Question: What do you do when your clients are outbid?
Answer: This is a common situation in the red-hot Bay Area real estate market.
The first question I would recommend any potential buyer to consider would be, “Is this really my highest number, or is this the top number within my comfort zone?”
With today’s low interest rates and tax advantages of buying a home, a higher mortgage may be much more affordable than it first appears. Speaking in detail to a tax accountant, as well as your loan agent, will help to give you the full financial picture. If the number truly is your best offer, the tried-and-true personal letter to the sellers, submitted with your offer, can make the difference, especially if other offers are relatively close.
Sharing how much you love the home and what the current owners have done to the property (and that you are not a developer or flipper firing up the bulldozer) can help put a personal touch on you and your offer.
Read more opinions on SFGate.