What Others Won't Tell You...*
How Sellers Evaluate You -
It Can Make or Break You
Sellers are largely dependent on their listing agent for all the basics, which are straight-forward - what’s the offer, how much of a down payment, and what are the contingencies. You can make the highest offer and lose out if your own agent hasn’t done the right job with the other agent.
What We Can Do To Help Sellers Want You - Sell It In
This is most frequently neglected - A great agent sells you in as a great buyer (job security, financial strength, stage of search, specific suitability of the property for the buyers).
A great agent sells him/herself in too, as a reliable professional who can get the deal to the closing table, being capable of solving the various problems that inevitably arise in almost any real estate transaction.
If you, and your agent, are not sold-in properly, your offer is somewhat hollow. Sellers need to trust, and trust starts with information about the people who propose to be in a transaction with them.
Dynamics, Examples - Truths About A Property Deal
Seller Motivation and Pricing - If they just lost a deal, we might negotiate down. If they've 5 bidders, we might negotiate up, and price isn't always most important. see How Sellers Evaluate You.
If Price Is Only One Variable, What Are The Others? Maybe Seller prefers a big down payment to show financial strength (likelihood of final mortgage approval). Maybe seller needs a close-in or far-out closing date. Some care about the family they sell to and like to receive 'love letters' (ask us)- they want good people as their neighbors' neighbors!
Does The Agent Know About Mortgages? If so, he/she can personally vouch for the pre-approval required to make any offer.
Can Your Agent Get The Deal Done? Seller and their agent want to work with people who can see the transaction through to closing, capable of solving problems all the way. Problems that must be negotiated by your agent include but aren't limited to: price and terms, no survey/fence trouble, municipal records inconsistencies, tax questions, inspection results, water and septic tests, remediations, the 2 lawyers only use email and the deal is exploding, the other agent is not competent, etc. etc. etc. A smart agent who's a problem-solver, and expert, and and a negotiator, is paramount.
Keeping the Relationships Close Is Critical To Managing Stress - Responsiveness and competency make deals happen. There's none of that, for example, if your lawyer refuses to talk to your agent, or your agent isn't talking to the inspector or appraiser properly, or there's a muni problem needing fixing, etc. etc. etc.! Everyone must respect each other, or things go south, and you may have to make the extra effort to keep your deal, because "there is no accounting for people".
"It's Real Estate, Anything Can Happen"
Our job is to guide, organize, manage others involved (6+ people) and solve problems including real and perceived - perception can be as important as reality.
1. There are at least 4 types of “Accepted Offer”. A property with an “AO” may take bids and still be available, or not. Depending on which type of AO, and the real estate culture of a given geography, there are varying levels of risk the transaction won’t close even though you've an AO.
2. Deals fail due to the wrong attorney or the wrong Realtor or the wrong lender. Get references, Interview them for focus, experience, and results. We provide the questions to ask.
3. Applying for the mortgage is the most difficult part of all this. Just when you think you’re clear of the home search with an AO and completed inspection. We may or may not do your mortgage, but we are qualified to counsel you through the process in any case, to make sure you’re getting treated right wherever you go.
4. The first property you see may be uniquely perfect for your needs, but if you’ve not been fully briefed (most Realtors do not brief thoroughly, if at all), you won’t be able to stomach a decision, or you’ll buy it and then back out, purely from cold feet.
*Important qualifications regarding all information on this site: All numbers represent the experience of our agents and may not accurately reflect national averages or others' numbers. All examples are anecdotal, and should not be regarded as relevant to your own circumstances. Our firm provides the information on this website for general guidance only, and does not constitute the provision of legal advice, tax advice, accounting services, investment advice, real estate advice, or professional consulting of any kind. The information provided herein should not be used as a substitute for consultation with professional tax, accounting, legal, finance, realtor estate r other competent advisers. Before making any decision or taking any action, you should consult a professional adviser who has been provided with all pertinent facts relevant to your particular situation. All information is provided "as is," with no assurance or guarantee of completeness, accuracy, or timeliness of the information, and without warranty of any kind, express or implied, including but not limited to warranties of performance, merchantability, and fitness for a particular purpose. To review your situation, reach us at 914-413-3689.