In the real estate world, it usually is pretty bleek if you write an offer, and find out soon after you are in a back up postion..not just 1st, but 2nd back up..UGH!!..
It's is not always a losing situation..I was recently involved in a transaction where my people were in 2nd back up. For those who are new to the world of real estate, 2nd back up is actually in 3rd place..You have an offer that is accepted, another offer that is in back up, and then your offer is backing up the backup offer...
The whole transaction was a rollercoaster ride from the beginning. The property had been listed for quite some time and there had been no takers...Finally, offers came..two low offers...The seller agreed to let the property go at the lower prices, and accepted one, with the other in backup. Then I came along...My buyer wanted this property so much that when he heard other people were interested, he offered full price to insure he would get it. Well, we were a day late on submitting the offer and ended up in 2nd backup despite the much higher offer.
Well there was a contengency on the first offer, that was removed by the offer because of the other two backups..and all looked well for the people in first place...
A month goes by and we were near the end of the deal and I hear word that the buyers lender is asking for an extention!! My ears perked up immediately!!! This was not my listing, but was listed within my office so I called the listing agent and he confirmed that the lender was asking for more time and the sellers were thinking about not signing the extention...My buyers were one step closer to the prize!! But wait!!! The offer that was in 1st back up had asked to be released from the contract a couple weeks prior to this word, but for one reason of another, nothing was put into writing...are we in 1st or still in 2nd back up??? I am now sweating now..I had not called my people yet to inform this of the events of the week.. I wanted to know for sure where we stood before I get their hopes up...By this time I am on the edge of my seat..untill.....
THE OFFER THAT THE PEOPLE WROTE THAT WERE IN 1ST BACK UP HAD EXPIRED!!! WE ARE IN FIRST BACK UP!!!
I call my buyers and of course they are very excited because they just knew there would be no way that they would end up with this property, there is hope after all.
The closing date comes and the original people and sellers sign..it was a close one, we almost got the prize..but we will get the next one.
THE NEXT MORNING...The listing agent calls me.."Remember that extention the lender needeed? They were serious, they really needed more time to close..it was never signed..the buyers cannot fund!! You see this property is a very old home, just feet away from the Clearwater River...but there are some items that the lender felt that needed to be checked into more before lending money on the home..items like a questionable foundation, and adaquate water supply..(water is served by a natural spring)..
This is the day after closing!!! The first buyers are out, they ran out of time..WE ARE TOMORROW !!! My buyers are cash buyers, no lender, no inspections, they want the property!!
It just goes to show anyone, that it may not be the end of the world if you are in 2nd backup positon.
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