When you find the home you love, it’s time to submit a strong offer so the seller will accept it quickly and the home will become yours.
Maybe it seems simple: submit the highest-price offer and the seller is sure to choose it over any others that come in.
Does it surprise you to find out that we often see sellers accept lower offers with better terms? The terms of your offer can mean even more than the price.
Our goal is always to find an offer that gets you the home you want while respecting what the seller wants, and making the decision easy for everyone.
We consider many data points and pieces of information when helping craft your strongest offer with the right combination of price and terms.
Situations where we might offer a lower price
- Long Days on Market (“DOM”). You can see how many days a property has been on the market right in the listing. The longer the time, generally the better for the buyer. Other buyers may question if the property has issues and shy away, leaving room for the seller to be grateful for any offer, even a lower one. Sometimes, we see investors or developers selling properties with high DOM because they’re under water on the property and need to recoup their costs by sticking to a firm price, no matter if it takes longer. In that case, a lower price is less likely to be accepted.
- No other offers. If your offer is the only one on the table, you may be able to get a deal. But keep in mind that every seller’s mentality is different, so patience and understanding are key. If the seller doesn’t want to sell low, they might not sell at all. If we initially offer low and aren’t accepted, we may be able to resubmit to meet in the middle. The key is to not go so low that we offend the seller and they won’t negotiate with us.
What we can offer in terms
- Certainty. Sellers want to know for sure that the transaction will close. Otherwise, they’ll need to go through the cost and emotions of putting their home back on the market, which will also put a stigma on the property. Nobody wants that! Making a Flyhomes Cash Offer or Guaranteed Offer is a way to offer certainty.
- A quick close. Shortening the timeline to offer a quick close allows the seller to move on with their lives sooner and alleviates worries about the transaction falling through. Cash Offers position us to offer this benefit by removing the seller from the equation before you finalize your financing, which can take some time. Removing contingencies is a strategy to fast track the closing timeline to enable a quick close, too.
- Rentback. Rentback is when you agree to rent the home to the seller after you take title, so they have time to move out. This is a sign of respect to the seller because it honors that they’re going through a stressful time while selling their home. Time and time again, we’ve seen sellers choose the offer with rentback because they appreciate the flexibility.
- Personal terms. Keep in mind that selling a home is emotional for the sellers, so they’re likely to choose the buyers that make it the easiest on them. We’ll work with the listing agent to find out what’s important to your particular seller. Often, sellers want to know that you’re financially strong and that you have a personal connection to the home. In that case, we’ll often recommend that you write a letter to the seller to tell them about yourself and what you love about the home (and we can help you craft one if you’re stuck!).
After we submit the offer
After your offer is submitted, we’re ready to negotiate further on the price and terms with the seller’s listing agent should we need to. This period can be stressful because it’s out of your hands!
Of course we’ll keep you posted, but there’s a gap where we can’t be certain what’s happening on the seller’s side. Read on to find out what’s going on behind the scenes during that time.