You may have seen our emails and posts about becoming a cash buyer with Hoss Group, but let us dive in a little further. First, let’s talk about the current buyer’s market.
Right now as a buyer you are competing with a larger than usual pool of other buyers. What does that mean exactly? Well, inventory is currently down 50% from last year, but the number of buyers in the marketplace has only increased. We are seeing 30 plus offers on any given in-home, and what’s crazier is it is in ALL price ranges. So, as a buyer wanting to capitalize on the current interest rates and get more home for your money how do you not only compete, but actually win?!
If you are a financed offer, meaning you have a loan approval from a lender and you want to make a strong winning offer you are needing to go well over the list price to begin with. How much over? We are seeing offers 10%-20% over asking, but you can’t stop there. You also will need to pay for the title policy (typically less than 1% of sales price), pay for your own home warranty ($600-$1500 depending), $500 option fee (inspection period fee), double earnest money (2% of sales price), and the shortest closing date possible, which with a lender is not going to be less than 21 days, 30 for most of them, and a very good letter to the sellers. Guess what, even if you do all the above, which is a very strong offer, and someone else comes in with a similar offer, often even less than that far above asking price, but is paying cash with no financing contingency you lose every time. According to a recent study by Redfin, all-cash offers improve their chances of winning a bidding war by 290%!!
So, how do you become a cash buyer when you don’t have cash on hand? We have you covered. We have a program that, as long as you qualify for conventional financing, allows you to make all-cash offers and close with all cash in 2 weeks. What does this cost to do, nothing. No, it’s not too good to be true. This company was created by realtors for realtors because we are running into this problem so much and this gives our clients a leg up above the competition. We prefer to win, just like you do.
Want to learn more or apply and get started, visit us here or call your favorite HG agent today and we will be happy to answer any questions.
Source: Meleese Hoss – Realtor at Hoss Group Realty