Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
I've been involved in my fair share of multiple counter situations with buyers over the years. I have always used the same tactic so my buyers don't bid blindly against themselves. My respond to the multiple counter offer has always been..."Buyer purchase price to be $1,000 above highest offer not to exceed $x (the buyer's max price) and not to be less than $y (usually the first offer amount)." Most of the time my buyers got outbid and there were only a few times where we were the highest bidder and the listing agent showed us the second highest offer.
Have any of you realtors and/or buyers used the same tactic with multiple counter offer situations? If so, what were your results? If not, what tactic/strategy did you guys use?
When I first saw that on one of the HGTV shows, I wondered what would happen when 2 people have the same type of offer.
I also believe you set yourself up for the seller to pick a number. It is hard to validate other offers. If the buyer offers $1000 above the highest offer, what prevents the seller having an associate write up an offer at whatever price knowing it isn't binding.
In your specific example where you set an upper limit, I would be surprised if your buyer got a price that was significantly below your upper limit.
When my seller gets these my sellers and I also look at the option of just rejecting them both if the one with the escalator clause is the highest/best, when we present the rejection we include an offer to sell agreement to the buyer that disclosed their top dollar when they put not to exceed $ (the offer includes the buyers high # of course) - initially it tends to irritate the buyer, but they tend to cool off when they realize seller is acting no differently by seeking the best deal they could. Unfortunately it often upsets the buyers agent as well (not my fault) cause it most likely wasn't something they had dealt with nor expected and their buyers are blind sighted by the move - Also the lower offer contains confidential info and without a signed release I can't share it with a 3rd party.
When my seller gets these my sellers and I also look at the option of just rejecting them both if the one with the escalator clause is the highest/best, when we present the rejection we include an offer to sell agreement to the buyer that disclosed their top dollar when they put not to exceed $ (the offer includes the buyers high # of course) - initially it tends to irritate the buyer, but they tend to cool off when they realize seller is acting no differently by seeking the best deal they could. ...
That was my thought too, the buyer has tipped their hand to their highest offer, why not counter for it?
When my seller gets these my sellers and I also look at the option of just rejecting them both if the one with the escalator clause is the highest/best, when we present the rejection we include an offer to sell agreement to the buyer that disclosed their top dollar when they put not to exceed $ (the offer includes the buyers high # of course) - initially it tends to irritate the buyer, but they tend to cool off when they realize seller is acting no differently by seeking the best deal they could. Unfortunately it often upsets the buyers agent as well (not my fault) cause it most likely wasn't something they had dealt with nor expected and their buyers are blind sighted by the move - Also the lower offer contains confidential info and without a signed release I can't share it with a 3rd party.
Ditto. We just counter and remove the escalator clause and counter and their highest amount. If they are willing to pay it, it makes no sense for the seller to not ask for it.
Location: When you take flak it means you are on target
7,646 posts, read 9,962,966 times
Reputation: 16466
When I make an offer on a property I include a check for the full purchase price. Best and final, seller has a bird in hand and an check ready to cash. Wanna deal? You got the deal. Wanna play games, waste someone elses time.
When I make an offer on a property I include a check for the full purchase price. Best and final, seller has a bird in hand and an check ready to cash. Wanna deal? You got the deal. Wanna play games, waste someone elses time.
When I make an offer on a property I include a check for the full purchase price. Best and final, seller has a bird in hand and an check ready to cash. Wanna deal? You got the deal. Wanna play games, waste someone elses time.
Are you cash buyer?
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
counter offer
