Multiple Offers Put Home Sellers in Control

When sellers receive multiple offers, they may feel more in control; but they need to proceed carefully to ensure they make the best deal. Sellers who receive numerous offers on the first day a home hits the market might be tempted to make a decision right away, but those who wait for additional bids have a better chance of selling for the asking price or more. At the same time, they must be careful with their counteroffers so that buyers do not back out. Under the National Association of Realtors’ code of ethics, agents must disclose when there are multiple bids if the buyer asks; most practitioners make that disclosure and ask competing buyers to present their highest and best offers. Other agents will undertake individual negotiations with different counteroffers in search of the best deal, which enables sellers to gauge the buyers’ motivation and financial strength and generally achieve a higher price. However, agents stress that price is just one factor and that the down payment amount, whether the buyers can close quickly, and whether they can pay the difference in the event of a low appraisal are other important considerations. | Read More