When selling your home, having more than one offer to consider is a great position to be in. However, there are some rules of thumb for handling the sale of your property in a multiple-offer situation.
The most important is to evaluate every offer for its details – not just the price. Study all conditions and investigate thoroughly the strength of each offer. Just because the buyer has agreed to pay a certain amount for your home doesn’t necessarily mean he or she is capable of bringing about a successful closing.
Evaluate their pre-approval letter as well as the lender itself. You should be particularly suspicious of all-cash offers. What’s too good to be true, often is.
In evaluating offers, your listing agent will prove an invaluable support. He or she will do the legwork required to consider each offer and check out the buyers and buyer agents. Do ask your agent for input and opinions. However, in the final analysis, you are the decision-maker.
You’re more likely to attract multiple offers and save yourself headaches if you order your own property inspection before you put your house on the market. Feigned ignorance of the condition of your home risks an eventual lawsuit or costly work orders. If it’s bad news, you’ll have the choice of making repairs or reducing your asking price.
It also means fewer complications with negotiations and closing.
Negotiations are particularly difficult in multiple offer situations – not so much for the seller, but for the buyers. Hopefully, you and your listing agent will treat offers with respect. The seller pretty much dictates the way offers are presented, and making buyers jump through hoops – especially if their offer comes in well below the others – won’t benefit anyone. Let them know there are several better offers, so if they can’t increase theirs, they can exit gracefully.