Ep011: 10 Tips to Win a Bidding War – Competing Smarter in Today's Market

In today’s competitive housing market, finding the right home is only half the battle — winning it is where strategy matters most.

In this episode of the All Things Real Estate Podcast, Chris McAllister and Laci LeBlanc break down the real-world tactics buyers can use to compete smarter in bidding wars without simply throwing more money at the problem. From escalation clauses and appraisal gap coverage to lender strategy, contingencies, and the power of agent reputation, this conversation gives buyers a practical roadmap for navigating one of the most frustrating parts of today’s market.

If you’ve ever lost out on a home despite making what felt like a strong offer, this episode explains why. Sellers aren’t always choosing the highest price — they’re choosing the offer that feels most likely to close smoothly and with the least stress. Chris explains how preparation, flexibility, and strong relationships with experienced agents and lenders can often outweigh price alone.

You’ll also learn:

• How escalation clauses actually work — and where buyers get into trouble
• Why the “Two Lender Strategy” can strengthen your offer
• What the new buyer agency rules mean for buyers in 2026
• How to structure contingencies strategically instead of recklessly waiving them
• The right (and wrong) way to use personal letters to sellers
• Why HOA and condo rules can derail deals at the last minute
• What makes a “perfect offer package” stand out to listing agents
• Why flexibility and preparation often beat emotion in competitive markets

Whether you’re buying your first home, relocating, downsizing, or trying to compete in a fast-moving market, this episode is packed with actionable advice that can help you stay competitive while still protecting your financial future.

Visit https://10TipsToWinABiddingWar.com to download the free “10 Tips to Win a Bidding War” guide discussed in this episode and learn how to compete with confidence — not panic.

#AllThingsRealEstate #HomeBuyingTips #BiddingWar #RealEstatePodcast #BuyWithROOST #RealEstateAdvice #FirstTimeHomeBuyer #CompetitiveHousingMarket

P.S. Want more practical tips for buying and selling real estate? Our ever-growing library of books, blog posts, podcast episodes, masterclasses, documents, and other tools is at your fingertips.

Learn More >>> The All Things Real Estate Resource Hub

Transcript

Chris McAllister: [00:00:00] Welcome back to the All Things Real Estate podcast, the show where we go deep into what's really happening in today's housing market and help you make smarter and more confident decisions. I'm Chris McAllister, and I'm here today with Laci LeBlanc. Good morning, Laci.

How are you? 

Laci LeBlanc: Good morning. I'm great Chris. 

Chris McAllister: Well, today's episode is for every buyer out there who's been frustrated by bidding wars. You know, listings that just sell lightning fast and, and the feeling that you know, you're always one step behind.

So that's what this, this episode is all about. So we're gonna break down a new buyer resource that we just added to buy with ROOST on the ROOST website, and it's called 10 Tips to Win a Bidding War. Competing smarter in today's housing market. So the truth is that winning in today's market isn't just about throwing more money at the problem.

It's about strategy, it's about preparation, and it's knowing about how to give sellers and their agents the confidence that you deal. Will be the one that [00:01:00] will actually get to the closing table and just as importantly, close smoothly. So we're gonna talk about why relationships and reputation can we be worth more than, you know, an extra 10, 5, 10, $15,000 in, uh, in offer price.

How to use escalation clauses and appraisal gap coverage the right way. How the new commission rules can actually help buyers and what really separates the buyers who win a bidding war from the ones who keep missing out. So grab your notebook or jump to the show notes and download your free copy of the PDF now and, and you can follow along as we go.

So. 

Laci LeBlanc: Perfect. This is really timely. I think I wish I'd had this podcast years and years ago actually, when I was, I tried to buy my first house a little before, during, and eventually after COVID. And the bidding war was, I mean, we lost. More than one house. Yeah. To people who were, who were, I mean, it was a bidding war on every house we tried to get.

So I think [00:02:00] that, in today's market, finding the right house is just half the battle. The real challenge is, is winning that house over other buyers. Why is that? Has that always been the case or is this something new? Or is it, does it follow that cycle? 

Chris McAllister: Well, a couple of things are going on in the market this spring.

We absolutely expect to see more houses on the market this spring. However, what we're seeing with increased houses on the market is, is they're not really houses that have been listed at appropriate or even competitive prices. So the fact is. Great houses, right? Well-priced houses that are in great shape, that inventory is still incredibly tight, right?

The, the, the most desirable homes are selling incredibly fast, often with multiple offers, and, you know, within 24 hours of getting a sign up in the yard. And most buyers think it's all about price, but what sellers are really looking for is confidence. They want to know that the deal that they choose to to [00:03:00] work through is going to close smoothly.

It's going to close on time, and there's not gonna be any surprises. 

Laci LeBlanc: So the good news is for, for many of us, that the biggest offer doesn't always win. 

Chris McAllister: That's true. You know, the winning offer is usually the one that feels the most solid to the seller. It's not necessarily the highest offer. It's all about certainty, preparation and, and building trust.

Laci LeBlanc: So for those following along, we're gonna kind of work through the guide here as well. So if you've got that downloaded, open the PDF or give us a pause and maybe download it and open it. But in the opening of the guide, you start by saying that relationships win deals. Chris, what do you mean by that?

Chris McAllister: Real estate still is, always has been and always will be a people business, right? Yes. There's always technology. There's always the next, uh, cool thing on Zillow or realtor.com or you know, something's AI generated this, or AI just generated that. But the fact is real [00:04:00] estate is a people business and listing agents want to work.

With buyers and with agents that they know will get the deal done without drama. So you could argue it's about reputation, right? And a trusted relationship. You know, especially when you, when your buyer agent has a, is well known in the market and there's a trusted relationship between tho your agent and the seller's agent, you know, that relationship alone, you know, can, can outweigh a few extra thousand dollars in price.

Laci LeBlanc: So here we have a few agents around town that they feel like local celebrities, honestly, because everybody knows them. Everybody, they're on the side of the bus, right? They're on the side of the bus, they're on the, um, the bench, on the benches, waiting for the bus. Their sign is in, it feels like every yard.

And you know, that's, I think that's probably novel for, for everybody. That's cool. But what you're saying is that the agent's reputation that really matters. 

Chris McAllister: Yeah. What, what, what's behind the, the, the bus sign, I guess. Exactly. So [00:05:00] if the listing agent already knows your buyer's agent is professional and reliable, I'm gonna tell you, they're gonna push your offer to the top of the pile, right?

If there's more than one offer, you know, yes. You know, listing agents are there to advise and counsel, but there to advise and counsel on what's gonna get to the closing table. As more of a sure thing, right? It's, it's about the terms, it's about when's it gonna close, is it gonna close on time, et cetera.

So they have so much influence over what that seller, um, i I is going to do. And it makes sense because that, that, uh, seller is paying their listing agent a tremendous amount of money to make sure that they get the best possible. Uh, offer for their house, top dollar terms that work for them, et cetera, and terms really are where, where it's about in this market.

So your offer's gonna get pushed to the top if your agent has, is, is well known in the market amongst the top producers, and they have a good reputation. And sellers, again, they [00:06:00] trust their agent's instincts. So when your agent, your buyer agent has credibility, it's gonna rub off on you too. A good, a great buyer agent.

Who comes with built in credibility lends a tremendous amount of that credibility to you, the buyer.

Laci LeBlanc: Okay, so moving on. Tip number two in the book is out prepare the competition. We call it the two lender strategy. You recommend that buyers get pre-approved with two lenders. It feels a little like overkill for those of us who are maybe a little anxious about a relationship with a lender in the first place.

Why? Why do you recommend that? 

Chris McAllister: Well, it does sound like overkill, but it's actually one of the smartest moves a buyer can make. You know, if one lender hits a snag, say their underwriting slows down, or an appraisal comes in late, you know, you can instantly pivot and sellers love knowing that you have a backup plan.

Now, we're not gonna get too deep in this today, but there is a big difference between a prequalification and a pre-approval. You can get a basic pre-approval that's completely dependent on the [00:07:00] information you provide your. Lender without, you know, taking a, a, a, a ding to your. Credit score, at the very least, you should make, you should meet with more than one lender may, at least two lenders, maybe even three lenders, because there's absolutely zero harm in getting a second opinion.

When you run into buyers and you find out after the fact that the lender that they came to the table with, or that they brought their pre-qual for on their offer was their third or fourth choice, that's a, that's often a red flag because the question is, why didn't the first lender or the second lender, or the third lender.

Um, weren't, why weren't they able to pre-qualify them? So, as a buyer, you, you just want to anticipate that these are the thoughts, these are the concerns and fears that are going through that seller's head and their listing agent has seen it all. So just make sure that you're covered, know that you've got the best possible pre-qual that you possibly can from an absolutely reputable lender.

And if you can get two, get two. 

Laci LeBlanc: So is that [00:08:00] information, I guess, that your real estate agent will share with the seller's agent or the seller's? 

Chris McAllister: Absolutely ab, absolutely. You know, you gotta remember that your buyer agent is there to serve you. They have your interest and only your interests at heart. So whatever information, positive information that they can pass along to the seller to make sure offer your offer, gets to the top of the pile.

You know, the better off. And, and bear in mind listing agents know which lenders in town close smoothly and which ones tend to have problems. You know, when your lender has a great reputation, your offer automatically looks stronger. You know, it's just like with your, you know, with your, uh, buyer agent, you know, a great lender, you're able to borrow their credibility as well.

So, a great agent and a great lender, well known in the market to, to all parties concerned, is gonna make your offer that much stronger a prequalification. A letter from a reputable lender gets you in the game. Right. But a prequalification letter from a lender known to have a stellar reputation or [00:09:00] a relationship with the listing agent of the home you want.

That's, that's the, that's the top of the game. Right? You know, it, it, it's, it's, it is like two levels there and it's kind of subtle. But yes, you can get a a, a pre-qual letter with a bank that we all know, but to get a pre-qual letter from the bank that the, uh, listing agent, you know, works with, is aware of, has great history with, that's really the, that that's really one of those things that will, will tend to tip you over the top.

No listing agent. No listing agent. You know, who's, who's any, has any experience whatsoever. You know, they know who the players are, they know the lenders that tend not to get to the closing table at, at on time or if at all. So anytime you can play to the, to the nuances preferences I guess of the listing agent, the better off you're going to be.

Laci LeBlanc: Yeah. It's that third [00:10:00] party recommendation for you. 

Chris McAllister: Yeah, exactly. 

Laci LeBlanc: I guess is really what it is. Well these are things I feel like when, if you're getting ready to buy a home, um, then you run into tips, like make sure you get pre-approved. Obviously work with someone reputable, but I think these are the more kind of practical.

Step above that. We've just talked about that maybe you don't hear everywhere. So I feel like that's really helpful. Moving on to tip three, though, I think we're encountering something that people, buyers in particular don't know a ton about. Um, so talk to me about escalation clauses. That just sounds complicated in my mind.

Yeah. But what's the basic idea behind an escalation clause? 

Chris McAllister: Well, the, the basic idea is you tell the seller, you make your best offer to the seller. If you tell them also in the offer that you're, you will commit to beating any competing offer by a set amount. Up to a cap. So let's say the house is, you know, listed for 300,000.

You [00:11:00] come in and offer 310,000, but you also have an escalation clause that effectively says that you will meet. Or you will, you will beat any other competing offer that comes in up to, let's say, 320,000. So it keeps you in the game without overpaying or, or, or, you know, making betting against yourself, right?

By many, offering too much money upfront, but it also gives you the opportunity to stay in the game if you've got other competing offers that are, that are coming in, that are higher than yours. No. Escalation clauses, like for instance in Columbus, Ohio, absolutely common. They happen all the time. Other markets may be a little bit less so, but you definitely want to talk to your buyer agent about escalation clauses and educate yourself and make sure that your buyer agent is uh, versed in, in how escalation clauses work in your market.

Laci LeBlanc: Because it seems like [00:12:00] to me that there are, that's a very powerful tool to have in your tool belt if you're buying a home. But it also seems like you, you could make a mistake with that, that you could structure it wrong or, um, so what is, I mean, I feel like there's a mistake buyers probably make with this regularly.

Chris McAllister: So with, with every, I guess I hate to say trick, but with every strategy like this, you know, there's some potential risk, right? So it's possible that a buyer is going to forget about the potential appraisal gap, right? You know, if the price goes higher than what the, the appraised value of the house comes back at, you know, the lender's not gonna cover that difference, right?

If you offer three 20 and the buyer accepts it. And the lender says that the house is only worth three 10 and they will only offer, you know, 80% of three 10. You've got to come up with the difference in cash for your down payment between the three 10 and the three 20, right? So it doesn't mean you shouldn't do it, it doesn't mean that the appraiser is appraisal is [00:13:00] lagging the market a little bit, and it doesn't mean that the house isn't worth three 20 or that you could turn around and sell it.

For three 20. But what you have to keep in mind is, even though it's, it's a smart deal. It's a fair deal, it's the right house, that still means that if you were planning to bring, you know, 50,000 to the table, you've gotta bring 60,000 to cover that, that difference. So smart buyers plan for that, or they cap the gap, so to speak, so that they don't get themselves in a bad situation.

Laci LeBlanc: Yeah, just another reason to have your finances and your pre-approvals all in order before you start house funding so that you're prepared when this this type of thing comes up. Absolutely. Yeah. All right, so moving on to tip number four if you're following along in the PDF. It's called The New Commission Rules A Buyer's Advantage.

Um, and this is where we're gonna talk a little bit about, uh, the, the changes to the commission rules for with the NAR settlement in 2024. It feels scary if you don't know what it's about and what it actually. Did but you see it as an opportunity. How is that? 

Chris McAllister: [00:14:00] Well, you know, for the first time buyers get real transparency and control.

Now, I shouldn't say for the first time, you know, our agents at ROOST Real Estate Company, you know, we've always been very, very clear about how our buyer's agents get paid, how our listing agents get paid, how the money moves around and so forth. So we've always tried to be transparent, and I know you know, all of the very best realtors out there in the world have always done that.

But we sort of lost a lot of ground during COVID. When everything was done via Dot Loop or DocuSign and so forth. But what this does is it, it defines and, and requires that level of transparency and control. So now you sign a written agreement with your agent and, and you clarify and document, documenting the agreement exactly what services you want, you're gonna be able to negotiate, you know, what you're paying for and how much you're.

Paying your agent for their services. So that buyer agency [00:15:00] agreement as a requirement is a big change. And, and it really is about empowerment. It's not about about chaos, but it is about making it clear, you know, what, how, what you're paying for and how much you're paying for it. 

Laci LeBlanc: Yeah, and we have a whole podcast episode on, you know, this topic, but can you just in a sentence or two, tell me how buyers can use these new rules to their advantage?

What can they do practically speaking, to make sure that they are taking advantage of these new rules? 

Chris McAllister: Well, the buyer agency agreement is very explicit, and it says what you are gonna contract to have your agent do and how much you're gonna pay for it. So if that buyer agent says that, you know, your, your buyer agent finds you a house, gets you to the closing table, that you're gonna pay them x percent.

Of the purchase price is their commission. This buyer agency agreement is saying that you're gonna pay that regardless. Now, it, it doesn't necessarily, and, and in practice virtually [00:16:00] never means that you're gonna have to come out of pocket for that commission. But what it does mean is that you're gonna structure.

The offer so that you know, you, you negotiate for the seller to ultimately pay that what you owe your buyer agent. But getting that conversation and getting that understanding and getting that clarity out of the way early on. With that buyer agency agreement is going to free your agent to, to move like lightning and be thrilled about working for you because they know you understand the process, they know you're motivated, and quite frankly, you know, they know they're gonna get paid and they're gonna do everything they possibly can to structure your offer.

So the seller pays all, or a minimum part, but it's, it's generally still all. Of the, of the agent fee that you agree to pay your buyer agent and their brokerage. So smart buyers use this flexibility as a strategic tool, right? They understand what a buyer agency agreement is, they understand what it looks like, they understand their [00:17:00] obligations.

They're fully prepared so that the, when they decide to commit to working with a buyer agent, they get that agreement signed, they get it signed early, and that truly does motivate and free your agent to do the best job they possibly can for you. 

Laci LeBlanc: I see this as another place where the relationships are really important.

I think it requires a lot of trust to, to give somebody that, you know, to let 'em move that fast to, to let 'em kind of act on your behalf. That requires trust at the most basic level. So, uh, I think that's a really good argument for. Having relationships and, and basing this on, on relationships. But, um, 

Chris McAllister: yeah, we, we've talked about this before.

I'm sorry I interrupted you, but I get a little excited. So, you know, we had an episode before where we talked about buy with ROOST. And, you know, the, the whole idea that, you know, you can still pick up the phone call listing agent and, and go look at a house, but before they walk you across that threshold, they're gonna ask you to sign a buyer agency agreement.

Now you don't have to commit. You know, just getting out of the [00:18:00] car to working with somebody that you've never met before. So, you know, feel free to, uh, cross anything out that has a number in it. Put zero, put one time showing whatever you wanna do. No, nobody's going to, to, uh, you know, uh. Argue with you about that, but you know, it would, if you already have an agent that's been referred to you or you've worked with before or you meet somebody, what you wanna do as a buyer is you wanna get a meeting with that agent, you know, at their office, coffee shop, whatever, and, and you want to go through a whole interview process with that agent and you wanna make sure that that agent is absolutely going to do what you expect them.

To do. And if it turns out after you interview that agent, or several agents that you find, one that you trust that you're happy to work with and you're gonna be just fine, you know, paying them for their services, then get that buyer agency agreement signed before you ever go outside and start looking at houses.

Laci LeBlanc: Perfect. [00:19:00] Good advice as always. So switching gears a little bit, let's talk about contingencies. Uh, contingencies in my mind can make or break a deal, but there has to be a balance, right? What's the right balance when it comes to. Contingencies. 

Chris McAllister: We were in that crazy market after, you know, during and after COVID.

You know, people were buying houses without doing inspections whatsoever. They were waiving every contingency possible, whether it was appraisals or inspections, you know, it was crazy. So my advice is never, ever, ever go into a contract on protected. But you can shorten some of the timelines instead of waiving that, uh, waiving them on the contingencies.

For example, you know, maybe you commit to completing your inspections within five days instead of 10 days. Right? It shows the seller that you're serious without being reckless, right? You give your, give, you know, tighten the window. It's gonna make it a little tougher for you and your agent to get that done, but.

It's going to also give the seller confidence that, you know, if you come back in five days and you're not happy with how the [00:20:00] inspection turned out or you found something, you can't work it out. They can get back to market quicker rather than having to, you know, wait out an extended period of time. 

Laci LeBlanc: Well, the title of this tip is Get Creative with Contingencies.

So what other creative approaches, um, do you have in mind? 

Chris McAllister: Well, there's always contingencies in a purchase offer for the appraisal, right? There's a contingency that says that, you know, the house has to appraise for the, for the value. That you contract for, unless there's a, you know, an escalation clause in there, there's always a contingency for having inspections done.

You know, nobody's gonna force you to buy a house without going in and looking for those items that, uh, maybe weren't clear when you, when you took a walk through the house. You know, identifying those, uh, items that might adversely affect habitability. You know, that's a standard contingency. But the other things that you can do is, you know, you can write in, uh, let, let, let's say that the issue with, with, um, let's say your seller [00:21:00] needs time to move, right? So this is, this is sort of a contingency, but you know, you can write in something into your contract that says that, that you're gonna offer post-closing possession for the seller, right? So, you know, you've gone through everything you can on the contingencies to make it.

Make it go fast. Make it, give the seller a comfort level that you're not, you know, dragging this thing out and it's gonna end badly. But the other thing that you can sometimes do to move your offer to the top of the list is find out what the seller's timeframe is. Find out if the seller already has purchased another house.

Right? Find out if they need time to move. So let's, let's say for instance, that the seller is excited to accept your offer, but it turns out they haven't nailed down their house yet, or it hasn't been built yet, or whatever. You can be flexible as you could possibly be at the closing date and on possession date, right?

So one of the things you can even do if a seller needs time to move, you can go ahead and close on the house, but have an agreement at closing lets, that lets them rent back the house for a [00:22:00] certain period of time and you'll charge them. Rent. Right. You know you're still gonna get paid. Yes, you're gonna own their house.

Yes, there's some risks in there, but I tell you, in a tight market. You know, it, it's something that if you're, that if you're comfortable offering based on what your buyer agent knows about the situation, based on what they hear from the listing agent and so forth, doing a rent back or allowing the seller to stay in the house a few days past the closing could be one of the best tools you have in your pocket to win a bidding war if you've got multiple offers.

Laci LeBlanc: Yeah, so another tool that has now become controversial. I know that our agent, when we were trying to buy a house during the COVID market and everything was a bidding more, she told us to write a personal letter about the property because we had some connections to the location. And but now that's kind of a controversial thing to do are, can you still do it?

Are they still worth doing, you know, talk to what, what has changed about these personal letters and, and how can we, wow. [00:23:00] How can, can we still use 'em? 

Chris McAllister: I have to be honest with you, I, I, I always thought the personal letters were. Kind of silly, kind of annoying, you know, because many, many 

Laci LeBlanc: times, I mean, I thought that too as I was writing it.

Um, and you know, as a writer, I was really waxing poetic about myself and my family. Um, and so I don't, you know, I, I may have exaggerated on some things, right? How much can you trust them anyway? 

Chris McAllister: Let's put it this way, if a house is worth 350,000 and you've only got. 300,000. I don't care what kind of personal note you write, the seller's not gonna drop their price by 50 grand.

So let's think about that. It's, it's, it's absolutely no substitute for a competitive offer. Right? So, you know, I guess there's a, a place for these letters and, and, and obviously I, I apologize, I'm not the bright person to ask, but there's a place for them. You know, they can still be worth doing, but you gotta do it, right?

So you wanna make sure you focus the letter on the home itself. You don't wanna be person, you know, focusing this on your personal life. You want [00:24:00] to talk about what you love about the property, the architecture, the layout, the location. Maybe even what the, what the seller has done to the property, right?

Play on their vanity. The last thing you wanna do is to go in there with a letter talking about your family or background or, or personal information. 

Laci LeBlanc: And why is that so, why, what's the distinction there? Why is that so important? 

Chris McAllister: Because believe it or not. There's a place where fair housing laws come into play.

So Fair housing laws exist to protect certain classes of people. So even innocent details like our kids Love the Backyard, can ultimately create legal explosion for the seller, the seller's agent, the buyer's agent, right? Because you're talking about, um, you're talking about people. Right. So keep it about the house and, and you're gonna stay safe and, and you know, I'm sure you, if, if this is something that you really want to do and you think it'll help, then you know, you can still find ways to connect emotionally with that seller by keeping the personal things [00:25:00] out that can cause you to run a foul of fair housing loss.

Laci LeBlanc: Right. And I just, I feel like not every seller is gonna care about a letter. We wrote our letter because the seller was requesting letters, I think because they anticipated having so many offers and they wanted help choosing Yeah, 

Chris McAllister: some, some, some sellers. You know, really care about that. You know, in my experience, it's a small fraction of the sellers out there that, that care about that.

They're more pragmatic than that, but it does happen. And, you know, did it help you? Did it ultimately? Did you get the house you wanted? 

Laci LeBlanc: Mm, no. We sure didn't. Um. You know, we, we wrote the letter, we send it in with our offer, and the house ended it. I mean, I think that the winning offer was literally, we sent it in at, I think we, we offered maybe 10,000 over asking, and the winning offer was, I think 30,000 over asking.

Yeah. And that just no amount of my. Personal life, as beautiful as I made it look on [00:26:00] paper, uh, was gonna gonna make up for that extra 20 grand. So I think that's important to keep in mind as well. 

Chris McAllister: Well, the topic still comes up, so I think it's important to keep it on this list. So that's why it's here.

Laci LeBlanc: Absolutely. Well, speaking of which tip number seven is add value beyond the price. So sellers, some sellers we've discussed care about more than money. So what in addition to that do they really care about? So what, in other than your personal, you know, beautiful life, what, what do they care about? 

Chris McAllister: They care about certainty, they care about convenience, and they care about timing.

In other words, we've said it already three or four times today. It's not just about the money, it's about the terms, right? If you can make their life easier, you know, like we talked, letting 'em stay in the house for a week after closing, you know, that alone can mean far more than, you know, an extra $5,000 on the offer.

So think about what's in it for the seller. You know what's in it for them and [00:27:00] what can you do as a buyer to structure a deal that takes care of what their wants, needs and concerns are. 

Laci LeBlanc: So just once, once more for the people just catching up. Um, it's not always cheat seats always about right. It's not always about the highest bid.

Chris McAllister: It's, it's, it's not always about the highest bid. You know, sometimes, and I, and I would say honestly, Lacey, more often than not, the best offer is the one that removes stress, not just adds money. You know, that's what separates savvy buyers from emotional ones. You know, you've got weak buyers out there, you know, that will make a crazy offer that may or may not close be, you know, just to, just to get a chance.

It's, it, there's just. I, I understand people, you know, get emotional about houses. They fall in love with houses. They wanna buy a house in the worst way. But you gotta balance that, that emotional part of it with the fact that this is, this truly is a business transaction. And quite frankly, it's the largest transaction most of us ever make in our entire [00:28:00] lives.

So, yes, money matters, but there's a place where money doesn't do it all. It's really about the terms that work for the seller. 

Laci LeBlanc: Yeah. I mean, if anybody can remove my stress at all in any area of my life, I'm gonna prefer them over others, so that makes sense to me. I think that all of this together is what comes together to make the perfect offer package, which is tip number eight.

What is the perfect offer package look like? Chris? 

Chris McAllister: All right. It's clean, it's complete, it's professional, right? Most offers these days are done in Dot Loop or, or DocuSign. You know, there is no excuse anymore for an eligible or incomplete. Contract, purchase contract, or an illegible or incomplete offer package, you wanna make sure that, that your, your buyer agent has enough attention to dete detail, right?

As we say, enough executive function to make sure that every single blank is filled in, every document is set [00:29:00] up perfectly. It's crisp, it's easy to read. You know, there, there's, there's just no mis. Mistakes and you, you know, maybe add a short summary, you know, in there from your agent, you know, as, as to why your offer is what it is, explaining why you feel that your offer is strong.

But let me tell you, presentation. Builds trust. It builds instant confidence. I cannot tell you how many offers that, that I've fielded over the years where, you know, it's like, holy crap. I mean, this is a legal document. You, you, you gotta get some attention to detail here. So don't take anything for granted.

Make sure that you review that purchase document, you know, before you sign it, whether it's electronically or in person. And truly, I truly believe that a lot of what got us in trouble with the whole NAR lawsuit, you know, after you know, COVID was that during COVID, you know, everybody was so excited [00:30:00] to get houses.

It was just a absolute frenzy, right? And what happened was, you know, the, the, the buyers in so many cases, just. Truly didn't understand what they were signing. And in many cases, I, I'm sure that the, you know, the documents could have been prepared better, they could have been more complete, they could have been presented better, and they, and they quite frankly, you know, weren't.

So there's enough blame to go around. But again, I can't, I can't stress this enough. The package matters. How it's presented matters. You know the other, this is a small thing too, but you know, during the frenzy, you know, we as listing agents, we would get offers and it would say that I want an answer to this offer by six o'clock tonight.

You know, you gotta be reasonable in your expectations. And, and quite frankly, at the end of the day, not one of those buyers didn't still want the house if they missed the six o'clock deadline, right? So, again, don't be annoying, you know, be professional, keep it together, and you're gonna go a hell [00:31:00] of a lot farther.

Laci LeBlanc: So in your offer package, this also seems like a place where the agent's reputation and name could, could be of influence. 

Chris McAllister: Oh my God, EV the agents know which buyer's agents are organized and which ones are, you know, have a re reputation for just being sloppy. Right. A a, a polished package from a respected agent says this deal will close smoothly.

It sounds trivial. You know, at the end of the day, you know, half a million dollar house doesn't really matter. I'm here to tell you if you really wanna buy that house, if you really wanna close on that house, it matters. 

Laci LeBlanc: So this might be a little controversial and it's definitely not in the script, but, but I, I'm thinking about my brother who moved to Mexico and decided to not use a family agent or a friend. Uh, he literally called the top producing agent in our area. We all know, because she's everywhere. She's fantastic. I think there's a, there's a reason for that. He got a, he, he sold his house for [00:32:00] exactly what he wanted to sell it for.

It went really, really quickly. Um, so I guess my, not so much question as tip might be to, you know, if you've got that cousin who does real estate part-time. You know, think about it, you certainly wanna support your family, but, um, you know, I do think that my, my brother's situation and lots of folks, you know, transaction went a lot more smoothly than it could have, you know?

Oh, yeah. Versus using a, a part-time agent that just happens to be a family friend or, you know. Does that make sense? 

Chris McAllister: You wanna be very, very careful about working with an agent who maybe does one or two transactions a year. So yes, you wanna support your family. If you really want to go outta your way to try to support your family, then you know, go to the listing agent or the buyer agent that you're comfortable working with and negotiate.

That part of the commission goes as a referral fee to your cousin. Right. I mean, don't do anything to insult that agent because a good buyer agent is worth every single penny. But you're right, you can really mess up your home purchase. You can lose multiple bidding wars if you're working with [00:33:00] somebody who you know is part of the family and you're trying to be nice.

But if they don't have the experience or the wherewithal to get that offer to the top of the pile and get it accepted and get it closed, you're not doing yourself or your family any favors. So, thanks for bringing 

Laci LeBlanc: that up. That was mostly about getting, giving people permission right To, 

Chris McAllister: yeah, 

Laci LeBlanc: to look up.

Chris McAllister: We'll call that onus Tip 11. How's that? I, I like that one. 

Laci LeBlanc: Sounds good. Yeah, that's, maybe, don't put that one in writing. I don't know. Oh, but speaking of the chips that are in writing, um, tip number nine is master condo and HOA purchases. So buying into an HOA or a condo community sounds complicated. Uh, it, it does factor in.

To the bidding war. Why does it matter so much? 

Chris McAllister: Well, homeowner associations and, and condo associations and all that, you know, there, there's a lot of moving parts there that can, that can disrupt a closing, that can cause grief after closing. And a lot of deals fall apart over [00:34:00] HOA homeowner association and condo association issues.

So you wanna make sure that you're buyer agent. Even before you submit the offer, make sure that they get a copy from the listing agent of the Homeowner Association Rules and Bylaws or the Condo Association rules and bylaws so that you can familiar yourself, familiarize yourself with them. And here's a little bit of a tip, and I'm not, uh, saying that you shouldn't, uh, you should review these with an attorney if you have questions, but.

If you're in the chat, GPT these days, upload that document to chat GPT. Ask it to summarize for you. Ask questions, you know, search for keywords that you're, you're worried about and things like that. But a lot of issues fall apart over HOA and and they tend not to happen till the last minute because those, those documents are the last thing on an excited buyers or an excited sellers.

Mind, right? If you've already reviewed the rules, the fees, the restrictions, especially rental limitations, rental limitations on a property. And you, you've acknowledged that you've gotten copies of [00:35:00] those, you've read them, you understand them, you know, you are a credible buyer who won't back out halfway through.

And these rental restrictions, you know, they're getting, they're getting harder and harder. You know, we bought a house in Florida a few years ago when we bought it. There were zero restrictions on short-term rentals in the neighborhood. As sort as, as soon as we started advertising the, our property on Airbnb, the HOA suddenly came up with a rule that said you can't have, uh, short-term rentals in the neighborhood anymore.

So, you know, we had to talk to an attorney and write a, write a, a stern letter and, and say, Hey, you know, this wasn't the rule when we bought the house. But my point is, you know, you'd be surprised. Of what the kind of things that'll show up right or wrong in association documents. So get those upfront, read through 'em, make sure you get your questions answered and uh, you know, be prepared to move forward or, you know, get out quickly.

Laci LeBlanc: Yeah, rental rental limitations was the first thing that came to my [00:36:00] mind. What else should buyers check before making an offer in those HOA documents or condo association documents? 

Chris McAllister: You wanna confirm what the fees are every month. Right. You know, our little subdivision in Florida, it's a twice a year payment and it's not a lot of money.

It's enough to, you know, I guess maintain the. Pond or something, but you wanna know what those fees are. You want to know how often they can be raised and, and, and so forth. You wanna re in a condo. You also wanna renew, review the condo's, financial statements. You know, generally condo associations are responsible for, you know, replacing the roofs when they go bad on a condo.

Do they have enough money? Do they have reserves? Do they have the financial wherewithal to keep up with their part of the bargain? Per the condo association fees and make sure your lender is comfortable with the community. You know, not all lenders finance condos easily at all, and some condos won't go FHA and some condos won't go conventional it.

There's just so many things that can happen, especially on the condo, more so than an HOA. That I, it is just, it's, it's a [00:37:00] podcast in and of itself, so the more prepared you are, the more the seller is gonna trust you. And, and again, this whole thing, if you're an investor who even have any thoughts about turning your home into a short term rentals at some point in the future, you know, this is the time that you ask that question explicitly and get those answers in writing.

Laci LeBlanc: Yeah, I, um, I've got two friends. They both live in condos with their own condo association rules. One of them had to go to court for Yeah. Um, their condo, because their condo association did not have the money to do the repairs to the roofs. Actually, that's exactly why they went. Yeah. Um, I mean, it was not only stressful, but I don.

It didn't pan out as well as they wanted it to. Um, and then I've got a friend who wants to move out of her condo and cannot rent it. There is, and she knew that going in, but so now she's faced with, you know, renting somewhere else if she wants to move while her condo sells. So she thought at that time that it wasn't a big deal, but turns out when she's ready to move, it is.

So I think that's, again, you know, this is a lot [00:38:00] to keep up with. I think having an agent, a buyer's agent who. Knows this like the back of their hand and can really help remind you what to look for every step of the way. Not that this p you can print this PDF out and take it with you, you know? But, um, oh, please do.

I mean, I'm so important. 

Chris McAllister: I'm super excited about how this PDF turned out. I, I, I'd love to get everybody's feedback on it, but, uh. Yeah, it, it's just, you can get so caught up in the, in the excitement of the moment that, you know, some of these things, these, these 10 tips, they can just fall by the wayside. So I just want you to be aware and ask the right questions going in.

Laci LeBlanc: Well, speaking of tip number 10 is stay strategic and flexible. So you end this guide by saying that flexibility is really the secret weapon. Tell me what you mean by that. 

Chris McAllister: Homes are moving fast. You know, we're recording this. What the first week of, uh, February. You know, I always say the spring selling season happens right after Valentine's Day.

You know, homes start to move fast. You get one good warm weekend [00:39:00] and suddenly everybody's coming out. You know, getting out of the house 'cause we've all been cooped up the past 10 days, right? Homes will start to move fast and you might need to tour the same day that the house hits the market or be prepared to write an offer, you know, within hours of the home.

Listing hitting the market. And you can't do that with confidence if you haven't, you know, done a lot of homework upfront with your buyer agent, getting that buyer agency agreement, buyer representation agreement signed, getting your pre-qual, getting your pre-approval and so forth. But yeah, you've gotta move fast and.

There's times you gotta take off work to do that, or you, or you might miss the house buyers who can move and pivot quickly who already have their paperwork together. They absolutely win more often than buyers who, who have zero flexibility. 

Laci LeBlanc: Then on the other side of that coin is losing, right? When you lose out a home as the resident emotional one here, um, you know, there is an emotional side to this and losing out can can be tough [00:40:00] for folks.

So what would you say to to those people? 

Chris McAllister: Absolutely true. It sucks to lose a house that you really decide that is perfect for you, that you fall in love with. But you know, patience always wins. Flexibility always wins. You never want to, you know, fall so deeply in love with the property that, you know, you start throwing money at.

The seller is throwing money at the problem. You've got to stay calm. You've gotta trust your process and, and you've got to remember, you know, the right home will come up and it will align with your budget and your timing. And you know, nobody wants to hear this, but you may. You know, you may lose the first 1, 2, 3 houses that you bid on, you know, before you know, you, you, you, you get the, you get the next one.

So, you know, I want everybody to do the best you can to try to keep a little bit emotional distance from, from the home itself. You know, until you, uh, you know, get through that whole offer process and so forth. But the whole purpose of this podcast, the whole purpose of this, [00:41:00] uh, PDF is to give you the, the tools, the tips, the competence to do as much work upfront as you possibly can so that you are the one that has the best shot at, at, at, at being selected as the winning offer.

Laci LeBlanc: Yeah. So that's kind of the takeaway that you want people to remember, right? What is, can you. Can you tell us what the takeaway is? 

Chris McAllister: Winning in this market isn't about luck. It isn't about outbidding everybody else. It's absolutely about confidence. It's about preparation. It's about building trust, and it's about having the right strategy.

All of those things are gonna make you stand out in a multiple offer situation. And when you have the right buyer agent by your side, you know you can compete and you can win, and you can keep your sanity. 

Laci LeBlanc: If you say so. Easier said than done. Chris. I think we do have a lot of resources though. If people want to, uh, learn a little bit more about some of these strategies and start putting them to work.

Chris McAllister: Well, if you're in [00:42:00] Ohio or the Space Coast of Florida, you know, call us. We'll get you in touch with an agent that's gonna take great care of you. You can always visit roos realestate company.com for tips and, and again, you're gonna find the, uh, 10 tips, uh, PDF in the show notes, and you can download that.

Laci LeBlanc: Perfect. 

Chris McAllister: So I think we're ready to wrap this up. So I just wanna conclude with. Buying a home in today's market, you know, it can feel like stepping into a game where the rules change daily. You know, it may be twice a day, but confidence wins and the buyers who get their offers accepted aren't always the one with the deepest pockets.

They're the ones who are prepared, they're flexible, they're working with an agent who knows how to play the game. You know, at our company, ROOST Real Estate Company, you know, that's what our agents help our buyer clients do. Whether it's from lender Prep to negotiation, you know. Our buyers know how to build trust with sellers and close deals that make sense for our buyers.

So hopefully this is, uh, helpful to everybody listening. Best of luck this, uh, home buying [00:43:00] season as Spring truly is just around the corner. And don't forget to subscribe to the All Things Real Estate podcast wherever you get your podcasts. Lacey, thank you very much. 

Laci LeBlanc: My pleasure. We'll see you next time.

Chris McAllister: Okay. Bye-bye.