Multiple Offers

I spent time this week being one of two offers on a property that had been languishing for months. No offers for months and then... Wammo.....2 within a 12-hour period.

Buyers frequently think that the Seller is making up the other offer, that it really isn't happening. Buyers may not actually come right out and say what they are thinking, but I can read what is on their faces. They suspect that perhaps the Seller is not being truthful, that there really isn't another offer.

I can't see into the hearts and minds (or the files) of the other agent. There is a chance that the other agent doesn't have the ethical standards that I expect from members of a profession that I love. There is always that chance. However, that isn't my experience. My experience is that these things just happen. They really do just happen. It is part of The Zen of Real Estate.

In the recent past, I represented a buyer who was one of three offers made in the first 6 days that a home went on the market. Our offer was not the highest offer. The Sellers chose us anyway because we offered something besides money that the Sellers needed and wanted. Deals are not always just about money. The reason Buyers are asked to make their "Highest and Best" offer is that it isn't just about money. The only limit to a deal is the human imagination. Figuring out what sort of terms and conditions of sale might appeal to the Seller is what the "Best" part of that phrase is about.

From a Listing Agent's perspective, getting multiple offers is tricky. About 30% of the time, what happens when a Buyer is contacted and ask to make their "highest and best" offer is that Buyer walks away. Keeping all parties in the boat requires some pretty careful negotiation.

Bottom Line? With a multiple offer, put your prettiest offer out there and wait. While you wait, avoid day-dreaming about where you are going to be putting the furniture!