Currently, we are in a seller’s market which means there are more buyers than sellers. When there are more buyers than seller’s, it’s possible to get into a bidding war. Getting into a bidding war can mean you overpay for a house that might not be worth it.
Neighbourhood Market Value
The value of a home depends on many factors that a professional Real Estate Agent will account for. The neighbourhood market value is an indicator of the value of a home. Talking to an expert will give you a good idea of the house’s worth and this will help you approach the bidding war with a fair offer.
When going into a bidding war situation, you always want to give your best offer right away. This offer should be the top dollar you are willing to comfortably pay for the house. If your offer is not accepted, at least you know that was the best offer you could give. Your local real estate agent will be more than willing to help you through any negotiations and build a strategy for submitting an offer.
Nix Your Conditions
If your offer seems unappealing with many conditions, the sellers may choose another offer with fewer conditions. Make sure you include conditions that you are comfortable with and nix the unnecessary ones.
Be Prepared to Walk Away
It is important to realize that a home is not fully yours until the keys are in your hand. Learn to walk away if the war erupts and find a new property within your budget. Keep calm and do not become desperate to buy a house. You will find the perfect one!