How to Win The Bidding Game In Today’s Competitive Market

real estate bids

You’ve made the decision to buy a home and have put in a few offers, but keep getting outbid. Although this can be frustrating, don’t give up. You can compete in today’s competitive market even if you don’t have the highest bid. For example, we found a house that had only been on the market for one day, but already had offers. The real estate agent told us they were taking bids until noon the following day. We made a full price offer but did not have any contingencies nor inspection requirements. The other bids were above asking price, but they had contingencies and inspection requirements, so the seller went with our offer. When making your offer don’t get too hung up on thinking you need to make one above list price because it’s not always about the sale price.


Tips to win the bidding war without going above budget:

  1. If you are financing, the first thing you need to do is get a pre-approval from a mortgage lender. Sellers want to know that you can actually purchase the home and makes your offer stand out. This also benefits you in determining your budget when making an offer.
  2. Focus on homes at the lower end of your budget. By doing so, gives you a bit of wiggle room when making an offer if you do have to go slightly above the ask price.
  3. In today’s market, it is important to make your “best and final” offer in the beginning. These days, there isn’t much negotiating going on. If it isn’t your best and final, you probably won’t get the house.
  4. If you do find yourself in a situation where you need to offer above list price, consult with your real estate agent and let him/her help you determine a good offer price. Your agent will be able to pull list and sale prices for comparable properties that have sold within the past six or more months. He or she can determine the typical amount above list price, i.e., $5,000, $10,000, etc. that have occurred. You certainly don’t want to pay more than you should and end up with little to no equity in the house because you paid more than the market can bear.
offer on listing

Get your financing in place, work with a knowledgeable real estate agent, do your homework and you will get that home! For all your real estate needs, contact  Stutesman Action Realty today!


How to Prepare for the Impending Interest Rate Hikes

interest rates

All indicators are pointing to interest rate hikes in 2022. When, how much, and how many are still under speculation, but the one thing experts agree on is that they will rise. How can you prepare for the upcoming rate hikes?

home owner
  • If you are considering buying a home, now is the time. Work with your mortgage broker to lock in a low rate. Make sure the rate is fixed and won’t vary.
  • If you have your eye on a home, but the current owner needs a longer move out date, go ahead and purchase it at the lower rate and lease it back to the owner. A real estate professional can help you properly write up a contract with the specific details.
house debt
  • Pay off as much debt as possible, especially credit card debt and any sort of variable rate loans. These are the things that can get out of hand quickly and cause many financial problems that will  hurt you homebuying potential.
mom and son

On the other hand, rate hikes aren’t all bad for homebuyers. Last year’s soaring demand and low-interest rates sent prices rising beyond reach for many would-be homebuyers. Buyers found themselves in bidding wars and/or making hasty decisions. For most Americans, the main way of accumulating wealth is through homeownership and last year’s dramatic price increases squashed that dream for many. That is a problem that not even low-interest rates could fix. Experts don’t expect a dramatic decline in home prices, but the dramatic increases are forecast to tamper down a bit allowing a larger pool of buyers to become homeowners.

One thing is for certain, planning is crucial, so get with an agent, find a lender, and start planning. Stutesman’s Action Realty has a line-up of professional real estate agents ready to help their clients make that purchase or sell. Reach out today, 833.286.8400.


Taking the Worries Out of the Home Buying Process

Home buying can be a scary and overwhelming process. For most, purchasing a home is the largest investment a person will make. Therefore, it is no surprise that people tend to get nervous about such a large commitment. Here are a few tips to ease your worries:

  • Hiring the right real estate agent is one of the first and most important steps you will take in the home buying process. Choose a real estate professional that is experienced, knowledgeable about the market, and willing to remain your trusted real estate advisor. Tell your agent what you are looking for and about your budget requirements. It is important to have professional real estate representation when you find the perfect home and want to make an offer to assure you are entering the right contract for you. Did you know that a real estate professional can assist you in purchasing a For Sale By Owner (FSBO)? Many FSBOs are willing to work with a buyer’s agent even though they are not using a selling broker.
pre approval
  • Pre-approval from a mortgage lender is the next step. Once pre-approved, a lender will write you a letter of pre-approval. Being pre-approved lets sellers know you are serious about purchasing their property.
virtual showing
  • Start touring properties. Your real estate agent will schedule showings and assist you in finding the perfect home based on your specification. These showings can either be in-person or virtually. The COVID-19 pandemic has catapulted the real estate industry forward several years when it comes to virtual showings. They have become one of the most popular ways to initially view a home.  Just let your real estate agent know that you want a virtual showing, and he or she will set it up and tour the home with you virtually. This is also a perfect way for out-of-town purchasers to view homes before they are able to come to town.
real estate contract
  • Once you find your dream home, your real estate agent will prepare a competitive offer to get you the best deal and will guide you through negotiations and help with a seamless closing experience.

When you are ready, Stutesman’s Action Realty is ready to serve you. The real estate agents pride themselves on excellence and constantly surpassing the expectations of their clients. Call 1.833.226.8400 to reach one of the three branches located in Missouri and Kansas.