How to Get Multiple Offers for Your Home (and Sell Over Asking Price!)
It's the ultimate dream of every home seller-- to get to sell their property for much more than what they asked for. And the icing on the cake is an all-out bidding war among several interested buyers, with the victor shelling out more than what you asked for in your listing. Getting multiple offers is more than just having good luck, perfect timing, or a perfect location. Strategy is key, and today we share with you the proven techniques of Realtors® on how they can instigate a multiple-bidding war:
Low Asking = High Closing
A particularly risky and aggressive move to ensure a bidding war on your home is to price the property at 5-10% lower than its going market rate. The low price will attract buyers to look into the home, giving them a chance to look it over and see how great of a deal it is. A steep introductory asking price will turn away home buyers on a budget, so this strategy, albeit seemingly counterproductive, is actually a recipe for bidding mayhem. With many interested buyers all agog with "the steal", they wouldn't mind adding a few hundreds (then thousands) into the offer to make sure they win. The result: a closing price that is more than the price you originally had in mind, thanks to aggressive bidding from multiple parties.
Simmer before Closing
It is very tempting to accept the first offer and immediately close the deal. However, if you want to get more out of your home through multiple bidding, you might have to hold back a bit and use the first offer to your advantage. By letting other interested buyers know about the offer you just received, you are launching a psychological strategy of bringing out the natural urge to compete, especially for something that is desirable (like your listing!)
Consider Selling to Investors
Expect to meet all kinds of people when selling a home, like the stubborn, zero-negotation type of buyer. Of course, having a buyer is way better than having none, but can't they all be a little more flexible and not insist on having a fixed-price offer? Instead of turning down your buyer just because they are sticking to their offer, why not instigate a little bidding war by offering the place to an investor? Investors won't live in the property but would happily purchase it (often in cash!) if they find that it would generate good revenue. Instigate a bidding war with an investor and your stubborn buyer might just change his mind for the better!
Invest on Renovations
Renovation might just be the key to selling your home for over its asking price in a neighborhood with sluggish sales. If many listings aren't selling in your area, you don't have to pull down your listing's price in order to get noticed by prospective buyers. Instead, get noticed by prospective buyers by renovating the property and adding amenities that home buyers like, such as attics, basements, and eco-friendly energy upgrades. It might cost you a few grand, but if you invest on renovations, you are more likely to get the price you want for the home you are selling.
Sell Novelty and History
Sometimes, all you need to entice buyers into purchasing your home is to sell its novelty or its history. Was it once the home of a famous rockstar? Does it have a secret garden? Have you found a treasure chest in your backyard? These things may not have monetary value but are attractive to home buyers nonetheless. Make sure to tell your agent about this and tell the tale when showing the home; it might just pay off with offers gone crazy, thanks to a piece of novelty or history!
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