There comes a point in every home search where you have to make a decision, once you find a home you like. You can go look at the home a second time. You may even have a friend or relative go and look at it with you. Some folks even say that they want to sleep on it, before they make a decision. But eventually you have to decide. Not just one decision but two decisions. The first decision is whether to write an offer on the home. The second is how much to offer if you decide to write an offer on the home.
What to do
Deciding whether to write an offer can be much easier than how much to offer. After all, if your offer is too low, you might lose the house. If it is too high, you might spend years wondering if you overpaid. How do you decide on the right amount to offer? Part of what makes deciding on an offer price so difficult is that most buyers are trying to avoid buyer’s remorse.
Avoid regret
What is buyers remorse? It is the feeling of doubt, anxiety or regret after making an offer or going under contract on a home. It often boils down to wondering whether you paid too much. You may be asking yourself questions like, “did I over pay.” “Should I have offered less?” “Did I just make a huge mistake.” Guess what. The questions that you are asking yourself are very common questions that many buyers ask. Remember, You are making one of the biggest financial decisions of your life. So when trying to decide what to offer on a home, you are also trying to avoid regret.
Trust your agent
How do you feel confident in your decision? The best way to reduce uncertainty is to rely on the advice and experience of your buyers agent. Trust them. They have the experience of assisting many clients in your exact situation. Your agent is part market expert, part negotiator and sometimes part therapist. Have your agent show you what similar homes have sold for. Understand the current market conditions. Before you have your agent write an offer, decide on the highest price you can pay, while still feeling comfortable with your decision. I often tell buyers, offer what you are comfortable with. The right number is the number if someone else offers more, you are okay with them buying the house. Make sure you stay true to your budget.
There is no way to completely eliminate uncertainty when buying a home. Making informed decisions you can feel good about regardless of how things turn out, is one of the best ways to avoid regret.