real estate brokers say the tactic against this kind of bid is making sure you can have a bid above the asking price.

So how much over the asking price should you be considering?

According to Money.com, on average, homes have recently sold for 1.7% above the list price.

Real estate agents say you should give your highest offer from the get-go because most sellers don’t like to make counteroffers and just want to go with the best offer they see.

Next, make sure to broaden your horizons.

In such a competitive market, experts say try considering homes that need some refurbishing or look at neighborhoods or communities that are a little further from the popular areas.

Finally, find an experienced real estate agent who knows about creative strategies for winning bidding wars .. and knows about using contingencies to protect yourself as a buyer.

Copyright 2021 by KSAT – All rights reserved.

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