Winning in multiple offers

Two of the three houses I sold last weekend had multiple offers.

I’ve always said that what often wins a house in these situations has nothing to do with price.  It is even more true in today’s market where almost every house sells for full price or slightly above.  I know when I get multiple offers on my listings, it is amazing to see several different buyers all offer roughly the same amount, especially when it is over the list price.

The first one I sold was a for sale by owner townhouse.  I knew the seller probably didn’t know what to do once he got an offer, and probably didn’t know how to determine which buyer was the best.  So, I told him that I would handle everything for him and keep him in the loop on the progress of the sale.  I also pointed out that my buyer had 20% down and was doing a conventional loan. I told him all the things that could go wrong with any sale, and that short of a cash buyer, my well qualified buyer would be the best one to pick.

And he did.

The other one was a hot new listing near Hamburg in the most competitive price range in Lexington.  There were 9 showings the first day on the market.  My buyers needed to roll their closing costs into the offer, so I was a little worried.  I knew the only chance I had of getting this place for my buyers was to find out how to make it easy on the sellers to say yes to us.  I asked the listing agent if the sellers knew where they were moving yet.  If they did not have a house yet, my people could have rented back to them after the closing because they had several months left on a lease.  The sellers have a contract on a house in a surrounding town.  I got their closing date.  I remembered that they had two small kids based on the way two bedrooms were decorated.  No seller who is going to be a buyer likes the idea of moving out of their old house, closing it, closing their new house, and moving in….all in one day.  Especially with kids.

We wrote a strong offer.  I put our closing date the same day that the sellers are closing their new home.  We also offered to let them have their old house for 48 hours after the closing just to make that process easier.

Later that day, the listing agent called me.  She said both offers were practically the same.  So much so that her sellers jokingly asked her if she had told both buyer’s agents what to offer.  They couldn’t decide which offer to pick, so they asked their agent what to do.   She advised them to accept our offer because she thought I was so nice to work with and for my concern in making the process easy for her sellers.  Well, I am a nice guy, but my goal was to get this house for my buyers more than it was to make it nice for the sellers.  That is just what we had to do to make our offer the most attractive.

So, both of my buyers got the house they wanted in multiple offers.  Like I’ve said before, it isn’t always about price.

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