Ready to Make an Offer? Here’s How to Make It a Good One

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HomeSmart

For more information about the author, click to view their website: Jude Creamer / HomeSmart

Posted on

Oct 20, 2023

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Florida - Sarasota, Bradenton & Charlotte Counties

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Congratulations! You’ve been searching for the perfect home, putting so much time and energy into the process, and now you finally found a home where you can see a future for yourself. But chances are if you love the home, another potential buyer probably loves it too. So before you take the leap and make an offer, here are some tips that you should keep in mind to stand out from your competitors and easily seal the deal.

1) Setting the Right Starting Price

The most influential component of an offer is the price you propose to pay for the home. Work with an experienced agent to come up with a strong offer that makes sense for you and the seller first. Otherwise, your feelings of excitement and impatience can quickly become impulsive decisions, resulting in a weak offer that hasn’t been thoughtfully prepared. Here are a few tips to make sure that your emotions don’t get the best of you when setting a price.

Research the Market

It’s never a bad idea to understand what the home is selling for when you make an offer. But at the same time, the listing price isn’t everything. Instead of basing your offer off of one number, take the time to see what similar homes in the neighborhood have sold for and compare. Understanding how this all works together can be difficult if you are doing it by yourself, so we recommend that you use an agent to help you. Agents will do the market research for you and help you create an attractive offer based on sales of comparable homes in the area.

Research the Seller

While market statistics can indicate what the price a home might sell for compared to others, this doesn’t take an individual homeowner’s situation into account. What if the seller is struggling to find a new home and wants to delay closing? Or maybe they are being forced to leave their home for relocation reasons and need to get the transaction done as soon as possible. By taking the time to do a little extra research on the individual home and its seller in addition to the market, you may be able to find the motivations behind the sale and craft your offer more appropriately.

Buying a home takes more than a simple exchange of money for property. There are several costs that go into the process of buying a home that you will need to account for before you make that decision – especially if you want to save yourself from stress later on.

down payment can be one of your largest upfront expenses, no matter what type of mortgage you decide on. You might opt for a conventional mortgage with a 20% down payment or a loan insured by the Federal Housing Association (FHA) with as little as 3.5% down. But no matter what you have to pay upfront, it’s best to start saving early and prepare for a large expense. Even a 5% down payment on a $200,000 home, for example, is still $10,000 – that’s nothing to laugh at. If you aren’t sure how to start saving, think about the small steps you can take, whether it’s setting aside tax refunds or not going to Starbucks as often. The little things can really add up! 

It’s also important to save for those monthly payments that come after the down payment. Whether you decide on a loan that has a shorter or longer term, monthly payments are an ongoing expense that you need to account for. If you have a conventional loan and didn’t put down 20% upfront, your lender will likely require you to pay private mortgage insurance (PMI) as part of your monthly payment. Annually, this expense may make up 0.5-1% of the cost of your loan and serves to protect your lender if you stop making payments. But no matter how much you put down initially, you want to feel confident that you have the means to make a full payment every month.

Don’t forget closing costs! This chunk of money will go toward all of the important steps that ensure your home is ready to live in. According to Realtor.com, closing costs account for anywhere from 2% to 7% of your home’s final price. 

These are all expected expenses, but what about those unexpected costs? Unfortunately, homes don’t have superpowers and are always prone to unforeseen issues. The garage door could suddenly stop working, your oven could die on you or a big storm could damage your roof. These are all problems that might need a quick fix, and if you don’t have any emergency savings that you can contribute, you’ll be left scrambling.

2) Be Careful with Contingencies

It’s important to think about any contingencies you have and clearly spell them out for the seller and the seller’s agent. These include any outside requirements that must be met before you can complete your end of the transaction. There are a few common contingencies that are included in many offers, like inspections and appraisals, that protect buyers in case the home has issues that weren’t initially stated. Therefore, it’s a good idea to include contingencies like these to ensure that you can change your offer or back out if needed. 

At the same time, be mindful when stating your contingencies. If you end up having too many, it’s possible you might turn off the seller. Sellers often see contingencies as obstacles in the transaction, so if you have a long list of them, it might put a red flag on your offer. Work with your agent to decide what you really need before you can buy a home and focus on those rather than your list of wants.

3) Don't Forget About Earnest Money

Earnest money can make you stand out in a pool of competitive offers, because it shows a level of commitment from buyers. By putting down earnest money, you’re agreeing to pay the sellers a deposit before buying the house––whether or not you actually go through with the transaction. Therefore, it’s important to be serious about the home you’re making an offer on. According to Realtor.com, paying 1-2% of the home’s purchase price in earnest money is normal for most markets. However, in competitive markets this amount could be up to 10%. This is another reason why it’s so important to use an agent. They can help you determine a competitive amount based on your market. 

4) Make It Personal

It’s common for sellers to be emotionally attached to their homes, and they want to find a buyer who will love it and take pride in caring for it as they do. To stand out against the rest of the offers, and show the seller who you are, consider personalizing your offer. Share your story. Include a message that explains who you are, what your family is like and what excites you about the home. Share what you’re most looking forward to experiencing in that house and what it would mean to you to call it yours. By making your offer personal, it will help the seller see you as someone who will love the home, rather than a mere name or dollar amount.

5) Move Quickly, But with Intention

When creating a competitive offer, it’s important to move quickly because you never know how many other people are doing the same. If a seller sees an offer they like before they have seen yours, they just might accept it. So don’t put it off! After you see a home, be honest with yourself. If you can envision yourself living there, start working with your agent on an offer right away. But if there’s any hesitation, always look to your agent for clarity and guidance. They can help you weigh the pros and cons of the home and ensure that you move forward with intention, whether that means submitting an offer or not. 

If you’re worried about everything getting done the right way, especially when you’re in a time crunch, you should be able to trust your agent. At HomeSmart, our agents have been carefully trained to understand every step of the offer process and make it as stress-free as possible for the buyer. Our agents understand that you’re human, which is why they won’t just help you write the offer, but they’ll take your thoughts and opinions into account while doing so. By working with a HomeSmart agent, you can feel confident in having a competitive offer that will secure the home of your dreams.

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YOU CAN SELL YOUR HOME OVER THE SUMMER IN BRADENTON & SARASOTA

Sometimes you have no choice on when you need to sell your home a job transfer, you saw another home you really want to buy, or you have an unexpected life change.  Selling in the off season such as summer isnt ideal but it can be done, and its imperative its done the right way to get the best results.And, believe it or not, not everyone is on vacation in the summer!  In fact, some buyers have more flexible schedules. There are also plenty of buyers that are just getting their search started and those who didnt find the right house or got outbid during the busy Spring selling season.  Summer really can be a good time to sell your home to one of these off-season buyers who dont want to wait until the Fall or next Spring. Here are our must-do tips for that summertime sale:Target the Right Buyers for Your NeighborhoodAs we mentioned above, there are certain buyers who keep looking over the summer. But there are also buyers who are relocating to Bradenton/Sarasota and have to move pronto. You need to target these different types of buyers, tapping into their needs and wants for a home.If youre in an urban Bradenton neighborhood, with more young and hip buyers, then your focus is on first-time buyers who have more flexibility and may not have a deadline. But, keep in mind, that the buyers still looking into summertime are serious buyers and are ready to find a home and put in an offer.Youll need to price your home right from the get-go, be generous with your terms (offer to pay for closing costs) and make your home a summer retreat for them.Also be flexible with the hours you show your home. With daylight lasting well past dinnertime, be open to later showings. Younger, first-time buyers will find this time more convenient during their work week. Make sure you take advantage of these daylight hours!For Lakewood Ranch or a suburban Sarasota home, your buyers may be tied to the school calendar and want to settle on a home quickly. You still want to price your home correctly to bring in the foot traffic, make it as move-in ready as possible (theyre looking for convenience and dont want to deal with projects), and showcase your home so it looks like a great place for their familys summer staycation.And again, be flexible with your showing hours. Daylight savings means families are on the go later into the evening, but they usually find a lull after dinnertime perfect time for them to see your home.Showcase Your Homes Summer BestNow is the time to make your home shine on the inside and the outside. Make your home bright and welcoming a summertime oasis!Curb appeal and backyard staging will draw buyers in. You want buyers to want to see your home and then envision themselves relaxing and living there. Outdoor living space can be a big selling point, even in the summer in Florida.Plan to spend a little bit on some outdoor dcor, whether its a bistro table and chairs on your deck; patio furniture with colorful throw pillows; or a lovely wooden bench and flowerpots near your walkway. This may be a great time to work with a stager so you dont have to buy many items yourself.Dont skimp on or blast the air conditioning. Dont make your home hot and stuffy so that buyers rush through your home. Or dont make it too cold, that buyers sprint through the rooms. Set your thermostat at a comfortable and cool temperature. If youve already moved, make sure you time it so that your home stays cool during possible showings. Buyers will love to get out of the heat!Brighten up your home. Consider switching out dark colored pillows, throw rugs, curtains, and other dcor to lighter colors.  Clean the windows, open the blinds, and keep the lights on. Even though it doesnt get dark until much later in the summer, you still want to light up the inside of your home.Maintain your yard and water, water, water. Mow your lawn, trim your bushes and trees. Sweep your deck or patio regularly.  The summer heat can make your lawn turn brown water that and all of your flowers in beds and pots.Be prepared for getting your family out of the house. If you have children, selling in the summer can be difficult because they arent in school and are at home, possibly all day long. Hopefully you can keep your home in order as much as possible and develop a good exit strategy for those times you need to show it. Preplan so you know if you need to have a sitter, set up a play date, sign up for a camp, or head out for a long dinner.Putting It All TogetherAs you can see, selling in the summertime doesnt have to be a negative. Youll have more daylight hours to showcase your home, youll see more serious buyers or those on a deadline themselves, and many homes can look their best inside and outside in the summer. All positive!But do keep in mind that summer is slower and there will be less traffic to your home than if you listed in the height of the springtime selling season. That can be a chaotic and rushed time, so the lazy days of summer is definitely a different market. You must keep it all in perspective.Every seller has their own personal specifics and deadline when it comes to selling, especially if you need to list your home in the summer. You MUST know your market and neighborhood so that you price your home right and also have an idea of what you should or shouldnt be doing when negotiating terms.Im here to help you with a summertime sale. I have a sales plan to get your home sold as quickly as possible for the most amount of money possible. Id love to tell you all about it.  Simply email me and we can set up a time to talk and see if selling in the summer is the right move for you.

8 TIPS TO KEEP CALM AND CLOSE THE CHAPTER

Your Mom loved living in Sarasota.  She was active and had many lovely friends with whom she played bridge, golfed, and enjoyed cocktail hour.  That made your heart sing knowing she was joyful and taken care of even though you were only able to travel from up north to visit her a couple of times a year.But then this unexpected life event happened.  She graduated rehab with flying colors and has been comfortably situated in an Assisted Living Community. It all happened so fast. Just last month she hit 3 over par and enjoyed a gin and tonic to celebrate!  Now comes the hard part.  The doc says she wont be able to live on her own again, and it doesnt make sense to retain the house she once lived in.  You cant ask Mildred or Marge, her best golfing buds, to do what comes next.  Its up to you and your siblings, and where do you begin?Below are eight tips to help you handle your moms personal possessions and real estate from a long-distance perspective now that she is comfortable in her new Sarasota Assisted Living Community.Plan Your Work, Work Your PlanSpend some time thinking about whats next.  What needs to be done, and who will be handling it.  The worst thing you can do is jump into the action phase without seeing the entire big picture. Some things to consider up front:TimeHow much time will you need to gather, organize, pack, choose, decide, ship, and move her belongings?How much time can you get off work to travel to Sarasota, handle the move, spruce up the property, and put the house on the market and coordinate the sale? LogisticsWhen do you start?Should you fly down to SRQ, or drive?How many times will you need to make the trip?Which siblings are going to help?Can you coordinate schedules so everyone can work together?DecisionsWhat personal possessions will Mom want in her new home?Who gets which heirloom?Do you ship these precious pieces, or store them?Should you advertise and host an estate sale, or donate?Mom lived in the house for 18 years. It definitely needs some cleaning and possibly a bit of updating in order to sell it. Who will handle THAT?Choose To Work With A Local And Experienced PartnerTackling the project of cleaning out a home and readying it for market is a daunting task.  Overseeing the project from 800 miles north of Sarasota is a complete game-changer.   Being an out-of-state personal representative or designated beloved family member is no easy task.There is a variety of wonderful senior services in Sarasota, and you can call on them for help.  Just to start, youll need cleaners, movers (& boxes), painters (& possibly other contractors), packers, shippers, donation charities, a dumpster rental, a Realtor, and a stager.  This is on top of coordinating with doctors, the assisted living facility, insurance adjusters, Medicare, or Medicaid, and OR: You might choose a local project manager who will serve as your liaison to coordinate the on-site logistics of removing the personal belongings, prepping, and selling the real property for top dollar.   This is my specialty, and I would first meet with you at the house, discuss the objectives and goals, give you time to remove your personal mementos, and then youd hand over the key.  From there wed agree on a master game plan, and Id follow it to a T with good communications along the way.  You head back north to your other responsibilities, and Ill get your job done here in Sarasota.    Research The Area Regarding Home Values And TrendsIf youre working with a quality Realtor, shell know the area and will give you solid area information about market trends and home values that will guide you on deciding on list price.  Of course, its always good to stay up on it yourself to be assured that her guidance is spot on.Dont Let Your Emotions Make Your DecisionsKnowing life has taken a left turn for Mom is hard to swallow. The empty house and especially the belongings within it can have a lifetime of fond memories associated with them.   Its important to feel the emotions that come up, but dont let your emotions drive you into making decisions too quickly, keeping too many personal belongings that could cost you too much money to store and transport, or lull you into choosing to wait too long and racking up utility, maintenance and holding costs on the property that you werent prepared to pay.Be Diligent, But Dont RushBalancing the emotions of life changes with making rational and prudent decisions is the name of the game.  Each morning, you may wake up feeling that there are too many decisions to make and tasks to attend to, but keep in mind that everything doesnt need to be completed in this moment.  Give yourself a break. Take one small step at a time and, at the same time, dont let overwhelm paralyze you.Weigh The Value Of Spending Time Or Spending MoneyNow that youve done a thorough analysis of the big picture, you realize the magnitude of what needs to get done while maintaining a life balance back home.  Its worth considering which you have more of at this point: time or money?  You might be an at-home DIYer and feel perfectly comfortable handling each piece of this project yourself.  But youre also being reminded of the work projects and kids soccer games at home that need your time and attention as well.Consider the value of handing off the project management work to someone who has resources at her fingertips, lives locally, and who can give you a weekly phone or email update on the progress of the project.  That might just be the ticket to help you sleep at night, and you might be pleasantly surprised that it doesnt cost that much more.Consider The Tax Or Medicaid Program Implications Of Selling Your Familys Real EstateBe sure to consult with your tax advisor and/or your Medicaid Application Consultant regarding how the sale of your Moms property could affect your financial picture.  You might find that, at least for a short period, it would be more advantageous to keep the property and lease it to a long-term tenant.  Your project manager should be able to help you with this aspect of the project as well.Remember to Breathe & Breathe Often.Through it all, you may find yourself so wrapped up in the whats next that one small, but critical, detail slipped through the cracks.  Stop, take a deep breath, and slow the pace.  Always remember that breathing is your friend, and taking occasional deep breaths does wonders for mitigating the stressful feelings that tend to overwhelm.Bonus tip: The last task you might want to take time to do before you head back north is to invite Marge, Mildred and your Moms golfing buddies over for a gin & tonic and thank them for their friendship.  Im sure your Mom will love to see each of them in her new living arrangements now and again.  Leave contact information for both you and Mom and head home knowing how proud your Mom would be with the details youd attended to.  And of course, remember to breathe.

Local Services By This Author

Jude Creamer / HomeSmart

Real Estate , , Florida,

Empathetic Support for Out-of-State FamiliesNavigating the complexities of transitioning a loved one to assisted or independent living from afar can be daunting. As someone who has faced similar challenges firsthand, I understand the emotional and logistical hurdles, particularly when it comes to managing the sale of your parents' home. Your Trusted Local Ally: Providing Care and GuidanceI'm Jude Creamer, and I offer a holistic solution tailored to ease the burden of handling real estate transactions from a distance. Based locally in Bradenton and Sarasota, I provide the compassionate support and professional expertise needed to ensure a seamless transition for you and your family. With my personal insight and a dedicated team, we'll prepare the property for sale and oversee the entire process with meticulous attention to detail. Peace of Mind, Even from AfarRecognizing the challenges of managing estate affairs remotely, I offer a comprehensive service that relieves the stress of long-distance property management. You can trust that I'll manage every aspect of the sale process diligently, allowing you to focus on other priorities while knowing your loved one's home is in capable hands. Support Every Step of the WayFrom arranging necessary repairs to staging the property for maximum appeal, my team and I handle every aspect of the sale with professionalism and care. Understanding that distance can pose limitations, I strive to provide personalized support that aligns with your family's needs and preferences. Methodical and Effective ExecutionNavigating estate transactions requires a systematic approach, and I'm equipped with the resources and expertise to ensure a smooth and efficient process. With a deep understanding of the local market and industry dynamics, I work tirelessly to achieve the best possible outcome for you and your family. Schedule a Consultation TodayWhen you're ready to entrust the sale of your parent's home to a compassionate and dedicated professional, don't hesitate to reach out. Let's collaborate to make this transition as seamless as possible, allowing you to focus on ensuring your loved one's new living situation is optimal for their next chapter.

Jude Creamer / HomeSmart

Transition Specialists , , Florida,

Empathetic Support for Out-of-State FamiliesNavigating the complexities of transitioning a loved one to assisted or independent living from afar can be daunting. As someone who has faced similar challenges firsthand, I understand the emotional and logistical hurdles, particularly when it comes to managing the sale of your parents' home. Your Trusted Local Ally: Providing Care and GuidanceI'm Jude Creamer, and I offer a holistic solution tailored to ease the burden of handling real estate transactions from a distance. Based locally in Bradenton and Sarasota, I provide the compassionate support and professional expertise needed to ensure a seamless transition for you and your family. With my personal insight and a dedicated team, we'll prepare the property for sale and oversee the entire process with meticulous attention to detail. Peace of Mind, Even from AfarRecognizing the challenges of managing estate affairs remotely, I offer a comprehensive service that relieves the stress of long-distance property management. You can trust that I'll manage every aspect of the sale process diligently, allowing you to focus on other priorities while knowing your loved one's home is in capable hands. Support Every Step of the WayFrom arranging necessary repairs to staging the property for maximum appeal, my team and I handle every aspect of the sale with professionalism and care. Understanding that distance can pose limitations, I strive to provide personalized support that aligns with your family's needs and preferences. Methodical and Effective ExecutionNavigating estate transactions requires a systematic approach, and I'm equipped with the resources and expertise to ensure a smooth and efficient process. With a deep understanding of the local market and industry dynamics, I work tirelessly to achieve the best possible outcome for you and your family. Schedule a Consultation TodayWhen you're ready to entrust the sale of your parent's home to a compassionate and dedicated professional, don't hesitate to reach out. Let's collaborate to make this transition as seamless as possible, allowing you to focus on ensuring your loved one's new living situation is optimal for their next chapter.

Jude Creamer / HomeSmart

Senior Transition Services , , Florida,

Empathetic Support for Out-of-State FamiliesNavigating the complexities of transitioning a loved one to assisted or independent living from afar can be daunting. As someone who has faced similar challenges firsthand, I understand the emotional and logistical hurdles, particularly when it comes to managing the sale of your parents' home. Your Trusted Local Ally: Providing Care and GuidanceI'm Jude Creamer, and I offer a holistic solution tailored to ease the burden of handling real estate transactions from a distance. Based locally in Bradenton and Sarasota, I provide the compassionate support and professional expertise needed to ensure a seamless transition for you and your family. With my personal insight and a dedicated team, we'll prepare the property for sale and oversee the entire process with meticulous attention to detail. Peace of Mind, Even from AfarRecognizing the challenges of managing estate affairs remotely, I offer a comprehensive service that relieves the stress of long-distance property management. You can trust that I'll manage every aspect of the sale process diligently, allowing you to focus on other priorities while knowing your loved one's home is in capable hands. Support Every Step of the WayFrom arranging necessary repairs to staging the property for maximum appeal, my team and I handle every aspect of the sale with professionalism and care. Understanding that distance can pose limitations, I strive to provide personalized support that aligns with your family's needs and preferences. Methodical and Effective ExecutionNavigating estate transactions requires a systematic approach, and I'm equipped with the resources and expertise to ensure a smooth and efficient process. With a deep understanding of the local market and industry dynamics, I work tirelessly to achieve the best possible outcome for you and your family. Schedule a Consultation TodayWhen you're ready to entrust the sale of your parent's home to a compassionate and dedicated professional, don't hesitate to reach out. Let's collaborate to make this transition as seamless as possible, allowing you to focus on ensuring your loved one's new living situation is optimal for their next chapter.