The all cash buyer is every seller’s dream. And every buyer’s nightmare if you are dealing with a mortgage contingency. If you are purchasing a home with a loan and in a bidding war with a cash buyer, they could end up looking like a super villain here to steal that dream house away from you. Before you start stressing out, take a deep breath and relax. Yes, competing with a cash buyer can be a smidge difficult, but it is not completely impossible. Not sure how to tip the scales in your favor? Read on.

What are the seller’s goal? If you can figure this out, you could score yourself home field advantage. After all, not every seller wants a quick easy close. Sometimes a seller wants to stay in the home and do a month or two of paying rent to the new buyer. This allows a slower and smoother transition with their move into a new home. If this is the case, sweeten the pot and offer this as an option.

What are your contingencies? If you can forgo a second appraisal or a home inspection (chat with your qualified Lake Tahoe Realtor about this one folks. Typically this is not suggested, however can be appropriate in some scenarios), this might give you a leg up on the competition.

One contingency you can’t remove is the mortgage. For this reason, get pre approved, NOT pre qualified. There is a difference. A big one. When you get pre approved, you are filling out all the paperwork that pulls your credit and income and determines what your loan amount is. Getting pre qualified simply tells you what it could possibly be. When you are pre approved, you speed up the process. Something very appealing for a seller when the other offer is cash. After all, the main reason transactions fall through at the very end is because the loan was declined during the escrow process. Making sure your mortgage broker is just as qualified as your Lake Tahoe real estate agent can help you out big time.

Next up, make it personal. I have discussed this in other blogs, but selling a home is a very emotional thing. Likely a seller will want the place that they made so many major memories going to someone who is not only going to do the same, but is going to take care of the property. Write a letter and tell the seller about your goals for this home and how much it would mean to you if got it. This creates an emotional tie that can absolutely help a seller to pick your offer.

For more information on the buying and selling process, call Peter Delilli 530-308-4331.