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Multiple Offers? Counter? Highest & Best? What then?

By
Real Estate Agent with Realty Pro, Inc. #96851

Multiple Offers? Counter? Highest & Best? What then?

 

Today our Broker, Dave Baker gave a talk about how to handle multiple offers. Clark County, WA is having a lot of multiple offers since there is not much home inventory to choose from to purchase.

 

He spoke of a seller that he had read about that received two offers. So the seller's agent and the seller decided to counter both offers. Well, in doing that, BOTH buyers accepted the counter! That would mean that the seller had accidentally sold his house TWO times! They quickly remedied it and chose the offer that was the best finanical offer for the seller. But that could have been a HUGE lawsuit.

 

 

Our broker Dave said that what should have happened was that the agent should have sent out an addendum to both of the buyer's agents saying, "Please submit your highest and best offer and the seller will review them by 5:00 pm tomorrow."   Then, a recission document should be sent to the "unchosen" offer in order to clear the field with no lingering problems.

Have you had anything like this happen?

 

Multiple Offers? Counter? Highest & Best? What then?

 

 

 

 

 

 

 

 

 

 

 

Laura Cerrano
Feng Shui Manhattan Long Island - Locust Valley, NY
Certified Feng Shui Expert, Speaker & Researcher

Always get them to feel validated in their bid and the haggle honestly. That's my take. :) Be well!

Oct 21, 2014 04:44 PM
Inna Ivchenko
Barcode Properties - Encino, CA
Realtor® • GRI • HAFA • PSC Calabasas CA

In last two years, most of my listings had multiple offers( we had up to 30 when the time was really crazy). I always counter only the highest and always keep one as a backup. ( believe it or not, but after winning a bidding war, buyers often  walk away, so you must have someone ready to step in).

Oct 21, 2014 05:18 PM
Jill Watts
Realty Pro, Inc. - Vancouver, WA
A Luxury Experience at Every Price Point!

Inna, Goodness, you mucpst be really busy. I like your tip about using only the highest and keeping a back up. Best wishes to your year!

Oct 22, 2014 06:31 AM
Gabe Sanders
Real Estate of Florida specializing in Martin County Residential Homes, Condos and Land Sales - Stuart, FL
Stuart Florida Real Estate

Yes, Jill, I've seen this happen on more than one occasion.  It can end up being quite messy and I have seen lawsuits as a result.  And, typically it's the agent responsible that suffers the consequences.

Oct 23, 2014 08:58 PM
Jill Watts
Realty Pro, Inc. - Vancouver, WA
A Luxury Experience at Every Price Point!

Gabe, yes I agree. Unfortunately people as buyers and sellers don't know the half of it about staying legal throughout the whole purchase process! 

Oct 24, 2014 12:54 AM
Inna Ivchenko
Barcode Properties - Encino, CA
Realtor® • GRI • HAFA • PSC Calabasas CA

Jill, thank you, we never busy to take more;)

I work mostly with distressed properties.

'Highest and best' is not the highest price , but the strongest offer+financing+ realtor. After the submission deadline I call each realtor and each lender. In our last multiple offer situation, we accepted slightly lower offer than highest, but the realtor who represents them is fantastic. I'm very happy how she is working with her first time buyers:) There is nothing worse that having a short sale with an agent who has no clue....

Good luck;)

Oct 25, 2014 03:28 PM
Jane Chaulklin-Schott
TEAMCONNECT REALTY - (407) 394-9766 - Orlando, FL
TeamConnect Luxury Homes - Orlando, Florida, 32836

Enter 'lawsuits.'  Nice reminder on the importance of steps in the use of 'highest and best' offers and process.

Feb 02, 2015 11:20 PM