Multiple offers. It's a thing now in Fairfield. Learn more about it here.
You take months getting your house ready for sale. You check and recheck every last detail, paint color, landscaping, de-cluttering and more de-cluttering. Your agent has put through the a rigorous process to perfect the look of your home to appear to today's buyer and maximize your sale price. Now, the day is finally here and the for sale sign is up. Is it possible for you to get multiple offers in just a matter of days? It's absolutely possible. And, it's likely!
Just a year ago here in Fairfield, there were so few houses on the market that would go into multiple offers and result in a bidding war. Mainly those houses were priced under $400,000. We had plenty of inventory on the market and lower buyer demand especially in the price range of $401K-$1.5m. Now our real estate market in Fairfield has shifted.
With the rush of buyers moving out of urban areas and into the suburbs...Fairfield, CT is in high demand. It's no wonder! We have a terrific town here with so many amenities! We have a lot to offer! Buyers know it, and they are here and actively looking.
So what happens if your house does go into multiple offers? For sellers who have a pricing strategy that brings multiple offers, it's very important to analyze every offer, as they are not all created equal even if the price is the same. Here are 5 questions to ask...
- Who is financing the buyer? This can make a difference. Often a big bank lender can be more cumbersome to work with and could delay the closing. Does this matter? Maybe. You want to plan accordingly and make sure a delayed closing does not cost you money.
- How is the stability of your buyer? This is important as you don't want your buyer to lose his or her job before getting their mortgage commitment. You can find this out usually through the bidding process when the right questions are asked.
- What are the terms? Look at the details of each offer. Are there extra contingencies and how do each offer compare vs. all other offers. Is there a full price appraisal required? Does another property need to be sold first? Did they ask for extra personal property items? These terms can vary offer-to-offer you need to examine the challenges and benefits of all terms.
- How much is the downpayment? This matters. It may speak to the financial strength and security of your buyer. You can buy a home with 3.5% down or 20% or more. There are lots of ways to structure mortgages today. Agents have access to mortgage professionals that can help advise you on various loan products and the funding of those loans. In addition, your agent can speak to the buyer's lender to fully understand the buyer's strength.
- What is the mortgage commitment date vs. your closing date? Do you have enough time to pack once you know you have a contingency-free deal? I hope so! If not, you may look for favorable terms or flexibility on the part of your buyer to ensure you have enough time to pack and find your next home. Timing is important but it's also critical to have a backup plan.
We have a proprietary Multiple-Offer Strategy to help you through that process. It is a very clear and easy way for our sellers to sift through multiple offers on a tight timetable. It's important that our sellers can easily understand the complex process and analysis that comes with considering multiple offers on a property. In the end, we want you to be happy and confident with the offer you accept.