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  • Ron Goldan | 908.253.9700
 

How To Make An Offer On A Home

Making an offer on a new home is a challenging process. You do not want to end up with a home loan that you cannot afford, or a low ball offer that will be passed over. How can you make an offer on a home that will be ideal for you and the sellers? Here are some tips that will help you make an offer on a home.

Comparative Market Analysis

 

The comparative market analysis (CMA) is the most widely used method to calculate the value of your property. It will help you get an idea of what is a fair offer on a home. Some of the things a CMA will break down to help you decide on the best offer include comparing your property to others in the area. It usually picks on essential characteristics like bedrooms, bathrooms, lot size, and home square footage.

 

Your realtor can help you come up with the right information you need to make a valid offer. They will go into the MLS system to search for properties that are similar to the one you are planning to make an offer on.  Search for homes that are for sale within about a mile around the property you are planning to purchase as it can help you get an idea of the price value. Research back at least 6 months to get a good idea of the properties that have sold as it will help you to come up with a good offer for the home.

Check the Sold Price

 

One of the most important figures to look for is the sold price, not the list price. The difference between what the people are asking, and what they sold the home for will give you an idea of what a reasonable offer is for the home. The list price is an asking price; you have the ability to control what the sold price will be by submitting a fair offer.

Use the Right Terms

It is important to look at the different terminology when you are trying to write an offer the seller will review. Using a cash offer is one of the best ways to get a seller to pay attention. If there are several offers on the table, cash is the best way to motivate a seller to be proactive with your offer. Getting your offer in quickly is essential, especially if you are working with a motivated seller. One way to help your case is to tell the seller you will not lower your offer if the inspection shows a lower value for the home. People will appreciate that you are placing value in their home, and it can sway them in your favor.


Making an offer on a home is easier when you can consult with a good realtor. After all, they do this for a living and can help you word your offer correctly to sway the buyers in your favor!