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Tight Markets
Strategies For Winning Homebuyer Competition

In tight real estate markets homebuyers often are challenged by a low inventory of available properties and stiff competition from other bidders. To remain competitive, agents say house-hunters will have to make some concessions.

One strategy is to keep the offer simple - perhaps by bidding above the asking price while accepting responsibility for certain repairs. Steering clear of contingencies - even if it means agreeing to purchase a property although they have not unloaded their own residence - also will give bidders a leg up over other interested parties. Another tactic is to reduce the length of the contingency and inspection periods, which narrows the amount of time in which a deal can collapse.

Homebuyers additionally may offer more for a good-faith deposit, in order to demonstrate that they are serious about purchasing the home. Along those same lines, buyers can boost the sellers' confidence in them by presenting any mortgage pre-qualifying statements along with their offer to show that they have the balance of the funds if their offer is selected.

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