Believe it or not, we are still seeing multiple offers on properties today. This is largely due to the still low inventory to choose from and the incredibly low interest rates. Particularly in Kensington and Talmadge, which remain affordable compared to many other San Diego Metro neighborhoods, the competition can be stiff…or stifling if this is not something you are comfortable with. Here are a few tips in dealing with this situation:
1. Make sure you are working with a competent, experienced agent. If you are working with a brand new or newer agent, or an agent that only sells a few houses a year, chances are they won’t have the skill set to know how to craft your offer to bring it to the top of the pile if you are a Buyer. If you are selling, your agent is key in helping you determine who the strongest buyer is and who may be the most likely to close escrow, as well as crafting a counter offer if necessary to best protect your position and get you the best value and terms.
2. Don’t let yourself get trapped in the mind set of not “wanting to get in to a bidding war”….If you see a house you love but hesitate writing an offer because you don’t want to compete, then you probably should not be seeking a home to purchase today. Unfortunately, it’s a common occurrence but I would not let that get in your way. I always recommend to my clients that they determine what the house is worth to them and submit their offer accordingly. Forget about the other offers as that should not come in to play here…pretend you have tunnel vision and write the best offer you can and hope for the best. You may not get the property, deepening on the other offers, but you will have at least tried.
3. Study the recent sales but don’t get hung up on price per square foot – especially in Metro San Diego. Price per sq ft is a great tool to use in tract areas such as Carmel Valley, Eastlake, Del Sur, or in condo buildings (but watch out for orientation and view differentials here) where you have the same floorplan repeated many times. In Metro SD, price per sq ft can be used as a gauge but should not be the primary determining factor in value. Your agent should help you sort through this information in detail prior to writing your offer. This will help you put together a realistic offering price and hopefully get your home.
4. Act quickly. If you see a house that checks all your boxes, chances are it will check the boxes of many others too. Ensure you have your loan application and supporting documentation in (if applicable) to your loan officer before shopping for a home so you are ready to pull the trigger the same day you find the home if necessary. The early bird gets the worm!
I have helped countless buyers and sellers in multiple offer situations ultimately reach their goals. I would welcome the opportunity to sit down with you and discuss how I might be able to help you reach your real estate dreams too! Give me a call at 619-944-2798 or email me at [email protected] to set up a time to chat.