4 Tips For An Effective Offer

Recently this column focused on tips for selling; this month we look at buyers.

1) Understand how much you can afford. Don’t make an offer on something you won’t qualify for, wasting the time of the seller, and more importantly, taking yourself out of play during your offer period and perhaps missing out on a property that you really could have afforded. Have a reputable lender prequalify you, or even better, pre-approve you.

2) Act fast – A normal market holds six months of inventory. Right now, the country is at 3.7 according to the National Association of Realtors, but So Cal is at less than 2 months. Don’t have paralysis of analysis.

Be ready to go, settle all the doubts and worries first, so you are prepared for the normal buyer’s remorse and can diffuse it.

3) Write a solid offer — This is not the market for smoke and mirrors and low balling. Do that and lose out on your dream home.

4) Be prepared to negotiate. So maybe you don’t get the patio furniture, or maybe they want to leave behind the junky patio furniture. Maybe they want a longer escrow. Be flexible, sellers are in the driver’s seat right now.