What Sellers Look For In An Offer – Other Than Money
Selling a home is more than just a financial transaction – it’s a significant life event that often comes with a whirlwind of emotions and decisions. Some buyers might think that the most important factor a seller considers when reviewing an offer to purchase is the price. The reality is that there can be a lot of moving parts to an offer to purchase that the seller will weigh before they agree to sell.
In recent years, the Ottawa real estate market has been characterized by a lack of inventory to satisfy a large number of buyers. This creates a market environment that favors the seller in the offer process, and it is not uncommon for the buyer to be competing against one or more buyers during the offer process. With this in mind, let’s consider what sellers are looking for when deciding the right offer on their home.
Closing Date: A Matter of Timing:
The closing date holds immense importance for home sellers. A well-timed closing can ease the transition to their new chapter, and sellers often favor offers with a closing date that aligns with their needs. Buyers who are flexible and willing to accommodate the seller’s timeline can gain a competitive edge. For instance, a seller may have already committed to another home purchase and wants a period of time to overlap on the closing dates, to allow them a more stress free transition. Demanding a closing date that is too early can literally put them out of home before they can move into their next one.
Deposit Amount: A Show of Commitment:
While the size of the deposit may not be as appealing as the overall offer price, it does communicate the buyer’s level of commitment. A substantial deposit signifies a serious intent to purchase and instills confidence in the seller’s mind. A larger deposit can also provide a safety net in case of unforeseen issues during the closing process, making it a reassuring factor for sellers.
Fewer or No Conditions: Simplifying the Transaction:
Home sellers often gravitate towards offers with fewer contingencies or conditions. When a potential buyer presents an offer with minimal conditions, it reduces uncertainty and streamlines the process, making the sale smoother and more attractive. While some conditions are generally accepted as necessary, such as a satisfactory home inspection, offers that come with a laundry list of demands may deter sellers seeking a straightforward transaction.
Length of Time for Conditions: Balancing Patience and Certainty:
The length of time allocated for fulfilling conditions, such as the inspection or securing financing, can significantly influence a seller’s perception of an offer. Striking the right balance between giving the buyer ample time and not prolonging the process indefinitely is essential. Offers that propose a reasonable timeframe for conditions show consideration for the seller’s desire to move forward efficiently.
Buyer Personal Letters: Establishing a Connection:
In an era driven by technology, a personal touch can go a long way. Buyer personal letters provide an opportunity for potential buyers to connect with sellers on a more emotional level. These letters often convey the buyer’s attachment to the home, their future plans, and how they envision creating cherished memories within its walls. A heartfelt letter can help sellers feel confident that their home will be cherished by its new owners.
While the financial aspect of an offer is undoubtedly important, home sellers are increasingly considering a broader range of factors when evaluating offers. A well-timed closing date, a substantial deposit, minimal conditions, a balanced timeframe for conditions, and a heartfelt personal letter can all contribute to an offer’s appeal. By understanding and addressing these key points, buyers can create offers that stand out and resonate with sellers which lead sellers to accept their offer over others…sometimes even at a lower price.