07/16/2021
This article from apartment therapy, written by Candace Ramirez, has a lot of good advice from Jia Tang when dealing with our fast pace seller's market. The following is one point I believe needs to be elaborated on. With some exceptions, the list price in the MLS is typically what the listing agent believes the home will be valued at when appraised. Hence, when offering above list price, you are probably offering an amount over what it will appraise for and, in most cases, it will increase the amount of money (cash) you need to put down on the home when financing the purchase. Don't be pressured or compelled to submit an offer that is outside your comfort zone or what you can afford. Before making an offer, your agent should help you understand if the list price is in line with what an appraiser may value the home at. Then YOU can make an informed decision on an offer that you feel the home is worth to YOU.
You see the perfect home for sale, stop by the open house, and before you can even picture your sofa in the living room, p**f! Another buyer snaps it up. Unfortunately, this story is all too familiar to buyers in competitive markets where homes may only sit on the market for a day or two before goin...