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Advice needed: How to win a bidding war in this market?

real estatehome buyingfirst time buyer
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Alex_88
Joined:
06.01.2022
Posts: 317
Topic Starter
15.01.2025 18:10
My partner and I have been looking for a starter home for about three months now, but we keep getting outbid on every single property. It seems like every house we like ends up with ten offers, most of which are way over the asking price. We have a solid pre-approval and can put down 20%, but we aren't sure if we should waive inspections or offer a gap coverage. Does anyone have experience with making a winning offer without completely overextending yourself? We really want to get into a place before the spring rush.
19 replies in this topic
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Alan_K
Joined:
22.10.2020
Posts: 442
25.01.2025 14:11
Honestly, 20% down is great, but sellers right now are looking for clean terms. Waiving inspections is risky, though.
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tech_geek
Joined:
29.08.2019
Posts: 1855
02.02.2025 13:38
In reply to a previous post
I agree with the first comment. We won our bid by doing an 'informational only' inspection, which means we wouldn't ask for repairs but kept the right to walk away if something major was wrong.
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WhiteCrow
Joined:
05.12.2024
Posts: 1139
05.02.2025 08:35
Whatever you do, don't waive the inspection entirely. You don't want to find out the foundation is cracked a week after moving in.
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new_here
Joined:
19.08.2023
Posts: 861
10.02.2025 06:13
In reply to a previous post
I'm in the same boat. It's brutal out there right now.
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jacek_pl
Joined:
08.05.2020
Posts: 998
03.03.2025 21:34
Have you considered looking at homes that have been sitting on the market for more than two weeks? Sometimes you can negotiate better terms there.
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advice_pro
Joined:
20.07.2020
Posts: 1880
15.03.2025 22:10
In reply to a previous post
Great advice. We actually found our place because it had been on the market for 20 days and the sellers were getting desperate.
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cris_r
Joined:
20.02.2024
Posts: 2041
10.04.2025 10:16
Gap coverage is a double-edged sword. If you have the cash, it's a huge leverage point, but make sure you have an emergency fund left over.
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Tim_G
Joined:
05.09.2024
Posts: 1871
18.04.2025 17:32
In reply to a previous post
Exactly. Don't drain your savings just to win the bid. You'll need that money for repairs and furniture once you move in.
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WhiteCrow
Joined:
08.10.2020
Posts: 2283
27.06.2025 14:41
Try writing a personal letter to the seller. Sometimes a human connection can sway someone if the offers are close in price.
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Maya_L
Joined:
27.04.2020
Posts: 2201
10.07.2025 19:47
In reply to a previous post
I've heard some sellers don't even read those letters anymore because they just want the highest number. It's a toss-up.
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Alex_K
Joined:
01.12.2024
Posts: 137
21.07.2025 12:06
Talk to your agent about an escalation clause. It lets you automatically outbid the highest offer by a set amount up to a cap.
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Alex_K
Joined:
31.08.2024
Posts: 1631
24.08.2025 00:36
In reply to a previous post
Escalation clauses are definitely the way to go if you're worried about overpaying but still want to be competitive.
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Chris_K
Joined:
12.12.2020
Posts: 2492
18.09.2025 04:49
Make sure your pre-approval is from a local lender. Sellers often prefer that over big national banks because they know the process will be smoother.
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Marius_C
Joined:
20.06.2020
Posts: 1431
23.10.2025 14:33
In reply to a previous post
This is so true! Our offer was accepted over a higher one because our lender was local and had a reputation for fast closings.
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Tony_M
Joined:
09.03.2021
Posts: 1829
09.11.2025 20:43
Don't get discouraged. It took us six months and eight rejected offers before we finally got our keys.
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Oli_S
Joined:
31.10.2023
Posts: 192
14.11.2025 01:50
In reply to a previous post
Six months? Man, I don't know if I have that kind of patience left.
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regular_user
Joined:
11.11.2024
Posts: 710
11.12.2025 07:30
Look for houses that need minor cosmetic work. Everyone wants the 'move-in ready' homes, so competition is always higher there.
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IdkButIWrite
Joined:
28.05.2022
Posts: 50
19.03.2026 03:39
In reply to a previous post
Good point. We looked for places with ugly carpet or bad paint and it saved us a fortune in bidding wars.
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demian_l
Joined:
18.08.2025
Posts: 205
04.04.2026 12:38
In reply to a previous post
Good luck! It’s a tough market but you’ll find your spot eventually.

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