It's hard to believe it's possible to miss out on a property you have your eye on in a real estate market that barely seems to be moving but it is in fact happening. The last couple of days I've heard a few stories about how a slow moving buyer has missed out on a fabulous opportunity and has been left with a feeling of serious rage and disgust for just about anyone else but themselves for missing out. My how the allegations can fly.
Let me tell you a secret...that old cliche, "you snooze, you lose" still means something even in the slowest of markets!
Here are a few tips you can use to prevent from being one of the select few who are running around town inwardly thinking, shoulda, coulda, woulda and outwardly spewing: you're shady, you're stupid, you suck.
1. Once you've identified a "deal" that fits your personal needs...do something. Consider whether the property is that great of deal. If it is, guess what...it's high season. Chances are it will probably sell this season so you need to be prepared to do something fast (yes, even in this market).
2. Doing something and doing something smart are not the same thing. If you want the property. GO GET IT. That means have your Realtor write up a real honest to goodness contract with all of the specified terms and conditions that are acceptable to you, sign it and have it presented. Verbal offers, napkin offers, partial email offers and smoke signals are rarely if ever taken seriously over real paper contracts should you find yourself in a competing position....even if the terms are what you consider better.
3. Fooling around with terms will probably help you lose the property. A few of us around here use the term "intelligent offer". For example, if you come in at a ridiculous price expecting the seller to negotiate respectfully, you're probably going to get your feelings hurt when they do one of two things. The seller may choose to respond back with a counter that is equally unintelligent or they may choose to not respond at all. Despite our encouragement to get them to do something amicable sometimes these sellers have seen and heard enough from people just like you...who came in before you and they simply don't have the strength or stomach to respond better. Offer a fair price...something you can explain on paper INTELLIGENTLY and chances are you'll get an intelligent response and even a response that will result in an effective contract.
4. Just because it's listed for a certain price doesn't mean it's going to sell for a certain price. If you're one of those people who have kept your eye on a property only to see it sell and then only to be sickened more after finding out what it sold for...shame on you. Just teasin...but seriously, get on the horn and ask your Realtor to do a little research for you. Some sellers...not all sellers...but some are in fact negotiating. There in fact have been times when sellers have turned down offers, contemplate for a week or two and gone back to those original buyers and said, "ya know...we've thought about it...and we'd like to take you're offer". You'd be amazed at how many times those deals don't work out for various reasons but every once in awhile they do. It's kind of like the lottery, you can't win if you don't play. I want to follow this up with a word of caution though...be prepared to pull the trigger if you should be so fortunate for this to happen to you. Don't expect this to work if your original offer was really stupid...for lack of a better word. It really only works for those lower but still intelligent offers.
5. So you're paying cash...that's great! So are alot of other people. For some crazy reason many people coming down here to purchase seem to think they're the only cash buyers in town and that term alone will win them the deal of their dreams with little respect to the other terms on the contract. We average about 50% cash and 50% loans in our market and for our more prestigious locations it's probably closer to 85% cash, 15% loans or higher. I can't remember the last time I was able to refer a lender. Many people end up doing a loan throughout the escrow period but few are concerned about qualifying and if at worst case scenario are prepared to pay cash anyway. This term should not be considered your only "ace in the hole" here. It's actually quite common.
6. If you're hearing there's alot of traffic on a property, it might be true. Oh, I wish I could say that it's always true but we know there are some agents who are anxious to see a deal. I've learned that after I ask, "how has your traffic been", and I'm told that a property has been really active, to ask more probing questions to see if they can confirm their answers. I might follow up with, "Great! How many offers have you seen"? or, "is that open house traffic or real showing traffic"? I also might say, "what's the most common feedback you've heard so far". You can learn alot with additional probing questions and of course, if you know the people you're talking to, that certainly helps. We have a great deal of straight shooting Realtors around here and we have a few agents who like to stretch the facts a little. A great Realtor will usually be able to determine quickly who they're dealing with.
7. The last tip I can give you today isn't really a tip at all but more like a check. If by chance you do lose that deal of the decade...it simply wasn't meant to be. Not that I'm too much of the "If you love something let it free" kind of person but a few times I've seen people really turmoil over missing out on a property only to find a better house or a better deal or sometimes both in a pretty short time frame later. Give it your best shot and if you still miss it, you'll get one. Keep at it! Naples is well worth it anyway!
Best Regards,
Your Naples Smart Girl!
Central A/C
Central A/C
