When home sellers receive an offer on their home the first normal reaction is excitement…understandably. The second is YAY! Or GRHH…when they see the price being offered…I have seen this sooo many times and it is a perfectly normal response.
But I say hold your horses and look at the WHOLE offer first before deciding that is not a good one.
Here are a few things to consider when looking at an offer on your home.
Obviously the Purchase Price: How far apart are you and the buyer? Is it 10, 000 or 50,000..Is there room to negotiate the price at all and if there is there is a method to negotiating and I always suggest hiring a Realtor who understands this. For you, as hard as it may be, try to set your emotions out of the way and understand that it is NOT personal.
Is there a Commitment Letter Attached to the offer: OK here is my take on these, yes it does give you some security that the buyer has applied and based on what the lender has seen of their current credit report and financial information they do qualify for a mortgage.
Closing Date: When is the buyer wanting to close? Is this acceptable to you and your ideal closing date.
Contingencies: Is there home sale contingencies or any other contingencies placed on the contract?
Special Stipulations: This can be a big one. Are they asking you to pay for their closing cost and any fees associated with their loan? Are they asking for any other special provisions in the contract?
Earnest Money: Earnest money is NOT required it is “good faith “money. Are they offering earnest money?
Looking at the whole offer can sometimes reveal that the highest price may not always be the best deal especially in multiple offer situations. And yes, they are happening again…I just had one recently where we had to look at some of these things.
Maria Patton . Village Real Estate Services. c 615.887.4140 o 615-369.3278 e mariapatton@att.net
