This post was contributed by a community member. The views expressed here are the author's own.

Neighbor News

How Homebuyers Can Win the Bidding War

For many, buying a house is the American dream, but these days, snagging a suitable home has turned into an all-out war in some places, with

Nightline Prime Saturday night on ABC at 10:00pm, they’re doing a story on our hypercompetitive buyers market and the lack of home inventory

For many, buying a house is the American dream, but these days, snagging a suitable home has turned into an all-out war in some places, with victory often going to the highest bidder.

Experts say housing prices have been steadily increasing and are likely to continue to rise. All the while, interest rates have remained low and new home construction has been lagging, creating a limited supply of available homes. This combination has stirred up a nightmare scenario for many homebuyers and a dream come true for sellers.

Find out what's happening in Birminghamwith free, real-time updates from Patch.

“It’s a tough market to be buying in,” said New York real estate guru Barbara Corcoran. “Every buyer’s uncomfortable. If you’re an aggressive buyer, it’s the kind of market that brings the fangs out. If you’re an insecure buyer, it’s the kind of market that’s going to scare the crap out of you.”

“Nightline Prime” followed a few couples who were fighting for their dream home, only to be outbid many times over. But real estate experts say there are some things buyers can do to give themselves a competitive edge, such as including a short letter about yourself in your offer application to the seller.

Find out what's happening in Birminghamwith free, real-time updates from Patch.

Real estate agents from Redfin, a national real estate brokerage, put together a “do’s” and “don’ts” list of what potential homebuyers should write in a cover letter when putting an offer on a home.

Below are Redfin’s tips — and watch the full story on “Nightline Prime,” Saturday, April 26 at 10 p.m. ET.

DO:

State your offer terms, including price, close date and your lender's name. Listing agents know which local lenders can get the job done in time.

Be honest about your personal situation and why and how you are buying a home now. If you've been saving up since you were a little kid, say so!

Get to know the sellers. Include details about what you have in common.

Be creative. If you can't offer a higher price, say what you can do to sweeten the deal.

Make it perfect. Check for typos and spelling and grammatical errors.

DON'T:

Tell your entire life story.

Mention your drastic renovations you're planning to make.

Copy and paste the same letter to different offers.  Sellers can tell!

Try to justify your offer price.  Leave that to your agent.

Mention offers and homes you have lost, as it could be seen as a sign of weakness.

By ABC News, Nightline, Chris James, Sally Hawkins, Ashley Louszko, and Lauren Effron.

About William Brundage:
Named the Best Realtor by the Oakland Press and also named Real Estate All-Star by Hour Magazine, William Brundage is an industry leading Realtor bringing over twenty years of experience to successfully marketing and selling fine homes and estates. His dedication to his clients and our community places him in the top 1% nationwide. Personalized service and client satisfaction are paramount. William is committed to getting you the best price and terms in the shortest amount of time.

Cell: 248-980-2455
Email: william@williambrundage.com
Website: www.WilliamBrundage.com

We’ve removed the ability to reply as we work to make improvements. Learn more here

The views expressed in this post are the author's own. Want to post on Patch?

More from Birmingham