This property was sold mid-march as a State Sale that was in the market for only six days.
My clients had been in the hunt for a house for almost four months, had already lost two offers, and it took me a lot of teaching to help them understand the market and the reason why many offers would involve heavy competition. As soon as they were notified with this property hitting the market, they were so content, it had everything they were looking for, three bedrooms, a large patio, and it was located in a neighborhood they loved in Kensington, MD. As soon as they entered the property, they knew they wanted to offer, however, because it was a state sale, I recommended doing a pre-inspection.
An Estate Sale means that the property is being sold to liquidate the belongings of a family or state. In this case, the previous occupant had owned the property for many years. Upon his/her death, there were no heirs, and the property had to be sold by the state to distribute the assets. This also meant the property had to be sold “as-is,” where there will be no repairs or improvements before the sale. This might scare many buyers, as it exempts the contract from including a seller’s disclosure form.
The house was in excellent condition as it was well maintained for many years, the paint looked fresh, and the roof relatively new, the only clear thing was the need to change the heating and air conditioning system.
The offer was made at listing price with an escalation clause of up to $20,000 off the asking price. We had one strong competitor and to win, we put in place an addendum that stated: “Buyers agree to pay the difference towards loan amount if the appraisal value comes in between the listing price and the escalation close.” This put a heavyweight on my shoulders, given that if the value price came below, I would have failed with the Comparative Market Analysis. Thankfully all contingencies were satisfied, the loan was fully approved, and we were set to close precisely one month after ratification.
Now my clients are very happy to have found their home and I and so grateful to have been part of this experience with them.