With the increasing buyer demand and limited housing supply, a potential buyer who makes to get the deal done really needs to bring their A-game. While some buyers believe that making a higher offer is the best way to close the deal, there are quite a few other factors that will play a role too. Also, keep in mind that almost 40 per cent of the properties that were sold in the UK in 2021 were sold above their asking price. While you might opt for a property valuation before making an offer, sometimes you need to remember that money isn’t the only thing that can help you close a deal! If you’re planning on making an offer, here are some tips to help you seal the deal.
Get a pre mortgage approval
Most estate agents and sellers feel that potential buyers who have a pre mortgage approval are actually serious buyers. For one, a pre mortgage approval shows sellers that your offer should be taken seriously. Secondly, a pre mortgage approval allows you to figure out your budget, which will, in turn, help you figure out just home much room you have for negotiation. Also, once the offer is accepted, it becomes much easier to get a mortgage from the bank!
Choose the right agent
Choosing the right estate agent might actually help you close a deal! Essentially, estate agents know the rules of the game better than anyone else – they can help you make the right offer, they can negotiate on your behalf and they know when to make a competitive offer. Sometimes, all it takes is a wrong offer or a poorly timed offer to make a deal go south.
Offer a fair price
Often, there is a difference between the selling price and the price you want to offer; then we have the fair price. In order to close a deal, you need to figure out a fair price to offer. If your offer is too low, it will be rejected immediately. If your offer is too high, you might be wasting good money. Figure out the right price and make a fair offer. That way, you have a higher chance of the deal actually going through.
Decide if you want to offer the market price, or above
The housing market in the UK is very dynamic. The prices are continuing to rise at an astonishing rate. This is why, as a potential buyer, you need to decide if you want to make an offer based on the market price or if want to make an offer above the market price. If you have information that there are many buyers who are interested in the same property, especially in a competitive market, it is always a good idea to make an offer above the asking price.
In a competitive market, you need to be quick and certain about your decision. If you feel the house has everything that you need and want, then you should not think twice before making an offer. If you start to dilly dally or second guess your decision, it might just be a little too late. Once you are sure about a certain property, make a good offer. The longer you want to make an offer, the higher the chances of some other buyer coming in and swooping up your dream home.
Put down a hefty deposit
A hefty deposit makes a seller feel that you are actually serious about buying the property. If you offer to put down a deposit of £1000 for a property that is priced at £300,000, the seller will probably not take you seriously. Always try to put down a high deposit, say somewhere between £5,000 or £15,000 so that the seller knows you are actually interested in buying the property. This will ensure that your offer is taken seriously and might even help you close the deal.
Offer to close quickly
Usually, most sellers like to close a deal within 30 days. So, if you offer to close the deal quicker than 30 days, say in 21 days or even 15 days, then your offer will be considered as the top offer. At the end of the day, a seller is looking to sell their property for a good deal– the sooner they can sell, the better for them. So, when you do make an offer, you can let the seller know that you are willing to close the deal quickly. This should make your offer stand out from the rest.