Mailbag: How Much Should I Put in Due Diligence?
In today’s competitive market, how much should you offer in due diligence? Should you offer more than the list price? Angie answers four questions from the mailbag in this week’s podcast.
From working with a realtor to making an offer on a home, Angie answers four questions from listeners going through the homebuying process in the Triangle.
Amber in Durham is asking if it’s better to work with a realtor who works alone or a realtor who works with a team. Angie gives the reasons why working with a team can be beneficial to you. Being able to reach out to not only your agent, but also an administrative team including a listing manager and closing manager, can make for a much smoother process. Working with a team with definitive roles will help you get through the process in a way that makes you feel confident and taken care of.
Steven in Chapel Hill wants to know which home upgrade is best if you only have the budget for one: the kitchen, the bathroom, or the painting the exterior of the home. Which one will help you sell the home? Angie shares her pick as well as what color feels fresh right now.
Gwen asks, what’s a reasonable amount to pay for due diligence and earnest money in order to be competitive in today’s market? Angie says to start by considering the price point and the location. In Smithfield it’s very different than in Raleigh. Anytime you are in Raleigh, when looking between $250-$550K, winning offers are looking at $15-20K in due diligence. Remember that it does get credited to your down payment. The majority of buyers are offering the bulk of their money in due diligence and then less in earnest money.
Smith in Fuquay-Varina wonders how much over asking price they should offer on a home. Angie gives some current numbers when it comes to what to offer over list price. Right now, in the market, people are often offering $20-$50K over list price but some winning offers can go even higher. It’s important to ask, what is it worth to you?
Listen to the entire episode or click on the timestamps below to skip ahead to the
0:38 - Mailbag: Should I work with an individual agent or a team?
4:02 - Mailbag: Which home upgrade is best?
5:56 - Mailbag: How much do I need to pay in due diligence?
8:32 - Mailbag: How much more than the list price should I offer?
Get In Touch:
Angie Cole - Contact - Call: 919-538-6477