What Does Bring All Offers Mean To A Home Buyer
This is classic, in my opinion. Beth Atalay's post asks "What does bring all offers mean to a home buyer" and I would add ... or mean to anyone?
For me, it typically means some level of desperation. Perhaps the listing agent knows the list price is too high. If they don't know, they should know ... it's their job to know. List prices must be supported by comparable properties sold if the list price is to be considered realistic.
Over-priced homes don't sell. We know this to be true because the MLS data shows the over-priced homes remain active on the MLS while all the competing homes that are priced right go status pending and ultimately to SOLD.
As Beth points out, real estate is local. Price a home right for the area given the current market conditions and homes will sell. Over-price a home and help sell the competition.
Courtesy of Kathleen Daniels, San Jose Homes for Sale - San Jose Short Sale Agent - 408.972.1822
What Does Bring All Offers Mean To A Home Buyer
Most homes that are for sale are entered into Multiple Listing System(MLS). Within MLS, there are “Public Remarks” as well as “Realtor Only Remarks”. When general public reads the remarks that are placed in MLS by professional Realtors, they usually take it to heart. After all, listing agents should know most about the property that is for sale and would/should place remarks in a place where public reads accordingly.
When I as a Realtor read a remark that reads “bring all offers”, I honestly don’t pay much attention. As matter of fact, I pull comps from MLS as well as Public Remarks to see what the fair market value as well as distressed value is for the property.
What does bring all offers mean to a home buyer? Exactly that!! I have been showing homes all weekend to first time home buyers and they did decide to put an offer on a home that is listed at $225,000. Active, Pending and Sold comps indicate fair market value for the house is $180,000. There’s a remark under “Public Remarks” that reads “bring all offers”. After advising my buyers what the value of the house is based on comps, they’ve decided to offer $155,000. That is $70,000 less than asking price. In thirteen years, I’ve yet to see a Seller take $70,000 less than asking price.
My buyers want to get a good deal and pay as low as possible for their dream home. We all like that, don’t we? They wish to offer $70,000 less than asking price because MLS says to bring all offers.
I don’t want to insult the sellers nor the listing agent so I phoned her to let her know what we were about to do. Well, she didn’t take it very well, in fact, she let me know they wouldn’t even consider such low offer. Who would blame them? Granted, home is overpriced(based on comps) but it’s only been on the market for 9 days and it’s very unlikely they would consider lowering their price. Instead of wasting my time writing up the offer, I spend that time educating the buyers, they now know not pay that much attention to “some” remarks in MLS.
Real Estate is very local and what works in FL may not work in CA or anywhere else in the country. Some areas of Central Florida are considered to be Seller’s Market and homes are selling above asking price regardless of comps. It is my job to let my buyers know what the market value is based on comps but if they wish to pay above that, they certainly can. If financing, it must appraise at the contract price, if not, buyers should be prepared to pay the difference out of pocket.
Whether you’re looking to buy a home in Clermont and surrounding areas or selling your home, I would welcome the opportunity to meet with you. I may be reached at 407-929-1852, bethatlay@gmail.com or www.wheretoliveinorlando.com
Beth Atalay, Broker/Owner
Cam Realty and Property Management
407-929-1852
www.wheretoliveinorlando.com BethAtalay@Gmail.com
Your Orlando Agent - Where to Live in Orlando
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