For this home I sold in San Mateo for $1,000,000, I was the agent for the buyers, a couple that were referred to me by another couple I had just recently sold a home to as well. Apparently, this couple had been looking for a home for some time with another agent, and they weren’t too impressed, so my client suggested they give me a try, and I was able to get them this home, which was the very first offer they wrote with me.
They were getting all kinds of advice on how ‘hot’ the market is and that they have to give it there all to get a home, so they were prepared to go in with their highest possible offer for this home to beat out competition. In fact, they were willing to bid higher than I thought they should, given that there was only 1 other offer to compete. So, I actually suggested that they make an offer for LESS than they were willing to pay, and I ended up saving them $20,000, in that we were able to get this home for $20,000 LESS than they were initially willing to pay. And, to make things even better, the home appraised for OVER the price they paid for this home, and it even actually appraised for OVER the extra $20,000 they were willing to pay!
Also, when I received their preapproval letter from a credit union, I noticed the rate and fees seemed high. I suggested they talk to a lender I know, who was able to get them a much better rate AND saved them about $6,000 in fees alone. So, their monthly payment is lower AND they saved a lot of money in closing fees.
The offer they competed with was an all cash offfer, so that is typcially really tough competition. The seller of the home was very emotional about this home because it had been in her family for many years, I believe the owner was the original owner. My buyers wrote a very nice letter and that really worked for this seller. I believe the cash offer may have been an investor, from what the listing agent told me, and the seller really preferred to sell to a buyer that would live there and not become a rental property.
The transaction itself was very smooth and all went very well. The only real hiccup was on closing day, the seller left a pellet stove on the property, which was supposed to be picked up, but apparently, it was too heavy for the guy to lift, and he never came back for it. However, the listing agent found another guy to get it, so it did get picked up, not closing day, but shortly thereafter.