What to Do When You Receive Multiple Offers for Your Home

If your home is really attractive, you might find yourself in a multiple offer situation. How will you be able to tell you’re choosing the best deal? Here are some tips to help you out.

What to Do When You Get Multiple Offers

Last month we talked about what a buyer can do when facing multiple offers on the home they want, but what if it is the other way around? What if you’re selling your house and you receive various offers. It might seem overwhelming and stressful having to choose the best deal. What if you go for the wrong buyer? To help you out, Schutt Law brings you this article with some things you should consider before accepting an offer.

The Highest Offer Isn't Always the Best Offer

When receiving multiple offers, you'll be very tempted to go for the highest option. You'd be getting more money, what's so wrong with that? You need to stop and think of what you agree to by accepting that offer. High offers, especially the ones that go above the asking price tend to come with a lot of requirements. Are you willing to meet them? You also need to consider if the buyer actually has the means to back up their offer. Perhaps they decided to place a bid on your hoping to get a great loan, and ultimately they end up not getting it.  Evaluate your options and listen to your gut.

Rethink the True Value of Your Home

The mortgage lender will require the buyer to get the house appraised to learn the true value of the house before they can give them a loan.  The results of the appraisal might end up being lower than your asking price, so the buyer might not have enough money to pay for your home. Unless the buyer manages to find a way to make up for the difference between the loan amount and their offer, the sale will not get through. You need to think long and hard about your home’s market value before you set an asking price. Home appraisals are not exclusive to home buyers. You can get one yourself to help you set a fair asking price or learn about the changes you can make to raise your home’s value.  To improve your home’s market value, you can start by doing some minor repairs and renovations, working on your curb appeal, or even getting title insurance. Want to know how title insurance can help you sell your home in Fort Myers faster? Call Schutt Law-Title Insurance Agency at (239) 540-7007.

Evaluate the Contingencies

The highest offer is always the most tempting, but what if it comes with a massive list of contingencies? Many buyers think that because their offer is high, they can throw in a lot of demands. Since they’re in a contract, if the seller doesn’t meet them the buyer can choose to cancel the deal. Some of the most common contingencies sellers include in their contract are: waiting until they get approved for a mortgage, or that the house appraises for a certain amount, that the sale is completed only after they sell their own home, or that they need to get a home inspection. Most buyers will require a home inspection. Usually, the inspection is the demand that might cause you more trouble, so if you find someone who is willing to waive off the inspection, they’re probably the best choice

Consider the Closing Period

You want to choose the buyer that best adjusts to your needs. If you need to close within weeks of accepting their offer, it should preferably be done that way. Unfortunately, some buyers may ask you for an extended closing period. If the highest offer comes with this stipulation, you need to consider what is more important to you: money or a quick closing? If you can wait, go for it! But if you need a short closing period, a lower offer that adjusts to your needs is the best choice.

Money Talks

If you happen to receive a cash offer, go for it. Maybe it won’t be as high as other offers, but it just might be the best option. When a buyer is willing to pay in cash, it means there’s no need to wait for a loan approval or a home appraisal. The amount they offer is the amount you will get, and the sale will go by much faster.

Make Your Home Stand Out With Title Insurance

If you’re interested in getting more offers for your home, give the buyers something extra. Consider getting title insurance and adding it as a bonus to the sale. To start your title insurance process all you need to do is call Schutt Law-Title Insurance Agency at (239) 540-7007 and request it.