To acquire property despite stiff competition, the following tips may be useful: What aspects should prospective investors focus on? The following techniques from an expert in real estate may be used to get the property:
- First, one should assess what the expectations are from the seller. What prompted him to sell the property? What is the price he is quoting for the property? When exactly does he need the money? If one is armed with such information, one is one step ahead of others in acquiring the property.
- One should obtain pre-approval for the mortgage. Buying the property without mortgage pre-approval is not advisable, according to real estate experts.
- The deal should be timely. Buying a property in the real estate market is difficult compared to selling it. By evolving mutually acceptable dates and rules for the transaction, the prospective buyer gets a favourable climate for buying the property from the seller.
- A huge discount should be offered. It is advisable to give a huge advance to acquire the property. If the seller insists on depositing more than 10% of the cost of the property, the buyer should be ready to give 20%. The prospective seller is inclined to sell the property to you.
- Payments should be made in cash only instead of transferring money online or indulging in bank transfers. The seller is inclined to sell the property to you only.
- The seller should be given some incentives.
- Some concessions should be given to the seller. Offer to pay a portion of the seller’s closing costs. Make good decisions on home repairs or other cost-related issues. Accepting the house as it is and doing the repairs yourself is also a concession. Allow the seller to stay in the home rent-free for a period of time, even after the sale.
- Offer an assessment gap guarantee. Promise to cover the difference when the appraisal gap price is higher than the expected home price.
- Write a letter to the seller. Write a detailed letter to the seller explaining why you want the property. It is in this context that you should explain that you are offering the highest amount possible. Chances are this will make the seller lean towards you.
- The offer should be as clean as possible. In general, sellers want hassle-free transactions. So, your offer should be as clean as possible. Cash is king anywhere. Experts advise that it is better to have an offer without any escalation clause.
