How to Win a Bidding War

how to win a bidding war

 

Have you recently entered the real estate market and have been shocked with how many bidding wars and bully offers there are in the market place. 

Have any of these phrases stumped you:

  • "Offer Date April 12th at 7 PM. Bring Best Offer."
  • "No Pre-emptive offers being accepted"
  • "Seller reserves the right to pre-emptive offers"
  • "Bully Offer" 
  • "There are now 24 offers registered on the property" 

Don't be surprised. With the high demand on detached homes and little supply almost every (or every other) property holds Offer Presentation Dates. What's that you ask? It's the schedule presentation time where agents go and present offers infront of the owners/listing agent. Usually a week after the property hits the market. 

We're here today to give you 8 Strategies on how to WIN your next bidding war. Warning: we won't be giving away all of our secrets, schedule a meeting with one of The Connexus Group members and we can help you through the process.  

1. Crunch Numbers

Before you even begin your purchasing journey, crunch some numbers. Call a mortgage advisor and find out how much you can really afford. Get pre-approved. Know your monthly budget. 

2. Timing is Everything

Bidding wars happen fast and there is plenty of opportunity to miss out on a home. Be prepared to move fast. When/if bully offers are accepted, put one in. Know the seasonal markets. This goes back to supply and demand. If you're a buyer you want to be on the edge. 

3. Be Flexible 

Offers in today's market are coming in firm. What does that mean? It means no conditions on financing, inspection or anything! Be open minded to moving up in price.

4. Deposit Herewith:

A good buyer's agent should be presenting your offer in person with a bank draft regarding deposit in any circumstance possible. No contract is completed without consideration and execution. Consideration in the form of a deposit can give you the competitive edge.

5. Write it Down 

Talk is cheap in today's market. No seller is going to wait on a "phantom offer". An offer is only as good as the paper it was written on.

6. Get Creative

You may be surprised as to how far a good story can go. If you can pull at some heart strings you may be able to win. Share your personal story; share your why, why would you like to live in their home. Personal touches leave lasting impressions. Toss in a photo of the family while you are at it. 

7. Know When to Walk Away

Not everything is worth fighting to the last beat. Know when too much is too much in today's market. Don't be that fool that over pays for undervalued property. 

8. Use The Connexus Group Agents. 

This one might seem a bit obvious...because hey let's admit it, you're here on our website. But we pride ourselves in our winning streak and it's solely based on three strategies that we've put into place. I'm not going to give away our secret. But know that these 3 strategies are solid and have been proven to win a bidding war. We will explain all the terminology and hold your hand every step of the way.