Real estate market is sizzling in Toronto right now and everyone is familiar with multiple offers scenario. On an average, every good home is getting a minimum of at least 10 offers during the presentation day. Being a seller’s market, every home is going on a premium price and it is getting very difficult for buyers to get a home unless they have deep Pockets or excess of cash. You are competing with investors, new Rich immigrants, foreign buyers and a lot of local buyers who wants to get this home as an investment property. Unless you have a real thought strategy or a plan, it is very difficult to get home in the current scenario. Every business has to have a plan and your real estate buying business is no different. Check out the Toronto Real Estate Outlook 2017.
Do a quick showing
Now the question arises here is how to win a home in these multiple offer situations. Well, there is no trick but some effective recommendations that might get you a home of your choice.
As soon as a new home come in the market or precisely on the MLS system, ask your realtor to book an appointment and see the home. Often there is a time period 5 – 15 days until the final presentation. A quick showing will make sure that you have ample time to make preparations to put an offer.
Get the mortgagee Pre-approval
During this period, make sure you are pre-approved for your mortgage, talk to your bank or a mortgage broker and make sure you can afford the house adding a premium of 5% extra in case the offer goes above the asking price. Mortgage pre-approval give you preference over the other bidders. In some case, even if you put a low offer, you have a better chance as the seller will prefer to do a risk-free deal with pre-approved buying party and is willing to loose some $$.
Never buy an Overpriced home.
Never buy an overpriced home. Always stay focused and organized, it is more difficult to fall prey to that must-win-at-all-costs emotion, which generally leads to bad deals or over priced homes leading to additional liabilities Again this has to come from your real estate agent who should have a good understanding of the area and should give you a history of home prices in that area. always listen to your mind and your heart. You should know your limits and if you think the house is overpriced or it is beyond your budget, never give it at home. Also, ask your realtor to get you a comparative pricing for the homes that were sold in the neighborhood. This will ensure that you are not over-paying on that home.
Check the interest level on the Home
Ask your realtor to find out the number of registered offers or if possible the number of showings on that home. This will give you an idea of the overall interest on that home. If the the number of registered offers on the presentation is low, you have a high chance of getting that home with a minimum price. However, if the number of registered offers are high say about 10, you really have to fight out to bid high to secure the home.
Never Get frustrated
Finally never get frustrated in the home buying process. Home is the most expensive investment one make in life time and this has to be done wisely without bringing any haste or frustration into picture. There are hundreds of home available in the market and we can help you buy a home in Toronto, Mississauga, Brampton, Caledon, Vaughan, Milton or anywhere in the GTA.