When it comes to buying homes for sale in South Lake Tahoe in the fall, most buyers don’t think of having to deal with a bidding war. After all, the madness of the spring and summer markets have calmed down, kids are back in school, the holidays are on the horizon and things have calmed down……right? Not necessarily. First, it is important to know that a bidding war can happen even in a buyer’s market. If a great property is priced right, there will be multiple interested parties. Second, South Lake Tahoe real estate is a second home, resort market so we don’t play by the same rules as a regular urban or suburban residential area. So if you have finally found the home of your dreams, but it turns out it is also several other parties dream home, here is how you can get ahead and win the bidding war.
Have a pre-approval letter
Any South Lake Tahoe Realtor will tell you that before you start touring homes for sale in South Lake Tahoe, you need to get pre-approved. Not pre-qualified as there is a difference. When you go to a lender and get pre-approved, you know exactly how much you can spend and what your buying power is. Having a letter with proof of funds may not win you the war, but it WILL get your offer to the top of the list. Seller’s prefer a buyer who has proof of funds instead of someone who really just has a strong interest.
“Show me the money!”
All cash offers carry a LOT of weight in a bidding war. Don’t have that much cash lying around? There are still ways you can show you are serious and have the funds. One great way is by making your down payment as big as you possibly can. Another great way to get a seller’s attention is to offer more than the ask price on homes for sale in South Lake Tahoe. You don’t have to come in over the top, but a couple extra grand could swing the pendulum in your favor. Of course, you don’t want to OVER pay what a home is worth so work closely with your South Lake Tahoe Realtor on this one.
Put a rush on those contingency timelines
The contingency period allows a buyer to back out for various reasons. When a seller wants a quick close, you can show them you are serious by shortening that time up. For example: If the inspection contingency is generally a couple of weeks, make yours less than 1 week. Also, remove as many contingencies as you possibly can without putting yourself in a situation that could backfire. Sellers don’t like getting the call that their home is Back To Active because the sale fell through due to a contingency. Also, go light with all the stipulations like asking for home improvements or waiting to close until your current home sells first. Sellers want a clean and easy offer. If you know a property is going to get a lot of attention, don’t make it complicated for them.
Avoid A Bidding War altogether
The best way to avoid a bidding war is to make sure there isn’t one. Your South Lake Tahoe Realtor will help you out with this one as they can call the listing broker and find out what is important to the sellers. They can ask if there is a certain number in mind, estimated close time, if there are certain things they want to keep. This gives you the intel to come up with a strong offer that is hard to turn down.
Work with an experienced Realtor
Speaking of Realtors, if yours isn’t well versed in the world of South Lake Tahoe real estate and how to navigate multiple offers, all your preparations could be a waste of time. You need someone representing you who you trust and feel confident in. For more information on real estate in South Lake Tahoe, give us a call. We would be happy to help!