With inventory high statewide, it is still pretty much a buyer's market, but when you get down into different price points and neighborhoods, there are often not a lot of properties that fit a buyer's particular needs. I co-listed a house last week with an agent in my Providence Office, a great Colonial on the East Side with a classic center hall floor plan on a quiet street. This listing happened to be priced correctly without much competition, and by the end of the week we had multiple bids! Of course we never would have even been in that position had it not been for the pre-marketing. The owners spent quite a bit of time and some money getting the house ready to show; they updated the kitchen and the baths, including adding a fabulous master bath, made necessary repairs and worked hard to get the place ready to show. Once staged, we had professional pictures taken, created quality marketing materials, and carefully priced the house. This is one of those times when having a good agent on your side is critical. There are fundamental principles that guide REALTORS® as established in our Code of Ethics as well as State laws and regulations. When I list a house, I explain to my client the possibility of multiple offers and the various ways they might be dealt with. Due to the market share my company has, I also advise them about the possibility that my company may have more than one client interested in the property and how we deal with duel agency. Armed with this information, the decisions are theirs to make, and as long as their instructions are legal and ethical, I am bound to abide by them. If you are on the buying side, remember the terms of your offer are often as important as the price. Sellers want the most money for their property, but also want to make sure that the deal actually closes. Make sure you have the cleanest offer you are comfortable with and include a large earnest money deposit. Make sure your financing is in place, and offer flexibility in your closing date. While I do not advise it, dropping inspection contingencies can be risky, but sometimes necessary, if you think you might be in a multiple bid situation, you might be able to bring an inspector or contractor friend with you on your showing to help evaluate the condition of the property so you can be prepared to make an offer on the spot. If you lose out on a bid, there is always the chance that the original deal might fall apart, if you really want that house and have the time to wait, ask to keep your offer as a back-up. This Week's Real Estate Insight: Whenever you enter a multiple bid situation, there will always be someone who ends up disappointed, much of the frustration results from people not knowing the status of their offer. While realtors provide value to any transaction, in special situations like this they are invaluable. Timely and honest communication between listing and buying brokers will hopefully result in all parties feeling they were treated fairly. As a buyer, if you did give your highest and best and still lose out, like my Grandma Ethyl always said," Don't look back, it hurts your neck"; obviously the market you are in is hot, be prepared for the next property that fits your needs.May the Highest and Best Win!
- By Michael McCann
- Posted
With inventory high statewide, it is still pretty much a buyer's market, but when you get down into different price points and neighborhoods, there are often not a lot of properties that fit a buyer's particular needs. I co-listed a house last week with an agent in my Providence Office, a great Colonial on the East Side with a classic center hall floor plan on a quiet street. This listing happened to be priced correctly without much competition, and by the end of the week we had multiple bids! Of course we never would have even been in that position had it not been for the pre-marketing. The owners spent quite a bit of time and some money getting the house ready to show; they updated the kitchen and the baths, including adding a fabulous master bath, made necessary repairs and worked hard to get the place ready to show. Once staged, we had professional pictures taken, created quality marketing materials, and carefully priced the house. This is one of those times when having a good agent on your side is critical. There are fundamental principles that guide REALTORS® as established in our Code of Ethics as well as State laws and regulations. When I list a house, I explain to my client the possibility of multiple offers and the various ways they might be dealt with. Due to the market share my company has, I also advise them about the possibility that my company may have more than one client interested in the property and how we deal with duel agency. Armed with this information, the decisions are theirs to make, and as long as their instructions are legal and ethical, I am bound to abide by them. If you are on the buying side, remember the terms of your offer are often as important as the price. Sellers want the most money for their property, but also want to make sure that the deal actually closes. Make sure you have the cleanest offer you are comfortable with and include a large earnest money deposit. Make sure your financing is in place, and offer flexibility in your closing date. While I do not advise it, dropping inspection contingencies can be risky, but sometimes necessary, if you think you might be in a multiple bid situation, you might be able to bring an inspector or contractor friend with you on your showing to help evaluate the condition of the property so you can be prepared to make an offer on the spot. If you lose out on a bid, there is always the chance that the original deal might fall apart, if you really want that house and have the time to wait, ask to keep your offer as a back-up. This Week's Real Estate Insight: Whenever you enter a multiple bid situation, there will always be someone who ends up disappointed, much of the frustration results from people not knowing the status of their offer. While realtors provide value to any transaction, in special situations like this they are invaluable. Timely and honest communication between listing and buying brokers will hopefully result in all parties feeling they were treated fairly. As a buyer, if you did give your highest and best and still lose out, like my Grandma Ethyl always said," Don't look back, it hurts your neck"; obviously the market you are in is hot, be prepared for the next property that fits your needs.
