How to make an FHA offer more attractive in Chicago?

[Nicholas Pascullo]

Hi BP!

Basically, I've put in offers for two multi-family properties in Chicago. One was in Logan Square, one in Irving Park. Both offers lost to other offers. In one case, the seller disclosed that he had accepted a cash offer, which beats my FHA offer. Fine. In the second case, I got no context at all. In neither case was I offered the opportunity to come up in price. I think people are scared of FHA financing contingency and inspections.

My question to you knowledgeable and experienced sellers is this: is there something I can do, as an FHA buyer, to make my offer look more attractive? Has anyone had success buying with FHA in a hot market, like Avondale, Humboldt Park, Pilsen, Irving Park, Logan Square are today in Chicago?

[Brie Schmidt]

The problem is most seller's agents have had a bad experience in the past with FHA or have a lack of knowledge on the FHA process. As an agent, I spend a lot for time trying to educate the other agent on FHA as most of my buyer's are using a FHA loan. Most of the time nothing comes out of it as they have multiple offers and can pick and choose from then.

Once I was able to turn the agent around and take my client's offer. I had to really sell him on the actual FHA process and we agreed to order the appraisal/inspection on the first day we went under contract, so if it wasn't going to go through the seller would know in a week vs the usual 3 weeks until that is completed.

@Nicholas Pascullo