This article has some good pointers for home buyers,
however, the Bay Area is a unique market and especially San Francisco!
To make your offer one of the top 5, consider these
Purchase Price - Be prepared to write your offer significantly higher
than the list price
In the last several months I have seen properties sell
anywhere from $30,000 to a whopping $400,000 over asking, depending on the area
and the price range.Â If you are
searching in the best neighborhoods and want a property that is in move-in or
remodeled condition, the competition can be daunting.
When you find a property you love and it is listed at
$600,000, yet you are only approved for $625,000, my advice would be to look at
less expensive properties.Â Then you will
have a cushion for over bidding if that particular property has multiple buyers
Inspections - Schedule and pay for pre-inspections
If you can stomach shelling out $400-$1000 for
pre-inspections before you have even written an offer, then by all means go for
it! This winning strategy will increase your competitive edge
Obviously, this can get very expensive if you don't have the
most compelling offer.Â Many buyers just
can't wrap their minds around this approach and instead make a point of writing
in brief time periods for inspections. Â A
short contingency period would be 1-5 days, with less being more.
If you are 100% sure you will be writing a highly
competitive offer on a property, ask your Realtor to set up inspections before
you actually make the offer.Â Using this
strategy will allow you to schedule/attend inspections and remove those
contingencies a few days after your offer is accepted.Â This will give the Seller peace of mind and
show them that you are highly motivated and want a smooth transaction.