Multiple offer situations are frustrating for buyers.
Sometimes a property will sell for just 5 K over and sometimes they sell for 150 k over asking. So, how in the world do you know what price to offer?
You don’t want to pay way over the market value just to beat the others but you also don’t want to risk losing out because you didn’t go in high enough.
The most important thing in these situations is being able to trust and depend on your agents knowledge and skills. It is our job to know the comparables and what the house’s actual value is, based on a number of variables.
The secret sauce is in predicting how the seller and other bidders will analyze the comparables.
There are other factors that we can use to make your offer more enticing. Closing date, a higher deposit, letting the sellers leave behind any belongings (this is huge for those down sizers) and personal notes (sometimes this helps for sellers who are holding onto a lot of memories in the home).
We gather as many details as we can on the sellers and their motives to help make our offers more attractive.
At the end of the day the most important thing to remember is to not let your emotions take over. Make sure you’ve got a solid understanding of the true market value. Have a budget in mind and stick to your budget. When offer 5, 6, and even 15 come in, don’t let those emotions force you to make a decision you’ll later regret.