Tips for Home Buyers Caught in Bidding Wars

As early as April this year, the Wall Street Journal reported on the surged of bidding wars among home buyers.

With the rise of median existing single-family home price but a lack of inventory of homes for sale nationwide, as reported by the National Association of Realtors, there is a possibility of bidding war among home buyers.

Here are some tips to be successful in this home bidding:

.In bidding, knowledge is power. Determine the average price of similar homes sold in the area and make your offer accordingly. By failing to make an offer based on the available data, there is a greater chance that you will lose the home that meets all your requirements.

.Prepare your financing. If you plan to buy a home from gift money, deposit this money in your bank account.

.Put a large amount of money deposit. Holly Worthington, a multiple-offer expert, told CNN Money, “I see earnest money deposits as high as 20 percent of the purchase price.”

.Compose a persuasive letter stating why you want to buy the house. When all things, such as money requirements, are equaled, a compelling letter can make a difference in landing you that home that meets your needs and wants.

Whether you are a first-time home buyer, first-time home seller, empty nester, thinking about selling a home or buying a home, do contact the Guldi Real Estate Group. In Southern Maryland, the Guldi Group is the number one real estate team.