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Is The First Offer You Receive The Best Offer?

The short answer is usually going to be "yes." Seller's will most always feel that they "left money on the table" if they take that first offer. Therefore, they instruct their agent, to continue marketing the property for another offer. (Hopefully higher!) With today's technology, it is easy to overlook the efficiency in the real estate marketplace. However, with a very advanced Multiple Listing System, (MLS) licensed agents and their buyers can virtually access instant information about properties and new inventory that becomes available immediately.

A good buyer's agent will have electronically entered a "profile" of his/her client's needs and price range into the system. That might be MLS or some other database that will provide property information. The MLS is the most accurate and current database available to date. Whenever a potential buyer logs on to the MLS, he/she will be notified if a listing has been entered that matches that profile. In most data base systems, the buyer's agent is able to place the buyer himself on a similar notification.

Sellers, will often want to list their property for an amount that is both higher than what they believe its value to be and higher than what they would be satisfied to receive. Why? Because they know that buyers almost always want and expect to pay less than the listed price. Additionally, sellers usually have a "net" number in mind that they would like to receive on the sale of the property (after commissions) and realtors will sometimes try to accommodate the sellers by setting a higher price. This is not good practice! If an offer comes in near the outset of a listing period, although you may be tempted to hold out for full price, or much closer to it than would normally be expected, you may want to re-consider. Sellers may want to consider the costs for waiting for another offer. (i.e., mortgage, insurance, taxes, utilities, etc.) The longer a property stays listed in the MLS, the less activity you may receive. Other considerations is what if there is a market shift from a "sellers" market to a "buyers" market. What if interest rates where to rise significantly?

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All listing information is deemed reliable but not guaranteed and should be independently verified through personal inspection by appropriate professionals. Listings displayed on this website may be subject to prior sale or removal from sale. Availability of any listing should always be independently verified. Listing information is provided by MFRMLS for consumer personal, non-commercial use, solely to identify potential properties for potential purchase. All other use is strictly prohibited and may violate relevant federal and state law.