Pat Starnes Snippets: May 2018

How To WIN the House in Multiple Offer Situations

I've heard listing agents say they don't care for multiple offers because they are "stressful".  That doesn't make sense to me. As a listing agent, receiving multiple offers mean the buyers will present their best offer, which will result in a higher bottom line for my seller.

 

Price, however, isn't the only consideration in deciding which offer to accept or counter. Terms can be just as important if not more important that the sales price. 

Terms and Conditions

 

When representing buyers I want to avoid multiple offers, but if representing the seller, my job is to get the BEST offer I can on his or her behalf.

 

When offers arrive, they are opened and reviewed. I've successfully negotiated several multiple offer situations this year. In one example, Offer #1 had THREE contingencies;,  financing, a home inspection contingency AND a property to sell. Offer #2 was all cash, (but low) and also with contingencies. A third offer arrived. The buyer realized if they wanted the house, they had to put their best offer forward. In doing so, Buyer #3 won the house.

 

The seller has the right to determine how multiple offers are handled, and we carefully discussed his options. All three buyer agents were advised there were multiple offers on the property, and were encouraged to submit their highest and best offer. 

 

Once an offer was selected, we then negotiated to fine-tune the terms of the contract. 

 Results

Following are tips to WIN the house in a multiple offer situation:

 

  • Remove as many contingencies as possible. If you have a house to sell before you can purchase, your bargaining power is lessened. Ask your lender if you can handle two mortgages, at least temporarily. See if there are creative financing options so you can eliminate the contingency to sell another property.

 

  • Don't pile on "extras". Some buyers (or buyers agents) will ask for the sun, the moon, and the stars, and in doing so, they could miss out on the house of their dreams. Don't ask the seller to pay closing costs and a home warranty and prepaid items and a large repair allowance, etc. Don't ask for the three year old stainless refrigerator or the flat screen TV, either. Keep the offer as simple as possible.

 

  • If you are in a multiple offer situation (be sure to ASK if there are other offers on the table), come in strong. Let the seller know you are serious. Offer more than the token amount of earnest money. Find out if there is a preferred closing date that works better for the seller.

 

  • Don't be adversarial. Sometimes being NICE can go a long way. Refrain from criticising the sellers decorating style and always be courteous. Don't turn the multiple offer situation into a conflict and don't be a bully.  

 

Be considerate when making your offer. This is not the time to play games. If you like the house, let your offer SHOW it. 

 

As a Brandon MS listing agent, I have successfully navigated the waters of multiple offers. If you have a home to sell in the Central MS Metro area, call me, because everything I touch turns to SOLD.Everything I touch turns to SOLD

 

Written and Published by Pat Starnes REALTOR

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Pat specializes in Residential and New Home Sales 

Primary Service Area:

Brandon, Pearl, Ridgeland, Flowood and the Ross Barnett Reservoir area

 Pat Starnes, Broker Associate

Front Gate Real Estate, 6700 Old Canton Rd., Suite C

Ridgeland, MS 39157

601-991-2900 - Office

601-278-4513 - Cell

 

Recent Blog Posts by Pat Starnes:

 

Greenfield Station in Brandon MS Continues to Grow

Six Easy Tips to Save Money on Your Home Inspection

Should You Consult a Realtor When Buying New Construction?

Homes for Sale in Scottish Hills ~ Brandon MS 39047

Homes for Sale in Hidden Hills Subdivision, Brandon, MS 39047

Homes for Sale in Castlewoods Subdivision, Brandon, MS 39047

Gardens of Manship Neighborhood Information - Brandon, MS 39047

 

Are you looking to buy or sell a home in the Brandon MS market? Call me!

Comment balloon 12 commentsPat Starnes-Front Gate Realty • May 17 2018 10:41PM
How To WIN the House in Multiple Offer Situations
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I've heard listing agents say they don't care for multiple offers because they are "stressful". That doesn't make sense to me. As a listing agent, receiving multiple offers mean the buyers will present their best offer, which will result… more