As we discussed in a previous blog, we are headed full force into the Lake Tahoe Real Estate busy season. We aren’t quite at that place where the inventory is low and the demand is high, but as those of us in Real Estate know all too well, that can change. Around the nation, bidding wars are back and a very common aspect of the Real Estate process. If you are looking to buy in Lake Tahoe, you might want to take note of the following tips of what to do…..and what not to do!
First, establish if you are even in a bidding war. South Lake Tahoe is not quite feeling the intense competition just yet. While homes are moving faster and bidding wars are ramping up on certain homes, you may be the only offer on a house making the process a breeze. There are a couple indicators in addition to the information that your qualified Lake Tahoe realtor will tell you. For example, if an open house is packed full of people, chances are there will be multiple offers. If you already made an offer and your agent tells you that the seller has received higher offers, this means you aren’t the only person interested in the house.
If you experienced one or both of these, there are some things you can do to get to the top of the list and this is where making sure you picked an excellent real estate agent comes in to play. A seller wants things to be organized. Especially when they are dealing with multiple offers.
- Making sure the paperwork is orderly, clean and properly signed in all the right places is going to trump an offer that comes in pieces at different times and is missing half the necessary information.
- Also, be sure to find out ahead of time what the deadlines are and if there are certain aspects that are very important to the seller. Find out the key details that they hope for in an offer. For example, they may want to stay in the house a couple months after closing and pay you rent. If you can be flexible about that term, let them know. If they are dealing with multiple offers and one person is willing to budge more compared to another, guess who is going to get their offer thrown out and guess who is going to get their offer accepted?
- If you have proof of funds or pre-approval letter, include that in the offer if your agent feels it will sweeten the pot. If you want to add a personal letter to the top, make sure it is genuine, heartfelt and shares why you love the home so much or why it is perfect for you and your family.
- Most importantly, do not lowball. This is not the time or the market. This is, however, the time to get yourself noticed in a good way so chat with your Realtor on what figure is strong enough to get you this home for sale in Lake Tahoe.
- Add an incentive (if you can). Pay with cash if possible, offer a bigger down payment, or pay the seller’s closing costs, or a portion of.
Now, let discuss some things to refrain from doing if you are serious about getting your offer accepted. There are ways that you can actually hurt yourself (and your chances of coming out on top) without realizing it.
- Do not overextend yourself. If you overpaid just to get the house, can you really be considered the winner in the situation? Realistically pick your max number and what you can do, and stick with it. You need to keep a level head. If you set a price and you lose, don’t be upset. Move on to the next house.
- Do not take your sweet time. In most situations, a seller wants to close fast. Make the offer with the least amount of contingencies possible and be flexible with their closing timeline. Do not skimp on the inspection.
- Do not put in an offer and then leave the country. Your agent needs to be able to get in touch with you and you need to be able to fill out paperwork, sign and return in a timely manner. Do you really want to spend your vacation running back and forth to the hotel business center? Probably not. Being out of touch also adds an extra level of difficulty, whether it is a time difference, lack of service, scheduling inspections, appraisals, etc.
Once again, the most important aspect of the Lake Tahoe real estate process is making sure you pick a quality realtor that knows the market and can advise on every step of the transaction the whole entire way. If you have any questions, call us at 530-543-6676.