Dear Phyllis,
We have been looking at houses for over seven months. We made offers on five different houses, but no luck. Our agent just keeps telling us it’s a tough market for buyers and to be patient. We spend most of our weekends going to open houses because that seems the best and often only time to look. We are looking in La Crescenta, can pay around one million and just want a nice/decent house. Why can’t we get an offer accepted? We have a little over three hundred thousand and are pre-approved. Feeling frustrated
Dear Frustrated,
I understand the emotional challenge of writing offers and waiting for a response. Then, I understand the disappointment when the offer is not accepted. In today’s market, you must act aggressively with both price and contract terms.
Here are some common reasons your offer may not get accepted:
- The price is too low. In many cases, homes that sell within the first ten days sell at asking price or above.
- The seller’s terms do not match your offer. In some situations, terms matter more than price. For example, a seller may need extra time to move after escrow closes. Sometimes they need a few days. Other times they need a month or more. Therefore, if you do not agree to possession or escrow timing, the seller may reject the offer.
- You include too many contingencies. In competitive situations, strong buyers sometimes waive loan or appraisal contingencies. Therefore, review the risks and benefits with your Realtor before removing protections.
- Your offer is incomplete. For example, you may not include a pre-qualification letter or proof of funds. In addition, you can strengthen your offer by including a personal letter along with your Realtor’s cover letter.
Keep in mind that when you attend an open house, the Listing Agent is interviewing you and your Realtor. You and your Realtor need to be likeable. You want the Seller’s Realtor to want to open escrow with you.
Strategise with your Realtor as to how you can make your future offers stronger. If your offer fails, have your Realtor® find out why. Was it because of a higher price or better terms?
Best of luck to you; I know the right home is out there for you.
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