people who got houses based in part on letters, remember that when you go to sell

You want to win out against investors making attractive, possibly all-cash offers? Then do the following:

(1) put down an earnest money deposit of 20-25% on any contract;

(2) offer a three- to five-day window for inspection and release of all contingencies;

(3) offer to schedule the closing no more than fifteen to twenty days after the offer is accepted;

(4) offer to transfer your 20-25% deposit from escrow to the seller upon the release of all contingencies;

(5) submit an offer with no inspection contingency.

There are people who would rather have an owner-occupier than an investor. It's just that you can't spot those people by looking at their home, so it's a shot in the dark.

You can also buy less house, so that you can offer more $ or a larger percentage in cash. Owners definitely don't want a deal to fall through and start the whole thing over. An offer with at least 25-30% cash from someone with solid credit will probably sprint through the financing, while it may be difficult to spot an overextended developer with 17 different companies, each one named after some permutation of his children's initials. The former may therefore have more appeal to a risk-averse seller.

Anonymous wrote:

Anonymous wrote:

Sellers don't read the letters, FYI, OP. We are in a close in suburb, and the sellers not once have read a letter. Don't waste your time.

The only thing you can do is offer above market rate - but then, wouldn't you buy a nicer house with that money????

Uh, a letter just won me a house over a developer. We offered $3K less and didn't waive any contingency. It happens. Some sellers do care what happens to their home after they leave.

Nice work!

For the 100th time, "brick" =/= taste

Anonymous wrote:The new homes are what the area look like a banana republic with the haves squashed next to the have nots

You mean the "have tastes" next to the "have Hardiplanks"?

Anonymous wrote:

Sellers don't read the letters, FYI, OP. We are in a close in suburb, and the sellers not once have read a letter. Don't waste your time.

The only thing you can do is offer above market rate - but then, wouldn't you buy a nicer house with that money????

Uh, a letter just won me a house over a developer. We offered $3K less and didn't waive any contingency. It happens. Some sellers do care what happens to their home after they leave.

In my neighborhood, people look for the lots that cannot be developed (such as smaller, corner lots) so you may have to compromise on lot configuration.

Offer more money, waive contingencies.

The new homes are what the area look like a banana republic with the haves squashed next to the have nots

I was able to go under contract 18k below ask because the seller really responded to the letter I wrote, according to her agent. There's no harm in trying.

Anonymous wrote:

Sellers don't read the letters, FYI, OP. We are in a close in suburb, and the sellers not once have read a letter. Don't waste your time.

The only thing you can do is offer above market rate - but then, wouldn't you buy a nicer house with that money????

A former neighbor of ours sold a few years ago and told another neighbor that they accepted a lower offer based on a letter from the buyer. The sellers had lived in the house for decades and even with the lower price pocketed a large profit.

Sellers don't read the letters, FYI, OP. We are in a close in suburb, and the sellers not once have read a letter. Don't waste your time.

The only thing you can do is offer above market rate - but then, wouldn't you buy a nicer house with that money????

Offer asking price or just above ask. No investor is offering asking price, unless the list price is already severely below market (in which case there will be 10 different parties bidding on it).

Investors need to get that house as cheap as possible to make the math work.

An estate or the old retiree can wait usually wait an extra 30-45 days in order to get 10's of thousands more simply because an owner-occupier needs financing. I'd waive the financing contingency and state that you're amenable to rent backs or handling furniture disposal, if needed. Don't have a sales contingency - I think this is a big hold up.

I'd waive every contingency, except for inspection on an old house.