As an investor in Locust Grove, the next big bargain rental property is just waiting to happen. The property, however, might not always be listed at a good price. It might not even be at fair market value, too. If so, don’t fret. A property that is overpriced doesn’t mean it’s automatically unattainable. It will most likely be a challenge to make an offer on an overpriced property, but it can still be successful if you try out a few strategies.
Check the Fair Market Value
If you honestly think that a property is overpriced, you can conduct a comparative market analysis on it. To determine a property’s fair market value, it is best to locate comparable properties recently sold in the area. Don’t forget to also check how long the property has been listed. Check the market for recent sales. If the property you want is still listed above other recent sales, or if the property has been on the market for a long time, then it’s overpriced.
Talk to the Seller
You can always discuss details with the seller of the overpriced property. There are many different reasons why a listed property may be overpriced, from simply not understanding how to value their home to hiring an inexperienced or greedy seller’s agent. It could very well be that money isn’t all that motivates the seller. A few detailed questions might lead you to the reason why the seller is selling their home. If you find out that the seller is not prioritizing a high sales price, then that can be grounds for negotiating the price down.
Make an Appealing Offer
When bidding on an overpriced home, provide the seller a good reason to contemplate saying yes to a lowball offer. One strategy you can use is to offer incentives or to present feasible terms that can make your offer more attractive. You could include things like a flexible closing date and your mortgage pre-approval letter. An earnest money deposit or even fewer contingencies are two things you can offer, as well. Doing this might even boost the chances of having your offer stand out from the rest!
Hire an Experienced Buyer’s Agent
To significantly increase your chances of negotiating a seller down on an overpriced property, hire an experienced real estate agent. In so doing, you’re allowing someone else to help negotiate the terms with the seller. Don’t get discouraged, though, if your offer gets rejected. This isn’t something new, especially with sellers of overpriced homes. Having an experienced agent with you will make for better negotiations with the seller, ensuring that no one gets ripped off. If ever you need to walk away from the deal, you can do so with confidence and with the support of your real estate agent. Some sellers won’t budge on their desired price, even if it’s far too high. If nothing seems to work with the negotiations even with the help of your real estate agent, then it’s time to walk away.
Make use of these practical strategies so that you can make a good offer on the property that is your next great rental property. Still, completing multiple comparative market analyses, negotiating with sellers, and maintaining your Locust Grove rental properties all at the same time can become time-consuming. We can do all of this for you if you’ll let us! At Real Property Management Anchor, we offer our rental home investors professional market analyses on prospective properties and comprehensive rental home management. To learn more about what we have to offer, contact us today or give us a call at 770-506-1237.
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