Price gets the attention, but the listing agent on the other side is reading your whole offer: how you’re paying, how much you’re putting down as a deposit, what could let you walk away, and when you can close. Here’s how to make each piece work for you in Richmond right now.
How do I make a competitive offer in Richmond VA? Start with recent comparable sales, not the list price. Then strengthen the terms you can afford to give: a full preapproval, a meaningful earnest money deposit, a shorter inspection period, a plan for an appraisal gap, and a closing date that works for the seller.
by Daniel Yoon | eXp Realty | Richmond, Virginia
What the Richmond market looks like right now
For the City of Richmond in September 2026, Redfin reported a median sale price of $401,199, a median of 17 days on market, and a sale-to-list ratio of 100.3%. About 40.4% of homes sold above list price, and 31.1% had a price drop. Redfin rates the city “very competitive,” with a Compete Score of 86 out of 100 and an average of 2 offers per home over the last 3 months.
So both things are true: plenty of homes sell over asking, and plenty sit and take a price cut. Your offer strategy should depend on which kind of listing you’re looking at. A fresh listing with a lot of showings is a different negotiation from a house that’s been reduced twice. If you’re still deciding whether to buy at all, read my take on whether now is a good time to buy in Richmond.
The offer levers, compared
| Lever | What it costs you | What the seller gets | Your risk |
|---|---|---|---|
| Higher price | More cash or a bigger loan | More money | Paying above appraised value |
| Escalation clause | Nothing unless it’s triggered | A price that rises to beat other offers, up to your cap | Showing your ceiling |
| Full preapproval | Time with your lender up front | Confidence the loan will close | Little |
| Larger earnest money deposit | Cash tied up until closing | Proof you’re serious | Losing it if you default |
| Shorter inspection period | Faster scheduling | Less time for you to back out | Less time to get quotes |
| Appraisal gap coverage | Extra cash at closing if it’s needed | Less risk of a renegotiation | Paying more than the appraiser’s value |
| Flexible closing or rent-back | Some inconvenience | A move on their schedule | Little, if it’s in writing |
1. Price it from comps, not the list price
Your agent should pull recent sales of similar homes nearby and tell you where this one fits. That number, not the list price, is the anchor. If the house is priced below the comps and showings are heavy, you’ll likely need to go over list. If it’s priced above them, an offer under list is reasonable. An escalation clause can help in a multiple-offer situation, but it shows the seller your top number, so use it with care. My guide to escalation clauses and appraisal gaps goes into more detail.
2. Show strong financing
A preapproval carries more weight than a prequalification. The CFPB explains that a preapproval letter gives the seller confidence you’ll be able to get financing, though it isn’t a guaranteed loan offer. Ask your lender to review your income, assets, and credit before you start touring, and to be reachable when the listing agent calls to check on you. My comparison of pre-approval vs prequalification has more detail.
If you’re paying cash, include proof of funds. If you’re using a VA or FHA loan, your offer can still compete. Strong terms elsewhere help offset any concern a seller has about the appraisal.
3. Put real money behind it
Earnest money shows the seller you’re committed. There isn’t a single right amount in Richmond. It depends on the price, the competition, and what you can afford to have at risk. Just know the deal: if you default without a contract contingency that protects you, you can lose it. My guide to how earnest money works in Virginia explains how it works.
4. Tighten contingencies, but don’t skip the inspection
Virginia is a buyer-beware state. Under the Residential Property Disclosure Act, most sellers give a statement saying they make no representations about the property’s condition and advising the buyer to do their own due diligence, including a home inspection. That makes the inspection your main protection.
Instead of waiving it, shorten it. A tight inspection period, scheduled the day the contract is ratified, makes your offer cleaner without leaving you blind. Some buyers also say up front they’ll only ask for major safety or structural items. My Virginia home inspection guide walks through the process.
5. Plan for the appraisal
If the house appraises below your price, your loan is based on the lower number. Fannie Mae’s Selling Guide defines the property value for a purchase as the lower of the sales price or the appraised value. The difference has to come from your cash, a price cut, or both.
Appraisal gap coverage tells the seller you’ll pay some or all of that difference in cash, up to a set amount. Only offer what you could actually pay. With a VA loan, the contract has to include a clause that lets you walk away without losing your earnest money if the price exceeds VA’s reasonable value, per 38 CFR 36.4303. You can still choose to go forward.
6. Make the closing easy for the seller
Ask the listing agent what the seller needs. Some want to close fast. Others need time to buy their next house or would like to stay a few weeks after closing. A short rent-back, written into the contract, can beat a higher price from someone who can’t be flexible.
7. Skip the love letter
Personal letters to sellers feel like a good idea, but the National Association of REALTORS warns that they can put sellers at risk of violating fair housing laws because they often reveal personal details tied to protected classes. Many listing agents discourage them or will not pass them along for that reason. Let your terms do the talking.
FAQ
There’s no set amount. In September 2026, Richmond homes sold for 100.3% of list price overall, but about 40% sold above list and about 31% had price drops. Base your offer on recent comparable sales for that house, how long it’s been listed, and how much interest it’s getting.
There isn’t a single standard amount. It depends on the price, how much competition there is, and how much you can afford to have at risk. A larger deposit shows commitment, but you can lose it if you default without a contingency that protects you, so talk it through with your agent.
I don’t recommend it. Virginia’s disclosure statement puts the burden of due diligence on the buyer, so the inspection is your main protection. A shorter inspection period, or agreeing to ask only for major safety and structural items, can make your offer stronger without skipping it.
An escalation clause automatically raises your offer by a set amount above any competing offer, up to a maximum you choose. It can help you win without overpaying when there are multiple offers. The tradeoff is that it reveals your top price, so use it with care.
Your loan is based on the lower of the price or the appraised value. You can cover the gap in cash, ask the seller to lower the price, split the difference, or cancel if your contract allows it. VA buyers have a required clause that protects their earnest money in this case.
No. The National Association of REALTORS warns that buyer love letters can expose sellers to fair housing risk because they often reveal personal details tied to protected classes. Focus on price, financing, deposit, contingencies, and timing instead.
The short summary
- Price: start from comps and adjust for how competitive the listing is.
- Financing: get a full preapproval, or show proof of funds if you’re paying cash.
- Terms: a solid deposit, a short inspection period, and a clear appraisal plan.
- Seller fit: match their timing, and skip the love letter.
Found a house you don’t want to lose? I’ll pull the comps, call the listing agent to find out what the seller cares about, and help you build an offer that’s competitive without being reckless. Book a time at cal.com/danielyoon or call 804-896-2694.
General information, not legal or lending advice. Have a Virginia real estate attorney review your contract and ask your loan officer about your file.