Orange County Home Buyers – Today’s Frustrations

by leslie on April 20, 2009

Hello there! If you are new here, you might want to subscribe to the RSS feed for updates on this topic.

Real Life Real Estate in Orange County, CA

So many home buyers in Orange County are frustrated by today’s real estate market. True, there are great prices on home for sale in Irvine, Mission Viejo, Ladera Ranch, Rancho Santa Margarita, Coto de Caza, Aliso Viejo and every other Orange County community. But it is a tricky market. Here are a few examples of what you can expect to face as a home buyer in Orange County based on what my clients and I are currently dealing with and some tips to make you more successful.

Frustration #1 – Multiple Offers

So you find a great home that meets 80% of your list of wants, needs, and desires. You decide it’s time to make the move, so you work with your Realtor to write up an offer. And even though your hand may shake a bit as you sign all the contracts and make out your deposit check, you have a sense of excitement thinking about what it will be like to be moved in – and enjoying your new home. You wait for an answer, trying just to get through the day without being completely consumed with hope, dread, fear, and anticipation. Then BLAM! You Realtor lets you know that not only did the seller receive your offer, they received 20 other offers. And now you have to review the seller’s counter offer in light of this massive competition. What do you do??

Know exactly what your price limit is and don’t be afraid to go there. In a multiple offer situation, you must be prepared to offer your maximum in order to be competitve.
Know exactly how much cash you need for your down payment and closing costs – and decide how much you are willing to use up front. You can make your counter offer stronger by increasing your initial deposit amount and your down payment amount.
Decide what you want to do quickly. To be competitive in a multiple offer situation, you must act quickly.
Ask to be in Back Up Position Number One – in your counter offer, write it up so that if your offer is not accepted as the Multiple Counter Offer, that you are in Back Up Position Number One – especially in a Short Sale situation.