June 2017

 

 

 

 

 

 

 

 

 

 

 

 

 

Q: “We understand that the market in Seattle right is crazy hot. We are just starting out and are trying to get an idea of what we need to prepare for. We’ve heard that people are waiving every contingency including financing. Can you share with us what we need to be prepared for?”

 

A: I agree with you that we are currently in a heavily weighted sellers' market, which definitely gives sellers the upper hand. So for a minute let’s roll play. Think of yourself as the seller. When presented with sometimes up to 18 offers (yikes!) what would be most attractive to you? You would of course want the highest and best dollar, but bearing equal weight would be the strongest assurance that the offer can smoothly make it to the finish line. In this market, it doesn’t mean waving everything if you are unable, but being open to waiving ALL that you are personally comfortable with. Title, and inspection (assuming you have done your due diligence with a prelim title review and pre-inspection and both looked solid)are usually the first and easiest to stamp with a W. Financing is a different beast. You must discuss this with your agent and your lender to be sure that you are ready and financially sturdy enough to put a W in this column. This means that if you have an unforeseen financial hiccup and your loan was contingent upon income that you now can’t count on unless you can come up with the entire purchase amount, the transaction will fall apart and you will lose your earnest money. Not fun. The market will again balance out but the question remains, when?