Sometimes I create my own multiple offers. It works like this: Buyer A makes an offer that Seller A counters. Buyer A does not acknowledge the counter in writing but verbally tells Buyer A's agent that it is not acceptable. Seller A had given Buyer A 3 days to respond. On Day 2, Buyer B makes an offer. Then Seller A counters both Buyer A and Buyer B. Buyer B doesn't know that Buyer A is probably not even in the running. What has happened to me is Buyer A then steps up to the plate and accepts the offer because Buyer A doesn't want Buyer B to get it. But it also works vice versa.

Interesting strategy.

Good post Trey,  something we all face sometimes.  It is better if we have thought about how to handle it before it becomes reality.

Good post Trey,  something we all face sometimes.  It is better if we have thought about how to handle it before it becomes reality.

Trey in my area multiple offers are usually handled by going back to all parties and telling them to submitted their highest and best offers.  This ends all the negotiating and then the sellers can look over all offers and decide which they like the best. 

Melonie Haag

Melonie,

I know a lot of folks do that.   But just telling someone to bring their highest and best doesn't always work.

It is human nature to not do that...they want to negotiate.

Ricki,

You think ahead ... that is good.  So many folks don't strategize when these scenarios play out and they get caught off guard.

I was on the buyer side of multiple offers, offer number 6 on a property. I hate being on this side because you don't know what the other offers are.

Stella

In our area if the seller wants to state what his higest offer is to the other agents he can instruct his rep to do so....makes it easier on folks in your shoes.

The bottom line is that in any multiple offer situation, the seller makes the decision how to handle the offers, and NOT THE AGENT!  The seller can advise their listing agent to tell everyone or tell no one that there are multiple offers.  Not always is it best to tell everyone to make their highest and best...for example, if there are two competing offers and one is contingent upon the sale and settlement of the buyer's home, and the other offer is a lower offer but is a cash sale... by telling both offerors that there are multiple offers and to make their best offer, the seller may lose the cash buyer who does not want to be in a bidding war and only have the offer where the buyer is ready and willing but not yet able (until their home sells).  It is the listing agent's responsibility to explain to the seller the different ways they can handle multiple offers and the pros and cons of each, and the client's decision--not their agents.  Guidelines for presenting multiple offers can be found in Apendix IX in the Code of Ethics and Arbitration Manual that all boards should have from NAR. 

Dorothy

Good info. Thanks for the source .

Dorothy--RIGHT! We can present the facts and give advice, but not decide for the seller. I see too often when the seller's agent inserts himself/herself into the situation and answers for the seller (that's too low--I know he'll reject that!) or does not present all offers in a timely manner. That is just unethical and wrong. If I have multiple offers, I label them A-B-C and make a big grid just like you did above to show the sellers each price, terms, closing date, inspections, etc. so they can look at the offers in black and white.