How to make yourself a more appealing buyer

The housing market is a tough nut to crack right now, which is frustrating for aspiring buyers because it’s been a tough nut to crack for a really. long. time. So, how do you stand out in a pool of eager buyers who all want the same prized property as you? We have a few ideas...

Ensure your finance is sorted 

First and foremost, you want to demonstrate to the seller that you are prepared and raring to go, assuring them you won’t flake at the last moment because you don’t have the funds you need to purchase the property.

To attain pre-approval, you’ll need to apply to your lender and they’ll go through the process of establishing how much you can borrow based on things like your income, debts, credit score and deposit. If your lender deems you eligible for a loan they’ll offer conditional approval, which is incredibly appealing to the seller as it demonstrates you’re ready to go and are serious about this purchase, which makes you a more reliable option than another potential buyer who may not yet have their finances sorted.

Our friends at UBank have a dedicated local team of home loan experts who can help you every step of the way! You can find more info on them here

Offer shorter or longer settlement terms and be flexible with move in dates

The settlement is the date you as the buyer pay the balance of the purchase price, receive the keys to the property and become the registered owner.

If you can be flexible and work within the time parameters of the party selling the property, then that’ll earn you a huge tick next to your name. Perhaps the seller hasn’t found their next home yet and they need more time to firm that up; if you can hang out a little longer and reach a settlement date that suits them, then that’s a huge weight off their shoulders as they’ll have the comfort of knowing they have a buyer and extra time to secure their new home.

By contrast, if the seller wants to move through the process quickly, offering shorter settlement terms might put you in a better spot than other, more time-restricted buyers. As a guide, usual settlement terms in Victoria are between 30 and 90 days and it can be negotiated between you and the seller.

Offer a unique amount

While offering more money can seem frustrating and counterintuitive if it’s above what the house has been valued at, it can still be a good idea to offer a little more and to do so in a way that will stand out. For example, if the seller is weighing up two offers, one for $700,000 and another for $702,500, it’s more likely they’ll choose the latter even though the difference isn’t significant in the scheme of things.

Where possible conduct inspections ahead of time so offer is unconditional

Usually offers on property purchases are made unconditionally or conditionally: unconditionally means the offer is made with no amendments required to the property and will be purchased in its current state. By contrast, a conditional sale is a sale that comes with some conditions, like maintenance needing to be complete before settlement. Naturally, an unconditional sale is more desirable in the eyes of the seller, as they don’t need to spend additional money or time on fixing the home to any kind of standard. So that you can make an unconditional offer, try and secure inspections (building, pest etc.) ahead of time so you can get an edge on other buyers. If you do put forward an unconditional offer, make sure to check any relevant rules that are applicable in your state (eg in NSW when making an unconditional offer you waive the standard cooling off period).

Negotiate other inclusions with the sale 

If you notice things like outdoor settings or cubby houses that would be a pain for the seller to move, consider offering to throw in a little more money to purchase those items with the house. This will bump up your price a little more which is a win for the seller plus it saves them the hassle of having to figure out how they were going to move those bulky items on to their next home.

If you’re raring to go and want to learn more about all things property be sure to check out our podcast the Property Playbook!

And of course a huge thank you to the legends at UBank for helping us bring this season of the podcast to life! They’re helping Aussies get on the property ladder, with great rates and award-winning home loans. For more information check them out here

Any advice in this blog has been prepared without taking into account your objectives, financial situation or needs. Before acting on any advice on this information, you should consider whether it is appropriate for your circumstances.

Information current as at 17/9/21 and subject to change. Terms, conditions, fees, charges, eligibility and lending criteria apply for all UBank products (available on request).

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