As a buyer, it can be frustrating if you keep putting in offers on home, only to be bested by other buyers offering cash for the property.
But there are ways to help your offer stand out and increase your chances of getting your offer accepted, even if you’re up against all-cash offers.
So how, exactly, do you do that?
A recent article from realtor.com outlined tips buyers purchasing a home with a mortgage can use to compete with buyers coming in with all-cash offers, including:
- Determine your seller’s goals. Not all sellers are created equal. While an all-cash offer may appeal to many sellers, other sellers might have different priorities. If you can determine what those priorities are, you can position your offer in a way that speaks to their goals and makes your offer more competitive. For example, if the seller still needs to buy a home, offering to allow them to stay in the home for a few months following the sale — perhaps even rent free — can help you stand out from other offers, including all-cash offers.
- Consider your contingencies. While it’s not always the best strategy, waiving contingencies like a home inspection can make your offer more competitive with all-cash offers. Just keep in mind that this strategy can backfire if the home has serious issues you would have found during an inspection, but if your heart is set on a particular home, this could be a way to compete with all-cash buyers.
- Make it personal. Many all-cash buyers are flippers and have plans to either completely renovate the home, or tear it down and build from scratch and then sell for a hefty profit. But many sellers have sentimental attachments to their home, and would prefer to sell to someone who will love and enjoy the home the way they did. Writing a personal note with your offer that outlines who you are, your plans for the home, and the future you’re looking to build can appeal to the seller’s sentimentality, and help your offer stand out in the process.