HOUSING. Buying a property has always been stressful, but in today’s environment, you should also expect to have competition (and not just a little!). Here is a game plan to put the odds on your side in the event of an overbid.
Get pre-approved
Before you even start frantically scouring the ads for the condo of your dreams, make an appointment to request a mortgage pre-approval letter.
“You absolutely have to include it in your purchase offer! It allows you to know what mortgage amount has been authorized by your bank. It’s reassuring for the seller and it shows that you are a serious buyer, ”underlines Simon Léger, manager of the Bardagi RE / MAX real estate team at the agency.
Without that, you might as well say that you have no chance in case of overbidding!
Prepare your budget
Once the letter is in your pocket, you will already have a good idea of the budget you have available to buy. But, if you want to be able to outbid, it’s wise to look for homes that are priced slightly below your limit.
“If you have an authorized mortgage of $ 500,000 and that’s your maximum, you might want to start looking for property around $ 450,000. That way, you know you can stretch your budget and bid above the listed price if necessary, ”explains Simon Léger.
Also remember to calculate the maximum down payment that you are willing to invest. A higher down payment could allow you to win the higher bid.
Be well advised
Unless you are a real estate expert yourself, the sound advice of a broker can also make a difference when making your offer.
“An experienced broker will be able to help you find out what price makes sense. It can compare with the selling prices of recently acquired properties. And then, he can know how many offers are already on the table, which is very important, ”argues Geneviève Langevin, real estate broker Royal LePage Altitude for Langevin Immobilier.
Arouse emotion
But, it’s not all about the money! According to Geneviève Langevin, buyers can also personalize their offer to try to reach the seller by appealing to his emotions.
“If you haven’t had the chance to meet and chat with the seller, it’s always better to bond in another way,” she says. Don’t hesitate to add a photo and a cover letter to the offer to tell our story. ”
Be flexible
Finally, the two brokers recommend adapting as much as possible to the seller’s requirements and showing flexibility.
“If we know the date on which the seller wants to move and go in front of the notary, the best is to stick to these dates, advises Geneviève Langevin. If we do not know these dates, we can write in the offer that we are ready to adapt. “
Be careful, however, not to make compromises that do not suit us. For example, buying without making an inspection often wins the bid, but represents a significant risk.
Has a property caught your eye?
See our Real Estate section at www.journalmetro.com/inspiration/habitation-et-immobilier/
Metro Media
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