Buying a house can be very exciting, but when you are tackling multiple offers, it is tremendously important to keep cool head and not let your feelings -- or your competitive nature -- overshadow your good judgment since there are many unscrupulous tactics a homeowner may implement when confronted with possible purchasers trying to outbid one another for their home. Real estate professionals are likewise subject to playing off both the buyers and homeowners to boost their commissions higher and transaction numbers more impressive. Certainly there are established rules of engagement that deal with these situations, however they are not always respected -- so all involved has to stay on their toes and be aware of indications of foul play.
Dishonest maneuvers covering multiple offer scenarios are so frequent that a few provinces have actually made it against the rules for the seller to market a price they are not prepared to accept in an effort to start a bidding war. There are certain rules of engagement regarding multiple offers that involve non-disclosure of details while stipulating that any alterations to the bidding process must be discussed with everyone before executing. However in the quest to finagle a larger bid, often times critical facts are intentionally given away or even misrepresented to influence the other bidders. Although such situations are more the norm in bigger cities even Barrie real estate listings are beginning to see these things happen.
The ideal plan when a purchaser is handling a multiple bid scenario is to make the best offer they are able to and put as few terms and conditions as they can into the offer so the homeowner will be drawn to it by straightforwardness and, if all goes well, the the offer price. It is often hard for prospective buyers to refrain from making extravagant offers in the heat of the moment, a behavior that can be taken advantage of by unscrupulous sellers and agents who could send back a perfectly good offer to in an attempt to boost it. By exploiting the few properties for sale in a small area such as Alton Village homeowners may try to to drive up the price.
Negotiating tactics often incorporate an agreement between the owner and their agent not to disclose multiple offers, and buyers in these circumstances are not even alerted that there is competition for their offer. Most homeowners, however, are very happy to let all prospects know that they are anticipating other offers, although it then becomes their duty to make sure no sensitive facts leak out and that the bidding remains fair for all involved. Realtors have been known to shop around by making it known that the first offer has been made on a property to generate interest with other agents whose clients have an eye on the home. Homeowners are always trying to receive the most from their homes and in smaller regions there may not be as many buyers searching for Windsor real estate listings so such endeavors can help to get more bids.
Another strategy often used by unscrupulous sellers is misleading potential purchasers, and also their realtors, by looking at offers they have no intention of considering simply to pressure the other buyers and starting a bidding war. Sometimes a seller will price the property low to provoke a competition with the intent of creating a frenzy that will lead to larger bids that might be more than the value. However such tactics may backfire when word gets out inside the real estate community that a seller is manipulating a bidding war because they will refrain from bringing their clients to view the home.
Comments(0)