There is a lot to understand when it comes to buying a home — particularly when it comes to making a solid offer on a home you as a buyer are hopeful to purchase. We often hear from clients who want to know how they should make their offer on a dream home. Here is a look at what goes into the components of a strong real estate offer.
Mortgage Pre Approval Letter
You have your price amount settled of what you are willing to offer and it’s been accepted by the seller. Now what comes next? You want to provide the seller with proof that you have the ability to purchase the home as soon as they accept the offer. Many sellers find themselves in trouble when they accept an offer and then find out the buyer has to get approved for a loan. This delays the entire process. By providing proof of pre-approval, you are letting the seller know you are ready to act quickly on the sale.
You and your agent will hand the seller a completed purchase agreement that includes the following information:
- The offer price on the home.
- The amount of money you will place down on the home to show your interest.
- The full description of the property including the address.
- Names of all parties involved, including real estate agents.
- Any terms that you wish to make for the purchase, such as repairs or warranties.
- Closing date and the date you wish to take possession of the home.
When you present the completed contract with the offer, the buyer will see that you are ready to start the process of buying the home!
Comparable Housing Prices
Your agent will give the seller an explanation for the amount you selected as an offer. Typically, they will print out a minimum of three comparable homes that has sold in the same area to show for comparison. (This is not mandatory, but it provides the seller with a genuine reason for the offer.)
If there are repairs that will need to be completed by the current owner, or that the buyer will complete if the price is adjusted, a detailed report should be provided. This is a great way to show why your price is lower than the asking price for the home.
A closing estimate required for every real estate transaction. This form provides detailed information of all the costs associated with the buying and selling of a property. By completing this form prior to the acceptance, you will be able to show the seller in detail exactly what they can expect to receive when they accept that price and sell the home.
These simple steps can help make your next real estate transaction run smoothly and quickly, but the first (and best step) is to hire an award-winning real estate agent. If you are looking to buy or sell a home in the Nashville area, we can help! Give DeSelms Real Estate a call at 615-550-5565 or drop us a line today.