How To Handle More Than One Offer When Selling Your Home

By
Real Estate Agent with Joe Manausa Real Estate 8508880888
https://activerain.com/droplet/4fvw

I saw an infographic recently which was titled "How Did Home Sellers Handle Multiple Offers?" that was published by the California Association of Realtors, and it makes for a timely article for people who are selling a home in Tallahassee.

While our market is not "on fire" like many markets in California, we can usually look to the current California real estate market to determine where ours will be in the coming year or so.

What first caught my eye was that they reported 98% of home sellers there received more than one offer, which I find incredible to say the least (incredible is defined as "impossible to believe").

Infographics Tell A Story

How Did Home Sellers Handle More Than One OfferInfographics are a great way to use pictures to tell a story. We publish a monthly infographic to show the state of the Tallahassee real estate market, and the feedback we have received on its format is very positive (click here to see the Manausa Market Infographic).

The story that we get from California is that the market is so hot, people are standing in line for the opportunity to buy a house. Buyers apparently far outweigh sellers there. Call me skeptic, but I think they should double-check their figures before broadcasting that 98% of sellers received more than one offer. How exactly did they measure that?

The California Association Of REALTORS (CAR) claims that sellers, on average, received 5.9 offers from buyers in 2013, and 3.1 offers from buyers in 2012. Regardless of the number received though, home sellers in Tallahassee should be prepared to receive more than one offer and we can look to this California report for some thoughts.

How Sellers Handled Numerous Offers

According to the infographic from CAR, home sellers responded to more than one offer in the following manner:

  • 77% took the highest offer
  • 47% took the best mortgage-qualified buyer
  • 39% took the offer without contingencies
  • 23% took the all-cash offer
  • 14% took the offer because of the buyer's ability to close the fastest

Those numbers make sense to me. Home sellers favor more money, but they also favor the stronger buyer.

The prudent buyer will ensure they make a compelling offer that demonstrates buyer strength with a very tempting price.

How To Get More Than One Offer When Selling Your Home

The key to getting more than one offer is to understand the liquidity in the market for a home like yours. If you use a progressive home selling plan that properly promotes your home to ready buyers, you will likely generate interest from more than one buyer. This is the best way to get top dollar for your home ... have many people competing for the right to buy it.

If you would like to know how a progressive home selling plan can generate more than one offer on your home, just drop me a note and we can schedule a time to demonstrate our plan to you.

close

Re-Blogged 3 times:

Re-Blogged By Re-Blogged At
  1. Lenn Harley 04/15/2014 10:18 PM
  2. Joe Jackson 04/16/2014 12:28 AM
  3. Winston Heverly 07/18/2014 02:04 PM
Topic:
Home Selling
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Rainer
441,180
John Dotson
Preferred Properties of Highlands, Inc. - Highlands, NC - Highlands, NC
The experience to get you to the other side!

Joe, we too are waiting on the times again when we will get multiple offers.  Maybe as our seasonal visitors start coming back...

Apr 17, 2014 12:27 AM #31
Rainmaker
370,263
Travis "the SOLD man" Parker; Associate Broker
Team Linda Simmons, Enterprise, AL 36330 - Enterprise, AL
email: Travis@theSOLDman.me / cell: 334-494-7846

I can see where most will take the highest. With older houses and possible Appraisal issues, I've seen that CASH is KING!

Apr 17, 2014 12:57 AM #36
Rainmaker
408,273
Steffy Hristova
HomeSmart Elite Group Tempe AZ Tel: 480-966-9353 - Tempe, AZ
Tempe AZ Realtor - Your Home Close to Your Work!

The infographics tell the story so quickly - it takes a second to see what's going on in the market, looking at your Market infographic. Great translation of professional jargon, too. I am sure your Buyer and Seller clients love it.

Apr 17, 2014 01:09 AM #37
Rainmaker
1,431,210
Gene Riemenschneider
Home Point Real Estate - Brentwood, CA
Turning Houses into Homes

It was a great info graphic.  I put it out myself on several sites.  And the California market is hot.

Apr 17, 2014 02:52 AM #38
Rainer
475,289
Kimo Jarrett
WikiWiki Realty - Huntington Beach, CA
Pro Lifestyle Solutions

Interesting report from CAR but what exactly do they mean by multiple offers? Is it over a long period of time prior to closing or having received all offers in a matter of days?  

Apr 17, 2014 02:52 AM #39
Rainmaker
605,183
Brian Burke
Kenna Real Estate - Englewood, CO
Broker & Advising Expert-Denver Luxury Real Estate

Good post Joe!

Apr 17, 2014 03:34 AM #40
Ambassador
2,556,088
Ed Silva
RE/MAX Professionals, CT 203-206-0754 - Waterbury, CT
Central CT Real Estate Broker Serving all equally

Interesting post. Our Connecticut market doesn't have that fury with multiple offers. Our sellers are grateful for the one

Apr 17, 2014 04:27 AM #41
Rainmaker
302,462
Dennis J. Zisa & Associates, Inc.
Dennis J. Zisa & Associates, Inc. - Camden, NJ
28 years in So. Jersey and the Greater Camden area

Also, what hasn't been mentioned is how pricing fits into the "multiple offer" scenario.

In addition to the "temperature" of the market, it will always play a part. That, after all is the whole concept upon which auctions are based.

 

 
Apr 17, 2014 04:52 AM #42
Ambassador
2,079,669
Barbara-Jo Roberts Berberi, MA, PSA, TRC - Greater Clearwater Florida Residential Real Estate Professional
Charles Rutenberg Realty - Clearwater, FL
Palm Harbor, Dunedin, Clearwater, Safety Harbor

Great post and my experience goes along with the findings, the highest price usually gets the house.

Apr 17, 2014 07:24 AM #43
Rainmaker
1,529,928
Marte Cliff
Marte Cliff Copywriting - Priest River, ID
Your real estate writer

I was also skeptical of that 98% figure. I'm sure it's true in some of the "hottest" areas - but certainly not every community in California is that hot.

I could be wrong...

Apr 17, 2014 07:42 AM #44
Rainer
31,542
David Demangos
Keller Williams Realty Carmel Valley / Del Mar - San Diego, CA
REALTOR

Highest and or/best is what I recommend!

Apr 17, 2014 10:31 AM #45
Rainer
186,533
Chad Felter
Virginia Beach, VA
Providing service through out Hampton Roads

Goes with out saying that every situation is different and not every seller puts the money as their top factor. A timely closing may be more important than the highest offer.

Apr 17, 2014 12:31 PM #46
Rainmaker
976,885
Jan Green
Value Added Service, 602-620-2699 - Scottsdale, AZ
HomeSmart Elite Group, REALTOR®, EcoBroker, GREEN

Great post, infographic, and results of your survey.  Price AND terms always play a roll!

Apr 17, 2014 03:47 PM #47
Rainmaker
266,262
Dan Derito
Success! Real Estate - Brockton, MA
I agree that the 98% figure may not be accurate.
Apr 20, 2014 08:38 AM #48
Rainmaker
266,262
Dan Derito
Success! Real Estate - Brockton, MA
I agree that the 98% figure may not be accurate.
Apr 20, 2014 08:39 AM #49
Rainmaker
266,262
Dan Derito
Success! Real Estate - Brockton, MA
I agree that the 98% figure may not be accurate.
Apr 20, 2014 08:40 AM #50
Rainer
10,388
David Sciplin
Coldwell Banker Residential Brokerage - San Jose, CA
Helping You Find Your New Beginnings

Hi all. I know looking at that kind of number may seem far fetched. Here in Silicon Valley it's very accurate. I haven't seen or heard of a listing that didn't have at least 3 offers in more than a year. If there is only one offer, it's a pocket listing and no one knows about it or it's a property over $1.5 million. Depending on the neighborhood and school district, even million dollar plus homes get several offers.

I just lost out on a townhome where we offered $35k over asking price which was $15k over the high comp price. The difference was the seller wanted a no appraisal offer. We wouldn't do it but did offer a guaranteed $25k over appraisal up to our offer price. We gave them everything else they wanted. That is how crazy the market in many parts of California are. 

Apr 21, 2014 12:48 PM #51
Rainer
133,134
Deleted Account
Fort Myers, FL

I think the percentages are very close, except the 98%.  I find that hard to believe, as there are a lot of over priced homes on the market.

Apr 22, 2014 05:34 AM #52
Rainmaker
108,749
Brian Olsen
Portland, Lake Oswego, West Linn & Dunthorpe Neighborhoods, Waterfront, Luxury & Floating Homes - Lake Oswego, OR
Cooper Jacobs Real Estate Group | Keller Williams

Great BLOG Joe.

Those cash offers are difficult to refuse unless they are truly low balling the seller.

Thanks for contributing to ActiveRain and have a wonderful week.

BCO

Apr 22, 2014 05:56 AM #53
Rainmaker
797,809
Troy Erickson AZ Realtor (602) 295-6807
Good Company Real Estate www.ChandlerRealEstate.weebly.com - Chandler, AZ
Your Chandler, Ahwatukee, and East Valley Realtor

Joe, based on the infographic it looks like sellers handle more than one offer on their home by taking the highest priced offer almost 8 out of every 10 times.

Apr 22, 2014 08:14 AM #54
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Joe Manausa

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