Why You Should Make Your Best Offer First
Almost every homebuyer I work with asks how much they should pay for their house. The answer is a resounding “it depends.” How much do you want the property? How much are you willing to spend? Today’s homebuyers don’t want to pay too much for a home, and I get that. But when you get down to it, that is about fear—the fear of overpaying.
Remember that something is only worth what able buyers are willing to pay. Given enough time, residential real estate almost always appreciates. If the market goes down for a while, that doesn’t mean you’ve lost money. The loss is only realized if you sell.
"You want to feel confident that you took your best shot if your offer gets rejected."
If you stay in the house for a while, you have time to ride out the bumps. Only speculators and house-flippers have to worry about what the market will look like in 90 days. You should never gamble with your primary residence.
Keep in mind that it only takes 4 years to see a reduction in your mortgage balance. It only takes 10 years to see meaningful equity in a flat market.
So, how should you formulate your offer as a buyer? You should lead with the best terms you can. You want to feel confident that you took your best shot if your offer gets rejected.
If you have any other real estate questions, feel free to call or email me. I would love to chat with you.