Price isn’t the only important part of a buyer’s offer. Here’s why you need to consider the act of sale and down payment, too.
Multiple-offer situations may occur in our market when a house is correctly priced from the very beginning, which is why pricing is so critical.
If you’re a seller faced with two or three offers on your property, how do you determine which one is best for you?
What I, as your agent, will do is reach out to each one of those buyer’s agents and notify them that we do indeed have multiple offers. I’ll then ask them if their client has submitted their highest and best offer—a lot of times they haven’t.
Price is an important factor in an offer, but it’s certainly not the only component we’ll consider. For example, what is the buyer’s act of sale? If their timeline for closing on the home simply doesn’t align with your needs or interests, it may not be the best offer despite it being the highest price.
How much money does the buyer plan on putting down for the loan? Many people assume cash is king, and that a cash buyer is the best buyer you can select, but that’s not necessarily the case; a pre-approved buyer with a reputable lender is just as good. A buyer’s loan program or down payment can help determine the strength of their offer.
Once the buyers submit their highest and best, we’ll lay those revised offers out for you and discuss the particulars of each. From there, you can either accept one buyer’s offer, or select a buyer with which to further negotiate.
If you have any questions about this or other real estate topics, or you’re interested in buying or selling soon, reach out to us by phone or email. I’d be happy to hear more about your unique situation.
