Many home buyers are getting discouraged by the current 2021 Charleston housing market trends. Multiple offer situations have become the norm, and we’ve seen as many as 18 offers on a single listing. It’s hard to compete against a record number of cash buyers who can close quickly and forego an appraisal, even if a lender verified buyer is paying full list price.
However, here are ways that we like to prepare and increase your chances of winning the offer:
In today's market you must have a preapproval letter in hand from a reputable lender: No sellers are willing to take their house off the market for a buyer who can’t provide a preapproval letter with their initial offer. More than ever, it’s important to get preapproved before seeing homes rather than waiting to find the right one first. Getting your offer in early gives a huge advantage since we’re seeing the best listings go under contract within about 24 hours of hitting the MLS.
Be flexible. When sellers are comparing multiple offers that are the same basic price, often giving flexibility or having an agent with a good track record can give the edge you need. For example, if the sellers are relocating for a job, giving them the close date they need is worth money to them. We’ve seen sellers choose an offer that was a thousand dollars less just so they didn’t have to live in a temporary rental. Similarly, when we’re competing for a listing where we’ve worked with the listing agent before (and have developed a good rapport with them), having this good working relationship is crucial because they know we’ll be able to take the offer to closing. A good reputation goes a long way in real estate, especially in a market like Charleston where so many of the agents know each other. The bottom line is that if we can learn what’s important to the seller (like a flexible close date or pre-negotiating inspection details), it can help make the seller’s life easier and result in a preference towards our offer.
Need to sell before buying? So many buyers are in this same boat! Talk with us about strategy. Sellers and builders are no longer willing to take a contingency for a buyer to sell their current home before closing on the new one. However, the 2020 market has taught us Realtors to get creative and to negotiate more than ever! Options include paying the sellers’ mortgage after 60 days, doing a rent back, finding a furnished vacation rental, having your photos done and MLS report drafted while we wait on the right listing, or refinancing (this is where your lender can help). We’ve had a lot of success this year in these tricky domino effect situations, so let’s talk!
Just waiting on the perfect listing? With historically fewer listings to choose from, many buyers are having to wait longer to find just the right house. We Realtors often hear about new listings before they hit the market, and this kind of lead time is invaluable in Charleston’s current market. The same is true for new construction. Builders often don’t list all of their homes on the MLS, so we’re happy to do some digging for you with your specific needs and wants.