A Day Late and a Dollar Short

Multiple offers everywhere!  The Ottawa real estate market is on fire…and Vendors are cashing in.  The process is simple, list a home and allow showings for about a week and then entertain offers on a specific day and time.  This allows the MLS market to soak up the listing with hundreds of pre-qualified Buyers getting the e-mail notifications about the home.  Mix in an Open House or two and you’ve got a recipe for a multiple offer…a bidding war.  With Capital Homes I’ve been involved in 3 of them over the last week and unless you’re the Listing Broker or the Vendor they are not fun. 

Winning a Bidding War

To win a bidding war it most likely comes down to price…and there is a strategy to it.  The amount of time the home is on the market, the number of offers and the Buyers desire to own the house will all determine what price should be offered.  The rule of thumb that I use is for every offer other than yours price should be list plus 1% – so if a home is listed at $300,000 and there are 2 other offers, your price should be at least $306,000.  Some Buyers are hesitant to purchase a home for more than its market value so if the price is not over list they can still walk away the winner…by removing conditions, providing a bigger deposit and being flexible on their possession date.  Most Vendors will choose an unconditional offer over a conditional offer, even if the price isn’t as high.

Showings, Showings, Showings

This week is March Break and while my kids are off school and enjoying a week of playing, I’m hard at work with Allyson showing homes to our many Buyer clients, and there are alot of homes to show.  With the weather in Ottawa warming up and lots of new listings on the market, Buyers are clamoring over new properties…and yes, getting into plenty of bidding wars.  The key to being a good Realtor is to be organized with your showings, whether there’s one of them or 10 of them in a day.  You need to know the quickest route, the lockbox codes, the comparables and most importantly how to show a home.   You don’t just open the door and let the client walk around inside, you need to ‘show’ the home and all its features and benefits.  Crown moulding, pot lights, upgraded cabinets, etc.  Listen to your clients and whether they like the house or not…you need to know when to step on the pedal and make the sale or ease off and look for the next home. 

The Monopoloff

April 6th, Royal Oak Pineview.   It’s on, and its going to be a blast.   The idea of a Monopoly tournament is indeed a crazy one, but its starting to catch on.  I think by April 1st we will have a dozen or so players and a pile of prizes.  If you, or anyone you know, thinks they have what it takes to play Monopoly with the pros…visit our website at www.monopoloff.com

That’s it for this week, back to running comparables, looking for new listings, showing homes and having fun!