SCHUTT LAW FIRM, P.A.
Phone: 239.540.7007
Blog
08/09/2017
It's not uncommon to get a rejected offer for a house. There are plenty of reasons why it can happen. It is very disappointing to lose a bid, but you can learn from it, so it doesn't happen again. Find out some of the possible reasons why your offer was rejected. Being rejected after making an offer on the house you love can be disheartening. You spent a lot of time looking for a house and deciding how much to offer for it, only to be told you're not going to get it. If you're wondering the reason why your offer was rejected, then this article Schutt Law has prepared for you may be of service to you.

Simple Reasons Why Home Offers Get Rejected in Fort Myers, FL

Your Offer Was Too Low

Would you like to be low balled when you're selling your home? Well, neither does the seller. If your offer is way lower than the asking price, the seller might feel insulted and offended. This house is their home, and they should receive what's fair for it. They might consider it unnecessary to even deign to respond to such a low offer. In fact, sellers in many states have the right to ignore less-than-list price offers. Think before you bid for a home, and evaluate your budget to be sure you can actually afford it.

A Better Offer Came Along

It's not that uncommon for a house to have multiple offers. If it happens that a competing offer is more attractive than yours, you can guess who will be getting the house. It's always better to aim to stay as close to the asking price as possible. All hope is not dead yet; there are some things you can try to sway the seller in your favor. Plus, even if your competitor placed a higher offer if they have plenty of demands the seller might opt out of selling them their home. When you convince the seller that their house should be yours, be sure to make it a safe investment by getting title insurance. For more information about title insurance in Fort Myers, and to get your insurance policy call Schutt Law at (239) 540-7007.

The Seller's Agent Also Represents Your Competition

It just may happen that another person placed an offer as well, and they're represented by the same agent as the seller. It would be more convenient for the seller to go for that buyer because they could come to a dual-rate commission agreement with the agent. Instead of having to pay the real estate agent full commission for selling their home, they would only need to pay half. The realtor is getting their commission from their other client as well. Tough luck for you.

You Have Too Many Contingencies

You are expected to have some contingencies when you place your offer; a home inspection, sale and title transfer,  and title insurance, for instance. However, if you come up to the seller with a huge list of demands, your offer will probably be rejected, even if it was a great one.  Sellers have expenses to consider as well, and if your offer raises those costs, it immediately becomes unappealing. Think hard about your list of demands, are they things you can fix on your own? On the other hand, you have the right to ask for some things, don't skip out on important requests, such as a home inspection.

There Was a Problem with the Real Estate Agent

Finding an ideal real estate agent is a crucial step in buying (or selling) a house. You need someone who is easy to work with but who also knows when to stand their ground. If your or the seller's agent is rude, acts superior and unprofessional, and is all around an unpleasant person, it will affect the sale.

The Timing Wasn't Right

Sometimes the timing is just not right. If your offer doesn't agree with the seller's time frame, you probably won't get the house. Maybe the seller needs to wait more than 90 days to get their new home, or maybe they still haven't found one. They can't just move out so you can move in. It's unfortunate, but there's not much you can do unless you're willing to wait for as long as they need. Have your realtor find out if both your time frames work before writing a purchase offer.

You Didn't Meet the Seller's Demands

Some home owners are unwilling to negotiate. Obviously, if things don't go their way, they will reject your offer. If the seller clearly stated that they expect a large earnest money deposit, they need specific financing terms and that you must have a pre-approval letter from your lender, you need to meet those demands if you hope to get the house.

Get Your Title Insurance Policy in Fort Myers, FL

Title insurance will be one of you lender's requirements before you get your loan. They need to be sure that their interest in your new home is safe and protected. You might be able to negotiate your title insurance policy into your list of contingencies, or you can choose to get it on your own by calling Schutt Law at (239) 540-7007. Remember to make to get the title insurance process started as soon as your offer gets accepted.