What Makes One Offer More Attractive Than Another?
Obviously, Sellers in Elkhart County say the price is usually the most important element, but there are other factors that make an offer more – or less – attractive. For instance, one obstacle is a “contingency,” a clause that allows a Buyer to back out if certain conditions aren’t met. Of course, offers with the fewest contingencies are most attractive to Sellers.
When it comes to contingencies, Indiana First-Time Buyers are often better prospects for a Seller’s home than move-up Buyers. Why? Because offers from homeowners usually are contingent upon the sale of their present homes. And even if a move-up Buyer has an offer for the home in hand, the Buyer’s offer may be contingent on another contingency (or sale) – and so on down the line. If one transaction in the chain falls through, they all might.
Cash offers can also be more attractive to Elkhart County Sellers. Why? After all, the Seller will get his money at closing whether or not the Buyer has cash or takes out a loan. True, but cash offers don’t require lender approval, and loan approval is never a certainty – it may delay closing. (Incidentally, for this reason, Buyers who get pre-qualified for a loan have an edge over other Buyers. A pre-qualified Buyer is the same as a cash Buyer.)
Buyers offering a larger-than-customary amount of “ernest money” (a deposit that accompanies an offer) can be more appealing, too. More money demonstrates greater sincerity and motivation to close the transaction.
Naturally, Sellers are always looking for the best price for their homes, but remember they also want an easy, trouble-free reliable transaction. Thus, as a rule, the fewer the contingencies and the greater the commitment – the smoother the transaction.
Elkhart County Local Real Estate Expert Evelyn Johnston with Elkhart County Subdivisions is your source for Selling your home. She has been well trained in negotiating for the highest price in the shortest amount of time.