The Winning Bid
It looks like the various predictions that 2012 will be the best year in Real Estate since 2006, are coming true.
The statistics bear this out for sure, but a more telling phenomena is the dreaded bidding war. That is a listing that receives multiple offers. These happen with frequency in a market with not emough homes and too many eager Buyers. It also happens on really desirable properties. Of course this is great for the Seller of that property and the values for that area, but only 1 Buyer will take home the prize. The losing bidders will have to go find another one. I have personally seen a Buyer from my office recently compete with 34 other offers on a property.
He had the Winning Bid.
What set his offer apart, as far as we can tell, is the fact that he was purchasing with Hard Money.
The listing agent knew that the Hard Money Pre-Approval for that Buyer meant that the lender was ready to go with this loan. He knew that the property would not likely be a problem to the lender, as Hard Money will do really ugly properties, and this one was not that bad. He also knew that it would be fast as the contract offered a close of escrow in 21 days or less.
So the Buyer made the offer using Hard Money with a 21 days or less close of escrow and all contingencies removed in 10 days instead of the default of 17 days. This was an offer the listing agent could really get behind and it was the Winning Bid – out of 34 others!
So if you are feeling beat up after making offer after offer to no avail, get to your local Hard Money Lender, get Pre-Approved and go write a Winning Bid!
Forest Tardibuono- the Guy in the White Hat – is a CA DRE Broker with more than 24 years of experience in real estate and lending. His phone number is (707) 523-2099. Email is Forest@sunpacmortgage.com. See newly designed website @ www.sunpacmortgage.com. DRE license #01464899. NMLS #360993.