From Dennis and Jane Guertin | Guertin Family Realty | (952) 442-1300 |
It only takes two buyers interested in a home to create a multiple offer situation! When that happens, here's how to make an offer stand out from the pack.  (Please also see the wire fraud prevention tips at the end of the article - it's a serious problem that anyone who wires money should know about.)
Dennis and Jane Guertin
(952) 442-1300 Direct

Winning Multiple Offer Tips

1. Do a Pre-Inspection

Traditional home sales are contingent on an inspection that occurs after the contract is signed around. Sellers know that this is one of the easiest ways for a buyer to back out, and dread the prospect of being "nickel and dimed" by buyers who have the house secured with a contract.

Doing a pre-inspection allows you to make the offer with no inspection contingency because it's a moot point - the inspection has already been done prior to writing the offer. You're essentially telling the sellers, "I already know everything that's wrong with this home, and I'm willing to pay 'x' amount for it."

Be Aware: This technique will have less pull with sellers who are convinced (correctly or not) that their home would pass any inspection with flying colors.

2. Make Your Financing Pack a Punch

Some pre-approval letters are so full of disclaimers that they almost do more harm than good. A strong pre-approval letter makes it clear that a mortgage professional has reviewed your credit score and financial documents.  Better yet, if the lender's underwriter examines and approves your financing up front you can state that you are fully underwritten, which is even stronger than a pre-approval.

(It is normal for pre-approval letters to state that final approval depends upon clear title, satisfactory appraisal, and no significant change in your financial condition prior to closing.)

Tip: Getting your loan professional to call the listing agent on the day of the offer to confirm what a strong buyer you are can go a long way. Cash buyers can submit a bank statement (with account numbers inked out) showing proof of funds.

Be Aware: Listing agents are often leery of offers with financing from out-of-state lenders or financial institutions whose names end in ".com."

3. Know Your "Walk Away" Price

Knowledge is power, especially when it comes to multiple offers! Many people assume that being in a bidding war means paying above market value, but this is not automatically the case.  As long as you have a good idea of the true market value of a home before making the offer, you know how high you can bid without paying too much.

We can get an excellent idea of how much a home is worth in today's market by evaluating similar properties that have recently sold, homes that are under contract, and those that are currently available.

Key Question: How much is the home worth to you? This might be more or less than market value. Ask yourself, "What is the price at which if the home were one dollar more I could walk away from it content, but if it were one dollar less and I didn't get it I would kick myself?"

Be Aware: Once you get the phone call saying whether or not you got the home it's usually too late to go back to the seller with a revised offer, so try to imagine this scenario and do whatever you can to make sure you'll have no regrets either way.

Wire Fraud Alert - Stay Safe Out There!

Did you know that scammers have been bilking home buyers out of their down payments? Nearly $1 billion was either diverted or attempted to be diverted in 2017, according to the FBI. Hackers typically pose as the title/escrow company or the lender, and send fake wiring instructions to buyers via email as the closing day approaches. (This same type of scam can be used to target people wiring funds for any reason.)  Because wire transfers are initiated by the consumer, standard protections do not apply and the money is often never recovered.

Tip 1:  Always confirm written wiring instructions by calling the recipient.

Tip 2:  Call a number you know for sure is legitimate, not the number listed on the wire instructions. (If the instructions are fake, the phone number will be too.)

Tip 3: Never rely on email, text, or voice mail confirmations. Make sure you speak directly with someone who you know is legitimate.

Tip 4: To avoid being hacked, use complex passwords of 10 or more digits. When passwords use upper and lower case letters, symbols, and numbers, an 8-digit password can still be broken by a supercomputer in only 4 hours, whereas a 10-digit password takes 3 years, according to Thycotic. (Typically it is the closing agent or the lender who gets hacked, but any increase in security is helpful.)

Tip 5: Avoid the problem entirely by delivering the down payment to escrow in person via a cashier's check.

If you or anyone you know ever falls victim to wire fraud, it's crucial to initiate a SWIFT recall and alert the FBI immediately. If the wire transfer is international and the amount is over $50K they may be able to initiate a Financial Fraud Kill Chain within the first 72 hours.  (If those criteria don't apply, law enforcement should still be notified - do not rely solely on the bank to follow up.)

What the lawyers make us say: The information here is not presented as expert legal or financial advice. Please use your best judgment and consult professionals when necessary.
Recent Market Highlights

- U.S. home prices rose 6.4 percent year-to-year in December, according to a recent S&P/Case-Shiller report. They rose 6.6 percent year-to-year in January, according to CoreLogic, a data and analytics company.

- The national average 30-year fixed mortgage rate is in the low 4-percent range.

The January Pending Home Sales Index decreased 3.8 percent year-to-year, according to the National Association of Realtors®.
Contact Us for Market Information
Are you curious about your home's current market value, or do you have a question about home buying? Just reply to this email, or call us at 952-442-1300.
View Our Featured Home Listings
Links that Make Life Easier

Sometimes real estate-related, sometimes not... these are assorted links that come in handy:

30 Adorable DIY Bird Bath Ideas
Fun DIY bird bath projects, including a creative Alice In Wonderland version.

Trello - Project Organizing Tool
An online collaboration tool that helps you organize projects for yourself or with a group. (Includes a free version.)

Cilantro Lime Cream Sauce Recipe
A great, light-tasting sauce that goes well with fish, pork, and tofu.

The Lighter Side


A classic text message exchange resulted when a contractor who was hired to paint a kitchen thought he had been hired to take care of a dog named "White Cabinets". :)   Click here or on the image above to read the entire text thread on the family-friendly SunnySkyz website.

Your Resource for Real Estate
Are you thinking of buying or selling a home in the next year, or could you use some remodeling advice? Even if you just need the name of a good service provider, please remember that we're always here to help you. We welcome the opportunity to serve you, your friends and associates with our expertise and recommendations.

Please give us a call today at (952) 442-1300 if we can be of assistance!
Have a great day,

Dennis and Jane Guertin
Broker/Owner, REALTOR®, CRS, SFR, CBR, e-PRO, GRI, BA
Guertin Family Realty

View this email in your browser
You are receiving this email because of your relationship with Dennis and Jane Guertin. Please reconfirm your interest in receiving our newsletter. If you do not wish to receive any more emails, you can unsubscribe here.
If you are currently working with another agent this is not an attempt to solicit that business.
©Copyright 2018 Tools For Real Estate

Guertin Family Realty | 71 Point Drive | Waconia | MN | 55387