FAQ Should I submit an offer before my house is on the market?

By
Real Estate Agent with HomeSmart International AZ Broker BR030809000
https://activerain.com/droplet/4fN2

FAQ Should I submit an offer before my house is on the market?

 

This past week I received a phone call from an agent whose clients have an interest in a home going on the market next week. They were in a hurry to see the home this week and wanted to set up a viewing time before it went on the market. I knew the sellers were not ready for any showings and that they needed at least another week to be 100% 'parade ready' and open for showings and offers.

 

Whoa.....not so fast! Hold your horses!

 

Making an offer and getting it accepted are two different animals!After asking the agent a few more questions regarding the clients approval status and what they were looking for in a home it was clear they were not ready to be putting an offer on a home, yet. They had not talked with a lender regarding being pre-approved with or without their current home selling.

 I asked the agent if his buyers could purchase the home as a cash sale. Well, no, he said they must sell their home first and it will be awhile before they will be ready to put it on the market. I let him know that I was quite certain the sellers would not be open to accepting an offer contingent on another home selling. I didn't want to waste anybody's time on something that had zero chance of going anywhere soon.

 

The agent understood what I was saying and then said -  but my buyers are ready to look at homes! We talked about that and I know that buyers can get excited about looking ahead of time - and that's fine. But the idea of 'rushing' sellers into a showing before the house is ready and added to that the buyers could not afford to buy the home anytime soon, was a bit over the top! I let him know I would be meeting with the sellers in the next day or so and I would ask them if they were 1) open to an early showing and 2) open to an offer contingent upon the buyers home selling at some future date unknown.

 

Well folks, I'm pretty sure you already know the
answer to both of these questions, don't you?

 

No & No.  The sellers know the value of being 'properly' show ready and were not open to early showings. They simply were not ready for showings.  They also were not open to looking at any offers unless the buyers were ready and able to buy their home upon offer submission.

Why would a seller be interested in taking their home off the market in hopes that the buyers will, at some point, be ready to list their home and then get it sold.That just doesn't make much sense, does it? Now if the buyers were able to prove they could pay cash OR were fully approved to purchase another home before they sold their current home.... well then - let's negotiate!

 

FAQ Should I submit an offer before my house is on the market?

 

Orginally posted at Phoenix Property Shoppe

 

Posted by

 


                                                            

 

Anna “Banana” Kruchten

Broker, CRS, CRB

HomeSmart International

602-380-4886

Certified Residential Broker  CRB

Certified Residential Specilist CRS

AZ DRE Certified Real Estate Instuctor

 

 Your Referrals & Testimonials Are Greatly Appreciated!

 


 

 



 

 

   

 

 

                  

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Topic:
Home Selling
Location:
Arizona Maricopa County Phoenix
Groups:
Realtors®
Certified Residential Specialists
The Ninety-ninth Percentile
Bananatude
Bartender, Make it a Double
Tags:
selling phoenix home
contingent offers on home selling
negotiations on home sale

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Rainmaker
1,143,971
David Shamansky
US Mortgages - David Shamansky - Highlands Ranch, CO
Creative, Aggressive & 560 FICO - OK, Colorado Mtg

Funny. I got asked this exact question earlier today when on of my buyers said well should I go looking for homes before I list mine and my reply was I think you should list yours first but definitely that is a question for your Realtor

Apr 23, 2014 12:07 PM #10
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John Meussner
Mason-McDuffie Mortgage, Conventional Loans, Jumbo Loans, FHA, 203(k), USDA, VA, - Walnut Creek, CA
#MortgageMadeEasy Walnut Creek, CA 484-680-4852

Sounds like you handled the situation very well, Anna.  I'm sure the buyers agent learned something - people need to have their ducks in a row before spending their and others time on something so far fetched.

Apr 23, 2014 01:44 PM #11
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Chris Ann Cleland
Long and Foster REALTORS®, Gainesville, VA - Bristow, VA
Associate Broker, Bristow, VA

Particularly in a seller's market, why in the world would a buyer try to move forward with a home sale contingency?  Boggles my mind.

Apr 23, 2014 01:53 PM #12
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Lenn Harley
Lenn Harley, Homefinders.com, MD & VA Homes and Real Estate - Leesburg, VA
Real Estate Broker - Virginia & Maryland

How did the buyers know the house was "going on the market"???

Apr 23, 2014 09:26 PM #13
Rainmaker
806,986
Cindy Edwards
RE/MAX Checkmate - Johnson City, TN
CRS, GRI, PMN - Northeast Tennessee - 423-677-6677

Well good for you for asking the right questions and putting a hault to a whole lot of wasted time.

Apr 23, 2014 09:32 PM #14
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Amanda Christiansen
Christiansen Group Realty (260)704-0843 - Fort Wayne, IN
Christiansen Group Realty

Talk about putting the cart before the horse.  I had a guy want to do this last year with me.  He wanted to look at a ton of homes and write an offer weeks before his home was even listed.  NOPE. 

Apr 23, 2014 09:48 PM #15
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Anna Banana Kruchten Broker, CRB, CRS
HomeSmart International - Phoenix, AZ
602-380-4886

Tom it actually isn't that type of market at the moment here. It was last year but right now it's a buyers market.

Apr 24, 2014 04:44 AM #16
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Anna Banana Kruchten Broker, CRB, CRS
HomeSmart International - Phoenix, AZ
602-380-4886

David get the ducks in a row first.....all of them!

Apr 24, 2014 04:45 AM #17
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Anna Banana Kruchten Broker, CRB, CRS
HomeSmart International - Phoenix, AZ
602-380-4886

John this isn't my first trip down that road!

Apr 24, 2014 04:46 AM #18
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Anna Banana Kruchten Broker, CRB, CRS
HomeSmart International - Phoenix, AZ
602-380-4886

Chris Ann - makes no sense to me either. Total waste of everybody's time and energy when there was no ready and able buyer in place to begin with.

Apr 24, 2014 04:47 AM #19
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Anna Banana Kruchten Broker, CRB, CRS
HomeSmart International - Phoenix, AZ
602-380-4886

Lenn the agent stopped by a garage sale. We know that agenda.....

Apr 24, 2014 04:48 AM #20
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Anna Banana Kruchten Broker, CRB, CRS
HomeSmart International - Phoenix, AZ
602-380-4886

Cindy I like to write FAQ's for the public so they understand the importance of having their ducks in a row first.

Apr 24, 2014 04:49 AM #21
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Anna Banana Kruchten Broker, CRB, CRS
HomeSmart International - Phoenix, AZ
602-380-4886

Jared makes no sense - none.

Apr 24, 2014 04:50 AM #22
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Tammie White, Broker
Franklin Homes Realty LLC - Franklin, TN
Franklin TN Homes for Sale

Sellers are not accepting offers from buyers who don't already have their house under contract. It's just the market we're in. Buyers best sell their home first.

Apr 24, 2014 11:24 AM #23
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Wanda Kubat-Nerdin - Wanda Can!
Red Rock Real Estate - St. George, UT
So Utah Residential, Referral & Relocation REALTOR

Great advice Anna! When someone is not ready, they simply aren't going to do it for someone who is a bit anxious, especially when they have not even talked to a lender...yikes! In this market, there aren't many who would take a contingent offer anyway.

Apr 25, 2014 04:36 AM #24
Rainmaker
531,806
Hella M. Rothwell, Broker/Realtor®
Carmel by the Sea, CA
Rothwell Realty Inc. CA#01968433 Carmel-by-the-Sea

Anna: I had a call from a couple coming from down south to look over the area and see a few homes just to see what we have here. Yet she had told me they cannot buy for about a year and need to sell their home first. What's the point in my showing them homes now? Certainly no one would accept an offer based on those facts, just like your example. If a house is for sale, sellers want to sell NOW.

Apr 26, 2014 02:13 AM #25
Rainmaker
1,588,192
Marte Cliff
Marte Cliff Copywriting - Priest River, ID
Your real estate writer

Pure silliness. That agent is induging the couple's desire to run around looking at homes, even though they're not in a position to buy.

It's his gas and time if he wants to waste it, but he shouldn't be shocked if neither you nor your sellers want to waste yours!

Apr 26, 2014 06:05 AM #26
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Debb Janes EcoBroker and Bernie Stea JD
ViewHomes of Clark County - Nature As Neighbors - Camas, WA
REALTORS® in Clark County, WA

Anna, it's amazing to me that this agent even asked the question. Wow, and wow. 

Apr 27, 2014 12:52 AM #27
Rainer
88,126
A. J. Zaki
REMAX Realty Pros - Boca Raton, FL
Home Finder In Florida

This is a really well written blog. Thank you for sharing!

Apr 29, 2014 02:14 AM #28
Rainer
77,025
Jennifer Shenbaum
Jennifer Buys Houses - Redondo Beach, CA

I too am surprised that the agent even called to ask you for a showing.  It would have been a complete waste of everyone's time.  Hope it sold quickly once it was ready!

May 02, 2014 05:24 AM #29
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