The last offer I got accepted for a client was in a bidding war. My client was looking to purchase a condo with her son in downtown Long Beach.
It was the 1st offer that they wrote.
They were worried about staying in their budget after getting approved for financing with such inventory levels. I created a plan for them after they requested my home buyers guide online.
The Lender is one of the Keys to Winning a Bidding War
I gave my clients a list of 4 lenders that they could call. They picked Natalie Fernandez who took their loan application and verified all of the details.
While Natalie was working on the details of the loan, one of the buyers and I were looking at options. Based on their price range, there were only 15 Long Beach condos that were actively for sale.
I said “Yikes” to myself. But I had a plan.
Reverse Marketing Research for Condos in their Price Range
I used our real estate multiple listing service to search recent sales in the past 6 months in their price range. Then, I narrowed down the condo buildings to the areas that they thought were good areas in the city of Long Beach.
Then, I had them drive by “off-the-market” Long Beach condos.
Basically, “off the market” means buildings of condos that would work for them if I could find them a homeowner that wanted to sell. This method takes time but works to your benefit, so you avoid bidding wars.
A Podcast about How to Win a Bidding War for Long Beach Condos
They took a day and drove around the city looking at my list of potential buildings and narrowed down the list.
Bam, a Downtown Long Beach Condo Came Up for sale at $299,000 in 2022
We hurried to go and see a condo. I knew the building because I created a page on my website about the community and Long Beach condos for sale.
I called and built rapport with the listing agent to see how they worked. I wanted to get an appointment to show this one-bedroom condo to my clients.
We got an appointment and went to see the condominium.
The property needed a little work to make it fit their tastes in a place to live.
Collecting Offers
This is one thing I’m not a fan of for you at all.
How does collecting offers work?
The seller tells the listing agent, who represents their best interests, not yours, to wait a certain number of days to see what offers will come in on their property.
To me, it is kind of like who can collect the greatest number of offers. I really feel bad for you, the home buyer, when this happens. It takes 1 to 2 hours to prepare an offer and then it goes into a collection basket…kind of.
Sellers are looking for the best price and terms. Maybe you have a higher down payment than another offer or maybe your offer comes with underwritten approval instead of just a pre-approval letter by your lender.
What is underwritten approval?
When you’re ready to buy a house, the last thing you want is to be held up by red tape. With a fully underwritten pre-approval from a reliable lender, you can breeze through the buying process with ease. If your lender doesn’t know what this is, I know several lenders that can help you. Just call me at 562-413-7655.
Buy it Now Price like eBay?
I’ve asked listing agents what is the “buy it now” price. Buy it now is an option on eBay. A few of them laugh at this and a few ask their sellers.
I do whatever I can to represent you and build rapport with the listing agent. It makes the transaction go smoother.
Back to our Downtown Long Beach Condo Story
My clients offered $315,000 and other offers came in. I had my buyer’s lender, Natalie, call the listing agent and go over the qualifications of the buyers in detail. Most lenders don’t do this.
While that was going on, the listing agents updated me on the number of listings that were coming in. Each time the listing agents updated me, I updated my clients so they could get some insights.
Buy it Now Price Works
Then, my clients asked me what would they need to offer to get the condo. Kind of like a buy-it-now question. I went back to the listing agents and they said $331,000 would be the number.
My clients agreed and bought a condo in downtown Long Beach. And the condo was appraised for $331,000.
Then, my clients asked me what would they need to offer to get the condo. Kind of like a buy-it-now question. I went back to the listing agents and they said $331,000 would be the number.
My clients agreed and bought a condo in downtown Long Beach. And the condo was appraised for $331,000.
Recap Summary of How to Win in a Bidding War
Building a plan and looking at options for off-the-market condos just in case
Having me build rapport with the listing agents
The Lender You Select Needs to Be Involved beyond getting you a loan
Have your agent ask the listing agent if there is a buy-it-now price. It can’t hurt to ask.
You’ve been through so much to get this far in the home buyer process, but you know that it isn’t over yet. There are a few more steps before you can celebrate your new home ownership!
Make sure you research the area and get financing from an experienced lender like Ms. Natalie Fernandez of Innovation Mortgage or Mary Shuck of Movement Mortgage at 562-388-4197.
For those who have already started looking for condos, take our 5-minute questionnaire today to find out if owning is right for you or not!
Articles You May Want to Read
- Off Market, Properties May Be the Solution
- Request a Free Copy of my Home Buyer’s Guide
- Should I call the Listing Agent or Have My Own Buyer Agent
- 12 Things Every Home Buyer Should Know
30-Minute Person Meeting to Discuss Your Plans & Build a Strategy to Win
Let’s meet and discuss your real estate plans. If we agree to work together, maybe I can find a house or condo off the market that you will love. Off the market means no competition. Fill out the form below or call Jay at 562-413-7655:
