Posted 7.10.12 @ 9:30
Making an offer on an Oakville home means doing a lot of research, understanding how the market works and what kind of price you should offer. If your offer is too low, the seller could consider it a “low ball bid” and be offended. If you bid too high right at the beginning the seller may think that you don’t know what you’re doing and try to get even more money out of you. Here we’re going to talk about everything you need to know before you make an offer on a property, so let’s get started!
How to Make an Offer
So you’ve found a fantastic home and you want to buy it. This is actually where the hard work begins. When you choose the Goodale Miller team to help you buy Oakville real estate, you’ll be able to know how much a home should be worth. Just because the asking price is a certain amount doesn’t mean that’s what the house is actually worth. The seller may have priced it too low or too high, and you don’t want to spend more money than you should.
This is how the offer and bidding process should work (and does work with us!):
We run an analysis of the home and neighbourhood. We’ll look at comparable homes and see what has sold recently, what hasn’t sold (listings still on the market) and what listings have expired. This gives you a more complete idea of what a home is worth. From there we’ll recommend what kind of price would be suitable as an opening bid; your opening bid is often followed by a few more, so it’s important to price it just right.
Are Offers Final?
Offers don’t have to be final; if you decide you want to buy another piece of Oakville real estate you can always withdraw your offer. If you’ve put down an earnest money deposit (also known as a good faith deposit) on the home, you may not be able to get it all back. Each situation is different, so you really need a realtor (read: us) to make sure things work out. We’ll be able to help you know if a home is worth bidding on before you do it.
Won’t Others be Making Offers Too?
If it’s a great house you can be sure many other buyers will be putting in bids for this piece of Oakville real estate, but you’re going to want to get that edge. This means thinking about putting down an “earnest money deposit” to show the seller that you’re serious about buying this house. This is usually around 1% -3% of what you’re bidding and you’ll be able to show them that you really want to buy.
Making an offer on a home is important but if your offer is rejected you can’t take it to heart. There is always another home waiting for you out there; let us help you find and buy your dream home!