Homebuyers and the Bidding War

Homebuyers Caught Off Guard by Bidding War

That’s the title of an article that I read yesterday on Realtor Magazine online  Immediately I thought surely their real estate agents have been sending this message with tremendous emphasis.   The fact is that it should not be any surprise and in my opinion “caught off guard”does not accurately describe what’s happening.

Speaking from personal experience, I have been warning buyers that they better come with their A-Game for months now.  And I know many of my fellow agents have been doing the same thing (warning about bidding wars)  for even longer than I have.

The article made me wonder where they got their information from.  I feel almost certain that the vast majority of us have been doing our job and warning buyers that the real estate landscape was changing (as it was changing).

This is just my take, but I think the caption or the title of the article should have been “Buyers Are Now Starting to Believe What Their Agents Have Been Telling Them All Along:  There is a Bidding War Going On.

Time to Step Up to the Plate

With the caliber of the inventory being less than stellar, buyers must realize that when they find that gem or diamond in the rough, they best come with the best that they have to offer.  Because just as sure as they fall in love with a property, there will be others falling in love with it almost simultaneously.

Monkey around if you will, you’ll find yourself making offers for the sake of making offers and in the end, settling for less than your heart’s desire all because…………………..well I’ll let you finish that sentence.

Here’s my advice to buyers, when you happen upon that house that has all of the makings of home, it’s no time to play games and play like the savvy negotiator.  Have your Realtor® or real estate agent review comps with you to see what homes have been selling for in the area and then make your offer accordingly.  If you don’t make your offer based on the available data, then you can probably kiss that home goodbye and try to become friends with the new owners so you’ll at least have a chance to visit the home that you lost to them.

 

 Birmingham-Hoover Metro Area Rental and Real Estate

I, Charita Cadenhead, am a trusted and competent Realtor®.  Bham WIiRE Realty is a small fish in a big pond, but we can swim with the best of them.  By continually sharpening my skills and remaining dedicated to my craft, you can trust and believe that every client, without exception, gets the very best service that I have to offer (before, during and after the sale).  And that, without compromise, is Bham WIiRE Realty’s promise to you.

Whether you’re looking to buy real estate your sell your existing property, call or send me and email today, so we can discuss how I can best serve your Birmingham-Hoover Metro area real estate needs!

You’ve Got Options!

Charita H. Cadenhead Bham WIiRE Realty, LLC (205) 321-1200 – Office (205) 527-1112 – Direct (888) 371-8221- Fax

 

Comments

  1. Ray Roman says:

    Totally agree with you on this one Charita. A couple of times already we have had buyers who wanted to play ” Donald Trump” and made low ball offer on houses we advised were above and beyond what was available in the market at the price range. Both times our buyer lost to someone who entered a more aggressive offer.

    Some buyer seem to think that due to high inventory “all” house can be bought cheap, but that is so incorrect. Crappy houses can be bough cheap, nice well maintained homes are going to go at a fair price.

    • Charita Cadenhead says:

      Ray buying a home is very serious and home buyers should treat it that way and not as some game. People will spend hundreds of dollars on shoes just because that is the price that a store has the shoes marked. But when it comes to a home, there is price haggling that often leads to the homebuyer losing out. That’s not a good feeling Ray.

  2. Great thoughts Charita. I believe most people think they can submit lowball offers because it’s a “buyers market”, and they think they have the upper hand. It sounds like this is not a good strategy though and just not realistic.

  3. This is my First attempt to Flip my property and I don’t know much about the game. What I have read always leads me back to having a goog real estate agent. One with experience and know how. I am about to attend a three day workshop by Scott Yancey to learn the basics. Any advice or help would be great. Call me at 205-xxx-xxx. Thanks

    • Charita Cadenhead says:

      Robbie,

      Having a good real estate agent is the best first step in the process of selling and getting ready to sell your property. An agent will guide you in setting a list price for you property based on sales of similar properties in the area. This is what is called market value.

      Every investor wants to make a profit on their investment when selling, but pricing the property above market value is not the route to take. In some cases, homeowners whether owner occupant or investors, are not in a position to sell their property. Check out this article that I wrote a couple of years ago about “Bringing Your A Game.” In the meantime, I’ll do a little research on the info you provide me and get back with you.

      http://www.bhamwiire.com/birmingham-real-estate-investors-better-bring-your-a-game/

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