By Frank May
When selling your home, receiving multiple offers is the ideal situation. With fewer homes available in the Upper West Side market (look at the 2019 stats from the last issue), multiple offers are more likely than you might think. There are a few things to keep in mind when reviewing the offers.
The following tips will help you to evaluate the best offers and decide without emotion which offer is best for you.
Ideal Buyer
Don’t get distracted by dollar signs. Sometimes the highest offer isn’t coming from the best buyer. The ideal buyer is definitely someone who has gone through the house versus someone making an offer sight unseen. This buyer is likely pre-qualified by a great mortgage company, already working with a smart agent, and has been searching for the perfect home for some time.
Is Your Agent A Good Communicator?
Your agent should be communicating with all potential buyer’s agents. Their job is to inform them that there are multiple offers on the table and request that they provide their “best” offer. It seems like a no-brainer, but your agent needs to let them know what your deadline is to review all highest and best offers.
Is the Buyer Well-Qualified?
What your agent means when discussing a buyer’s qualifications is the buyer’s ability to obtain financing or show proof of financial resources for cash offers. Your ultimate goal is to find a buyer who can handle all the financial obligations of buying your home within your determined timeframe.
Keep an Eye Out for Red Flags
Again, it isn’t always about the highest offer. If a buyer has never seen your home but is the highest bidder because they wanted to “win the bidding war,” there is a chance that they’ll back out or question their decision and ultimately walk away from the sale – more commonly known as “buyer’s remorse.”
The Contingencies (Buyer Beware)
There are several types of contingencies that sellers need to consider when selling their home:
• Home Inspection: The most important contingency could easily be the home inspection. The buyer has a right to have the home inspected by a professional and do any amount of inspections within the designated time frame. If they find any needed repairs or replacements during the inspection, the buyer can request that it is fixed or that you cover the cost of said repair upon closing.
• Appraisal: With the ever-changing market in the Upper West Side, this can be a tricky piece of the home sale. If the appraised value of the home is less than the sale price, the buyer can back out of the deal or request that you lower the price of the house to meet the appraisal.
• Mortgage: As mentioned above, you don’t want to sell your home to someone who can’t pay for it. A mortgage contingency helps protect both the buyer and the seller from entering into a sale without the right loan. Your agent should be in contact with the loan officer to make sure the buyer is qualified and that the chances of any surprises are at a minimum. An experienced agent will know how to ask the lender the right questions to get as much information on the buyer as possible.
Have a Great Relationship With Your Realtor
Selling your home can be a stressful and overwhelming process. Having an agent that you trust who has years of experience and a dedication to you, (not just the most money for them), is priceless. They will help you through the multiple offer process. As a Certified Negotiation Expert (CNE) you have not just years of experience available to you but also someone with dedicated training to negotiate for you. Less than 3% of Realtors in the United States have this designation. If you want to make sure your home gets sold with your best interest in mind and with someone who can negotiate a great deal, give The Frank May Team a call at 623-203-1800. We will work closely with you to make sure you get the most for your home!
Frank May grew up in the valley, graduating from Northwest Christian School and NAU. He is a real estate agent with Keller Williams Realty and has been helping both buyers and sellers for 18 years
