Since the Covid 19 pandemic has created a mass exodus from the NYC area, homes in the Hudson Valley have been sought after with incredible urgency. Home prices are much higher and generally are selling at a premium. Most homes are being sold in less than a few days and at a 20 percent higher price than the asking price. Hence, the bidding war. If you find yourself to be in this situation, remember, you will be required to have the 20% down-payment on the selling price and not the asking g price. Why? Because when the lending institution assesses the property, it will most certainly be less than what you are willing to pay. So their 80% funding will be based on that number (what they value the home at) and not what you are paying. This means you are on the hook for the difference. This can screw up the whole closing process. Not only for the buyer, but the seller as well. So, as a word of caution, make sure your buyer has the 20% based on the selling price. Otherwise you could be on hold.