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Well, I do not disclose anything - and ask the buyers to come up with their best.
I review the offers with the sellers. We look at the big picture and see what makes sense. The highest, strongest offer with the greatest likelihood of closing is a good bet.
I'd be inclined to take Gabe Sanders' approach and counter best and highest along with terms such as shortened contingency periods and/or appraisal contingency removal on financed offers.
The counter offers depend on what the sellers want and then are crafted with that, the market, the number of offers and the level of enthusiasm in mind.
I do net sheets on all offers, get lender letters and then pick them apart and present the pros and cons of each offer. It is not only about the price but could be possession, or conditions or even one lender over another that makes the one offer stronger.
Look at what matters most to the sellers - for all other terms and conditions.
Multiple counter offers is one possiblity
I do a net sheet on each offer and then a spread sheet (even though I hate them) comparing one offer to the next. A quick call to each lender to make sure that they have reveiwed everything (even tax returns) and that they can make the close date in the offer. Then we sit down and I give the seller the facts. After that, it's their choice. Usually there are two or three that are close and we may go back to them for highest and best. A lot of times it comes down to the lender and if they have answered my call.
I present them to the Seller in the order they were received.
If there are almost identical multiple offers, pick only them and ask each of them to come back with the best - terms and conditions inclusive, disclosing what the seller would prefer (after taking seller's permission.)
In a multiple offer situation, I ask for highest and best offer from all interested parties. Then it is up to the seller to make the decision. I do explain the offers to the seller, but it's their decision.
There are a lot of factors that come into play. when all is said and done only one gets accepted or countered.
That's when you really have to listen to your clients. It's up to the seller to decide and as long as that's the reason you choose one over another than as an Agent you can sleep easy (hahaha right?!)
This is when the table turns from a frisky business to a risky business. It will always be up to the Seller to decide although I usually like the odds of one in the hand much better. Too often, all players could easily walk away.
Your client has to make the call. Though, my recommendation would either try and ask for highest and best from all the offers or go with the least contingent cash offer.
If my client wants to accept one of them then that's the winner. It's happened, usually when one is all cash or a shorter escrow. Otherwise I suggest a counter to all with identical terms.
I have often found that situation to be tough. In general, my seller and I pick the offer with the strongest cash position, i.e. cash offers first, conventional second, FHA/VA last. We are looking for the deal most likely to close. In this situation, I've also done multiple counters to get a higher sales price for the seller. But there is no magic formula - lots of things to consider.