Holding Off Offers for Review - Is it the right approach?
by Greg Dewar
on Friday, June 16th, 2017 at 11:40am.
Cambridge real estate is in high demand, and you may be preparing to list your home for sale soon. Because of how hot the local market is, many of our clients receive multiple offers within days of listing their properties for sale. This is a desirable situation for sellers to be in because multiple offers can create a bidding war situation that drives the sales price upward. A common question that local sellers have is if they should hold their initial offers for review to create a bidding war situation. Because of how frequently this happens in the local market, it is wise to think through this possibility.
Each transaction is unique, so there is not a catch-all solution for this. The reality is that numerous factors must be carefully reviewed by you and your real estate agent to determine if holding an offer is the best strategy for you. For example, if the home was priced on the high side for the market and if the home has unique features that may make it harder to find another buyer, it may not be wise to hold offers. On the other hand, if the home was priced competitively, an offer was received very quickly after the home was listed for sale and the home has appeal for the masses, holding offers may be the right move to make.
Keep in mind that holding offers does not always work in your favor. Because of how hot the local market is, many buyers are aware that they may not get their first-choice property and may continue looking for properties. Some will rescind an offer if you take too long to accept theirs. This means that rather than have two or more offers, you may wind up with none.
Before you list your home for sale, it is impossible for your Cambridge real estate agent to accurately determine how many offers will be received and what the offer amounts will be. A good strategy to take when selling your home is to work with your real estate agent at Dewar Realty to establish a reasonable list price. If a fast offer is received, your real estate agent can provide you with personalized advice regarding the pros and cons associated with holding your offer.