Stephanie Payab's Blog
Buying is home is a lengthy and, at times, stressful process. So, it can be discouraging when your offer is rejected.
If you’ve recently had a purchase offer rejected by the homeowner, don’t worry--you have options.
In this post, we’re going to cover some of those options so you can start focusing on your next move and potentially even make a second offer that gets accepted.
1. Reassess your offer, not the seller
You could spend days guessing the reasons the seller might not have accepted your offer if they didn’t give you a straightforward answer.
However, your time is better spent addressing your own offer. Double check the following things:
Is your offer significantly lower than the asking price?
If so, is it lower than comparable sale prices for homes in the neighborhood?
Does your offer contain more than the usual contingencies?
Once you’ve reassessed, you can determine if a second offer is appropriate for your situation, or if you’re ready to move onto other prospects with the knowledge you’ve gained from this experience in hand.
2. Formulate your second offer
So, you’ve decided to make another attempt at the house. Now is the time to discuss details with your spouse and real estate agent.
Out of respect for the seller’s time and their timeline for selling the home, you should treat your second offer as your last.
So, make sure you’re putting your best offer forward. This can mean removing those contingencies mentioned earlier or increasing the amount. However, be realistic about your budget and don’t waive contingencies that are necessary (commonly appraisals, inspection, and financing contingencies).
3. Consider including a personal offer letter
In today’s competitive market, many sellers are fielding multiple offers on their home. To set yourself apart from the competitors and to help the seller get to know your goals and reasoning better, a personal letter is often a great tool.
Don’t be afraid to give details in your offer letter. Explain what excites you about the house, why it is ideal for your family, and what your plans are for living there.
What shouldn’t you include in your offer letter? Avoid statements that try to evoke pity or guilt from the seller. This seldom works and will put-off most buyers to your offer.
4. Moving on is good time management
If you aren’t comfortable increasing your offer or if you receive a second rejection, it’s typically a good idea to move onto other prospects. It may seem like wasted time--however, just like a job interview that didn’t go as planned, it’s an excellent learning experience.
You’ll walk away knowing more about the negotiation process, dealing with sellers and agents, and you might even find a home that’s better than the first one in the process!
After you accept a homebuyer's offer on your residence, he or she likely will complete a home inspection. Then, the homebuyer may choose to move forward with the home purchase, rescind or modify his or her offer or ask the home seller to complete home improvements.
Ultimately, a home seller is likely to have many questions following a home inspection, including:
1. What did the homebuyer discover during the home inspection?
As a home seller, it is important to do everything possible to enhance your residence before you add it to the real estate market. By doing so, you can boost your chances of generating substantial interest in your house. Plus, when a homebuyer performs a home inspection, he or she is unlikely to find any problems that may slow down the home selling process.
An informed home seller may conduct a home appraisal prior to listing his or her house on the real estate market. This appraisal enables a home seller to identify potential trouble areas within a residence and explore ways to address such problems.
If you failed to perform a home appraisal, there is no need to worry. For home sellers, it is important to see a home inspection as a learning opportunity. And if a homebuyer identifies problems with your residence during a home inspection, you should try to work with him or her to resolve these issues.
2. Should I stand my ground after a home inspection?
Be realistic after a home inspection, and you'll be able to make the best decision about how to proceed.
For example, a home seller who goes above and beyond the call of duty may address major home problems prior to listing his or her house on the real estate market. This home seller will dedicate the necessary time and resources to correct home problems and ensure a homebuyer is able to purchase a top-notch residence.
But what happens if a homebuyer identifies problems during a home inspection, despite the fact that a home seller already tried to correct various home issues?
A home seller should consider the homebuyer's inspection report findings closely. If minor home repairs are needed, he or she may be able to fix these problems to move forward with a home sale. Or, if a homebuyer is making exorbitant demands, a home seller may feel comfortable allowing the homebuyer to walk away from a home sale.
3. How should I proceed after a home inspection?
A home inspection can be stressful for both a home seller and a homebuyer. After the home inspection is completed, both parties will be better equipped than ever before to make informed decisions.
If a homebuyer encounters many problems with a residence, he or she will let the home seller know about these issues. Then, a home seller can complete assorted home repairs, offer a discounted price on a home or refuse to perform the requested home maintenance.
Working with a real estate agent is ideal for a home seller, particularly when it comes to home inspections. A real estate agent will negotiate with a homebuyer on your behalf and ensure you streamline the home selling process.
The weeks and days leading up to a home closing can be stressful, particularly for a homebuyer who is already trying to do everything possible to secure his or her dream residence. Fortunately, we're here to help you simplify the process of getting to your closing date.
Now, let's take a look at three tips to ensure you can enjoy a fast, easy home closing.
1. Get Your Paperwork Ready
It often helps to get all of your homebuying paperwork ready before you pursue a residence. That way, you can minimize the last-minute stress associated with searching far and wide for pay stubs, tax returns and other documents that you'll ultimately need to get financing for a residence.
Furthermore, you should meet with local banks and credit unions as soon as you can. If you can get approved for a mortgage prior to starting a home search, you may be able to speed up the process of acquiring your ideal residence.
2. Be Prepared to Cover Your Closing Costs
Although you might have financing to cover your monthly mortgage payments, it is important to remember that you may need to pay closing costs to finalize your home purchase. As such, if you begin saving for your closing costs today, you can guarantee that you'll have the necessary funds available to purchase your dream residence on your scheduled closing date.
Also, you should be prepared to present a cashier's check or wire funds when you close on a house. If you plan ahead, you should have no paying off your closing costs when your complete your home purchase.
3. Schedule Your Final Walk-Through Before Your Closing Date
When it comes to a final walk-through on your dream house, why should you leave anything to chance? Instead, set up the final walk-through at least a few days before you're scheduled to close on a house.
If you find problems with a house during a final walk-through, you'll want to give the seller plenty of time to address these issues. Thus, if you schedule a final walk-through several days before your closing date, you can ensure that any home problems can be corrected without putting your closing date in danger.
For homebuyers who are worried about a home closing, there is no need to stress. In fact, if you work with an expert real estate agent, you can receive plenty of support throughout the homebuying journey.
Typically, a real estate agent can explain what you should expect in the time leading up to your closing date. If you have any concerns or questions before a home closing, a real estate agent is happy to address them. Plus, when your closing date arrives, a real estate agent will help you remain calm, cool and collected as you purchase a home.
Ready to streamline the process of closing on a house? Use the aforementioned tips, and you can reap the benefits of a quick, seamless home closing.
Looking to relocate to California? Exploring the Golden State housing market usually represents a great first step for those who want to move to California soon.
Homebuyers who understand the ins and outs of the California real estate market may be better equipped than others to find a high-quality house at a budget-friendly price. Lucky for you, we're here to teach you about the California housing market and what to expect before you buy a Golden State residence.
Here are three things you need to know before you buy a house in California.
1. The housing market fluctuates constantly.
The California housing market varies. As such, a seller's market can morph into a buyer's market quickly.
For California homebuyers, it is important to dedicate the necessary time and resources to understand the differences between a seller's market and a buyer's one. By doing so, a homebuyer can boost his or her chances of acquiring a first-rate residence.
If you want to buy a California home, check out the prices of houses that meet your criteria. Also, examine the prices of California residences that recently sold. With this housing market data at your disposal, you'll be able to establish a realistic price range for your home search.
2. If you find a house that you want to purchase, you should submit an offer immediately.
Homebuyers likely will need to act quickly to acquire a California residence, and perhaps it is easy to understand why.
A top-notch California house is valuable, and as such, may sell only days after it becomes available. Thus, a California homebuyer will need to be ready to submit a competitive offer on a home that he or she wishes to purchase – or risks losing this residence to a rival homebuyer.
If you find a Golden State home that you want to buy, submit an offer as soon as possible. Because if you wait too long, you may miss out on an opportunity to acquire your dream residence.
3. Hiring a real estate agent can make it simple for you to navigate the homebuying process.
A real estate agent can make it easy for you to transition from homebuyer to homeowner. This real estate professional can serve as your guide throughout the homebuying process, enabling you to find the perfect California home without delay.
If you hire a real estate agent, you can eliminate potential roadblocks that could slow you down along the homebuying journey. For example, your real estate agent will keep you up to date about new California homes as they become available. He or she also will offer homebuying tips, set up home showings and negotiate with a home seller to help you get the best price possible.
Perhaps best of all, your real estate agent will offer honest, unbiased recommendations. That way, you can make an informed homebuying decision and purchase a Golden State residence that you'll be able to enjoy for years to come.
Take the guesswork out of purchasing a California house. Use the aforementioned tips, and you should have no trouble buying a terrific Golden State residence.
Let's face it – even though many great homes are available, securing your dream house at the best price can be extremely difficult due to the sheer volume of homebuyers. Lucky for you, we're here to help you stand out from the competition so you can purchase your ideal home at a price that matches your budget.
What does it take to differentiate yourself from the homebuying competition? Here are three tips to help homebuyers gain a competitive edge over rivals:
1. Submit a Competitive Offer
There is no time for hesitation in a highly competitive real estate market. Thus, if you see a home that you like, be ready to submit a competitive offer immediately.
With a competitive offer, you can improve your chances of securing your dream home in no time at all. This offer shows that you are serious about purchasing a residence – something that may help your proposal stand out from others. Plus, a competitive offer will be based on housing market data and research, ensuring that your proposal will meet your needs as well as a home seller's.
Furthermore, if a home seller counters your initial offer, be ready to negotiate. Keep an open mind, and ultimately, you may be able to land your dream house quickly and effortlessly.
2. Get Pre-Approved for a Mortgage
Getting pre-approved for a mortgage enables you to establish realistic expectations before you begin your search for your perfect home.
Check out what various credit unions and banks have to offer prior to agreeing to mortgage terms. By doing so, you can find a mortgage that will correspond with your finances.
With a mortgage in hand, you can start your home search. Be sure to explore lots of houses that fall within your price range. And when you're ready to submit an offer, a home seller may be more likely to accept your proposal thanks in part to the fact that you have already secured financing.
3. Employ an Experienced Real Estate Agent
Real estate agents possess plenty of housing marketing knowledge and expertise. Therefore, they can help you streamline the process of securing the perfect residence.
Finding a real estate agent who understands the ins and outs of the housing market is paramount. This real estate professional will keep you informed about new houses in your area as they become available, set up home showings and even help you submit competitive offers on residences. In addition, if you're ever uncertain about how to proceed, your real estate agent can offer guidance and tips throughout the homebuying journey.
Perhaps best of all, your real estate agent will respond to your homebuying concerns and queries. He or she is happy to help you in any way possible and will ensure that you can differentiate yourself from the homebuying competition.
Hire an experienced real estate agent, and you can gain a competitive edge that is sure to serve you well in any housing market, at any time.