Real Estate Tip of the Week: What to Do with Multiple Offers
What! You and your client not only got two, but three offers on their home?!
This should definitely be a momentous occasion – you’ve both worked hard to get to this point, and your client’s closing is on the horizon.
As an agent, it’s your job to guide your seller through the multiple offers and help them select the best bang for their buck.
So, how do you juggle the different options?
The fewer the contingencies, the better it is for the seller. Each contingency is different though – some might include being approved for a mortgage first, having the home pass an inspection, or making sure the appraisal matches the price.
Contingencies allow buyers to pull out of the deal – so, contingencies that don’t alarm the seller or an offer with zero or the fewest number of contingencies, might be the best pick.
Cash vs. Loan
Cash rules the real estate world – and if a buyer plans to pay in cash that can mean a quicker closing as your seller won’t have to wait for a lender to approve the buyer’s loan.
However, most buyers will need a mortgage. If this is the case, look to see if the buyer has been preapproved for the home loan.
Think about closing periods – a buyer who want to close within weeks might be better than one who needs or wants months to close.
However, this all depends on your seller’s desires. Do they want to move right away, or do they need more time to tie up loose ends?
Be Their Guide
Although you aim to close and finalize the deal, remind yourself that it’s more than just a commission. You’re helping someone tackle one of the biggest sales and purchases they’ll make! They’ve made memories in their home, and might have a hard time letting go of that. Your client’s needs and desires are top priority – you both are a team!