Overbids

When buyers are competing for a property, this can be referred to an overbid situation. For the buyer who is really anxious to get the home they want, it can be nerve-wrecking.
There is nothing like having your heart set on a property because it is right for you and your family in so many ways. If you want to come out the winner, you have to do your homework.

Study the seller
No, don't hire a private investigator. Just make sure to find out why the property is being sold. A seller's motivation can give you clues about kinds of concessions that will be most welcome. For instance, if a home being sold to settle an estate, then the sellers will want as much money as they can get. They will likely be less willing to cut the price than a family who needs to sell a home quickly and relocate.

Study the Market
Look at the final sales price for homes that were recently sold in the area near the property you want. These "comps" (short for comparables) will provide more insight than if you simply make your decision on what to offer based on the asking price. You need this knowledge because you can be sure that the seller and the seller's agent are aware of the going rate for homes in the neighborhood.