Bidding wars can cost you much more than money

Bidding wars are becoming popular in many real estate markets as buyers try to get the best deal on the best homes.  However, sometimes a bidding war can result in the buyer overpaying for the home and realizing it too late.  In a cash situation where you may not be required by a lender to obtain an appraisal, if you are caught up in a bidding war that you are determined to win, you may not realize that you are overpaying for the home.  A professional realtor should warn you when your bids are exceeding the value of other similar homes in the area but some may not.

For more about bidding wars and what you can do if you have overpaid for your home read, “Are You Stuck if You Overpaid on a Home?”