Imagine this — you found your ideal home, but you’re up against tough competitors. There are retirees with significant financial resources, and there are also younger buyers who receive financial assistance from their parents. In fact, in 2023, it was revealed that more than one out of four properties on Australia’s east coast were bought by cash. As someone who relies on a mortgage, how would you play the game? Experts offer these valuable tips to secure your dream home.
- Research, research, and research. The goal is to make a competitive offer, and to do that, you have to know more about the property and the market. This includes researching recent sales of similar properties nearby, understanding the auction process (if relevant), and establishing a clear budget.
- Get inside the seller’s head! Are they motivated by a quick sale or are they flexible with the price for the right buyer? You can make your offer more attractive by aligning it with their needs.
- Get creative with your offer. Buyer emotions can be extreme in an auction, making them spend more than planned. On the other hand, the salability of the property concerns many sellers too. As a buyer, you can use this opportunity to offer a pre-auction bid. Make it appealing that the owner would take the listing off the market and finalize the deal with you.
- Start strong and stay aggressive. You can intimidate your richer rivals in the auction by feigning confidence! For a $1.68M property, you can open the bid at $1.5M. This can potentially scare off some competitors early on. Stay collected all throughout and make the final offer your strongest.
- Consider alternative properties. The market is highly competitive. You may explore other options in the market such as villas, townhouses, or properties in a more affordable location. You may find a hidden gem that suits your style and needs.
Bonus Hacks
Get pre-approved for a mortgage. The vendor will be assured that you’re a serious and qualified buyer. Also, work with a buyers agent to make your buying journey less stressful. Let them handle the complexities of the process as they put their knowledge to work for you. So, are you ready to take on the challenge and win your dream home? With careful planning and a strategic approach, you can be a tough rival in a competitive market. Now get out there and find your perfect place!
This article was inspired by a recent article on Domain found here.
