Being a Seller in a Multiple Offer Situation

Ruby Miranda Real Estate Video Blog

If you want to generate multiple offers for your home sale and pick the best one possible, listen to your Realtor when pricing your home and look at each offer carefully.

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As a seller, there is a way to be smart about handling a multiple offer situation.

When you start the process of selling your home, you have to make a shift in your perception. This is business. You’re selling a product in a large market that will dictate many of your decisions. You can choose to ignore the market, but to do so is risky, and it’s a decision most people end up regretting.

There are many risks in pricing your home too high—the most important being you will sell it for less than if you would’ve just priced it appropriately to begin with.

Why don’t buyers make offers on overpriced listings? They don’t want to offend the seller. It goes against human nature to offer substantially less than asking price to the seller. It’s insulting to them and embarrassing for the buyer. Buyers erroneously believe that the seller knows the home is overpriced, and if they would be willing to sell the home for less, they would simply lower their price.

Buyers also assume the seller must have turned down lowball offers from other buyers because, surely, someone somewhere down the line offered a reasonable price to the seller. Oftentimes, though, there are no offers at all. As a seller, don’t put yourself in this position.

How can you generate multiple offers for your home and choose the right one? Now we’re talking business.

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Don’t put yourself in a position where no offers are coming in.

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If you’re dreaming of a quick sale, listen to your Realtor regarding your home’s market value and how to price it. You’re more likely to attract multiple offers for your home if you price it correctly than if you overprice it. Buyers may be willing to pay more than the asking price, but they want it to be their move and based on other buyers also placing bids. Most buyers will run away from a bidding war if they think you already overpriced the house.

Next, look at each offer carefully—not all of them are created equal. Just because someone offers a few thousand dollars more doesn’t mean their offer is the one to pick. Factors like whether the buyer is pre-qualified or what type of loan they’re using can also affect how solid their offer is. Another factor to consider is whether the buyer has to sell their original home first before they can buy yours.

There are many aspects of a contract that can be either pros or cons, and you have to dive through all of them to make sure you’re selecting the right offer. Let your real estate agent advise you on which offer is the best.

If you have any other questions about multiple offers or you’re thinking of buying or selling a home in our market, don’t hesitate to reach out to me. I’d love to help you.