Finally, after months of searching you have finally found the perfect home. You get all your finances in order and place an offer on it! But you're not the only one who loves this home, because there are multiple offers. One of them is cash!
Cash buyers are the most desired by sellers because they can close quickly and with little hassle. Someone that doesn’t have to borrow from the bank means they won't have to worry about financing issues, which is where most offers fall through.
If you don’t have enough capital to make a cash offer, don’t worry because the majority of people don’t so we’ll discuss 5 strategies to help make your offer stand out.
Less Expensive Homes
What if you're constantly beat out by buyers who are paying more? You could consider looking in a lower price range. This is an especially smart strategy for those living in markets with fast selling houses, as it allows you to put in offers over asking.
20% Down Payment
It’s important to save up for a higher down payment on the price range of homes you are considering. If possible, try and come up with at least 20% cash because that is the minimum requirement allowed if you want to request an appraisal waiver. An appraisal waiver allows you to purchase a home without an inspection by an appraiser which can save you money and time.
Waive Inspection Contingency
When you waive the inspection contingency, it means that if there are any problems that come up on the home inspection report, you will still accept the property in “as-is” condition. The seller doesn’t have the headache of being responsible for fixing or addressing any issues.
Consider waiving the seller concessions like closing costs, home warranty, and even paying the realtor’s commission. This shows the seller that you are serious about buying the property and you’re helping them reduce some of their costs associated in selling the home.
Become a Certified Home Buyer
At Equify, our Certified Home Buyer program goes beyond a standard pre-approval. We take an extra step and have an underwriter review your mortgage application and documents to ensure you are conditionally approved. We also back it up with a $5,000 seller guarantee if we fail to close on the loan. This certification gives the seller peace of mind that your loan will be approved and funded on time.
Going up against cash buyers can be extremely challenging. But, just because they’re dealing in cold hard cash doesn't mean that you'll lose the battle!
We know how tough it is to find the perfect home so when submitting your offer, show the seller that you are serious by following some of the strategies above and you’ll be a homeowner soon enough!