getting your offer accepted

A few quick tips to getting your offer accepted

Once you are ready to submit an offer to the agent, what is the most effective strategy to have that offer accepted?

Over my years in the real estate industry I have dealt with many buyers who have missed out on the opportunity to secure their dream property, not because they were out bid by another buyer nor was their offer too low to be accepted but because their strategy and offering methods were unconvincing and sometimes insulting to the vendor.

Although the buyer and seller rarely meet prior to the unconditional exchange of contracts, ultimately it is the vendor’s decision to whom they choose to sell their property to and if they feel as though a buyer may not be genuine this will create reluctance in accepting their offer.

A verbal offer

The most basic and arguably the most common form of an offer and a simple and effective way to indicate your interest in a property, in many cases the agent will not require much more information than your full name, current address and offer amount prior making a submission to the vendor.

By submitting an offer this way you are immediately giving the vast majority of the negotiation power to the agent and a good real estate agent will attempt to negotiate the minute you submit the offer and you will find yourself 8/10 increasing your offer on the spot.

In a competitive buying market

The time frame from submitting an offer to acceptance to the unconditional exchange of contracts can be all the difference between securing the property and watching another buyer snap it up. This can be an emotional and often overwhelming experience for any buyer which could have most likely been prevented.

Once an agent receives an offer from a potential buyer the agent then has a duty of care to ensure that the offer is passed onto to the client (vendor) as soon as practical. However, there are a number of key criteria that needs to be satisfied prior to the vendor being in a reasonable position to make an educated decision whether to accept the offer and sell.

Information to have prepared prior to submitting an offer:

  • Any special conditions associated with the offer
  • Desired settlement period
  • Full 10 per cent deposit able to be paid once the offer is accepted
  • Current finance approval in place (if required)
  • Contact details of your solicitor/conveyancer and financier

I would strongly recommend you have clarity around all of the above criteria prior to submitting your offer, this will save you valuable time and eliminate any potential ‘nervous tension’ the vendor may feel.

Remember, the best offer isn’t always the one at the highest price.

So what is the most effective way to submit an offer and give it the best opportunity of being accepted by the vendor?

Once a property buyer is at the stage of submitting an offer, the basic offering principals apply. Beginning with a lower offer amount and negotiating a higher price if necessary. The most effect way is to attach a 10 per cent deposit to a signed contract.

This is a very powerful strategy, not only you are taking away most of the negotiation power from the agent but it is difficult for a vendor to turn this down. With the simple swipe of a pen, they know their property could be sold and that the potential buyer is serious about their property and in a position to move forward with the sale.

Share your experiences

Use the comment box below and let us know about a time you have submitted an offer that was not accepted due to any of the above circumstances.

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