Real estate in Arizona is red hot right now. There are more buyers than sellers; inventory is at an all-time low as prices rise. In this market, there is one thing that will often make a difference in whether a buyer gets the real estate in Arizona they want or faces disappointment. That one thing is a creative offer.
We have listed real estate in Arizona for our clients in the current market. The Manor In Troon, a multi-million dollar listing received fourteen offers when it was only on the market for three days. We have also successfully helped a buyer acquire real estate in Arizona when they were financing when other offers were all cash. What made the difference in both of these sales was the deal structure.
Run-Of-The-Mill Offers Won’t Secure Real Estate in Arizona
Interestingly, in each case, agents submitted what I would call run-of-the-mill offers that stand little chance of gaining a seller’s attention. For example, one of the offers we received on the home we were selling was for the asking price but was contingent on the buyer selling a house they had in California that was not even listed. In an active market, contingencies will kill deals faster than anything. Sellers are looking for clean easy-to-close deals.
Buyers need to be willing to think differently about their purchase of real estate in Arizona. They may need to take risks that were not the norm in the past. We have seen offers where a portion of the earnest money “goes hard” or becomes the seller’s when the contract is signed for real estate in Arizona. Post possession agreements are also common, allowing the seller more time to move after the escrow is closed, especially since packing time is significantly reduced when the seller’s home went under contract so quickly.
What a Buyer’s Agent Needs to Know
Make sure that your buyer’s agent has done their homework and knows the real estate market in Arizona. Many deals may require offers above the list price. A good agent will help you navigate and determine if an above-list price makes sense.
The critical question that any buyer’s agent helping you buy real estate in Arizona should be asking the seller’s agent is, “what is important to the seller?” We recently helped a buyer secure a home that they were purchasing with financing. There are many cash offers for real estate in Arizona in this market, making it difficult for buyers who need financing to close a deal. By asking the questions, we learned that the seller required time to secure a new home. Our buyer was willing to rent the house back to the sellers with a post-possession agreement at one dollar a day for the time they needed.
Buyers of real estate in Arizona, don’t lose hope, there are deals to be made. They require patience, a willingness to take some additional risk, and creative thinking to put a winning deal together.