How to Prepare for a Competitive Offer in Milton’s Housing Market

Milton’s real estate market remains hot due to high demand and limited inventory. This forces buyers to bid with multiple offers on desirable homes for sale. Submitting a competitive purchase offer is required to obtain your dream home in Milton. Follow these tips to prepare for success in Milton homes for sale.

Get Pre-Approval

In a seller’s market like Milton, an offer without a pre-approval letter or proof of funds is tossed aside. Meet with lenders to get pre-approval on the maximum amount you can afford. This lets sellers know that you are a serious buyer and are ready for financing. Know your budget limits before you start house hunting so you don’t fall in love with a home you can’t actually afford.

be prepared to move fast

New listings become available quickly in competitive markets. Sign up for alerts from real estate sites and talk to your agent about receiving advance notice of upcoming listings. If you find “the one”, be prepared and able to see her and make an offer the same day, barring contingencies, if possible. Hesitation will cost you dearly.

bid above the asking price

In Milton, homes often sell for 5-10% more than list price. Don’t play games with lowball offers that have no chance of being accepted. Work with your agent to set a fair asking price based on compensation, current demand and the condition of the home. Remember, appraisal protects you from overpaying.

reduce contingencies

Sellers dislike offers filled with contingencies that push out closing timelines and increase uncertainty. Waive the financial contingency if you are strongly pre-approved. Skip the inspection contingency and conduct your inspection ahead of time, then ask for credit for any necessary improvements.

increase clause

Adding an escalation clause lets sellers know that you are willing to pay more if another offer beats yours by a specified threshold. Signal to the seller that this is your maximum bid so they don’t leave money on the table. Just don’t get caught overpaying.

large earnest money deposit

Deposit as much as you can towards the earnest money deposit, even if it is not refundable. A large deposit signals that you are committed to having “skin in the game” and not just kicking the tyres. Make sure you get legal advice on the risks associated with funding advances.

bridge the valuation gap

If the appraisal comes in lower than your offer price, be prepared to cover the difference in case the seller doesn’t make adjustments. Lenders only finance the appraised value. Having cash reserves or interval financing options will make your offer more attractive.

Draft a solid proposal letter

Write a letter to the seller emphasizing why you like the home and how you will take good care of it. Share positive details about yourself or your relationship with your family and neighborhood. This puts a human face on your offer.

move fast to close

Commit to a closing date as soon as possible. Offer to be flexible to accommodate the seller’s needs. The sooner you shut down, the less chance something will break. Demonstrate that you will not delay the seller’s plans.

Partner with a Realtor who has seen it all

In wild markets like Milton, it’s important to have a real estate agent with extensive experience. Lean on their expertise in competitive bidding and negotiation to gain advantage.

With preparation and persistence, you can find the home of your dreams, even in Milton’s highly competitive market. Be alert and ready to take decisive action when the right opportunity arises. The rewards of homeownership are worth it!