Real estate markets across the country are booming, with more buyers shopping than there are homes available in many markets. With homes selling so quickly, it's important to consider all options for landing the top choices on your list of potential homes. For buyers in a competitive market, an early offer can be an appealing option for trying to land a home before more buyers get the opportunity to make a bid. There are both positives and potential pitfalls to making an early offer, and our real estate agents are here to help you decide on the best options for purchasing your next home.
- What Qualifies as an Early Offer?
In many cases, agents like to list homes on Friday because it's typically the best day of the week for posting new listings. The open house will then usually occur a few days later, so there is a small gap between when the listing is posted and when most buyers will see the home in person. So an early offer will typically come in shortly after the house has been listed, but before most buyers will see the home. Some sellers will be more interested in considering an early offer than others, with their own circumstances and the local real estate market trends playing an important role in their decision.
- The Benefits of Making an Early Offer
When you're shopping for a home in a seller's market, every edge matters. Making an early offer is a way to show that you're very interested in the home, and to get your offer in front of the seller before they've heard from other buyers. A seller who's highly motivated to make a quick sale and has specific terms in mind that your early offer is able to meet may just be motivated enough to accept.
The key is ultimately in the quality of the offer. So while you shouldn't expect to find a bargain with an early offer, making the right offer may help you land one of your top-choice homes before more bidders get involved.
- Potential Risks of Early Offers
While early offers do have potential benefits, there are also risks to consider. If you don't have pre-approval for a mortgage, aren't 100 percent sure that the home is right for you, are shopping in a slower real estate market, or need to sell your current home before making an offer, then an early offer may not be the best option. If you place certain conditions on your offer, like a deadline for acceptance, then a seller may be turned off by the aggressiveness of the offer. So it's important to make sure an early offer is a good option for your needs before taking the next step.
- How to Make an Early Offer Stand Out for the Right Reasons
If you want the seller to seriously consider accepting your early offer, then making the right offer is critical. Start by acknowledging that you'll probably need to offer at or above the asking price. Offering a higher down payment, quicker closing, and fewer contingencies can also help your offer stand out. While making a competitive offer is key no matter the timing in a seller's market, it's absolutely vital when you're making an early offer.
The right real estate agent can make all of the difference in helping you land your dream home, and we'd love to help you find the best real estate on Long Island. Contact us to buy and sell homes throughout the Long Island, NY area.