Here’s the scenario.
Your property is in a hot neighborhood and you decided to put it on the market and before you know it someone makes an offer.
Of course, living in a popular area attracts buyers and more often you may get multiple offers. However, many sellers are hesitant to accept the first offer.
When a first offer comes early, it’s not uncommon to decline it especially if it doesn’t meet your expectations. You would want to see what other offers might be especially if your agent has done a good job at researching the market and you feel your home is priced right. Holding off could lead you to great offers, but it could also do the opposite.
In many cases, the first offer you received is the one that gets you to a sale. Even if the first offer is not what you expected, you can always make a counteroffer or negotiate to make the deal right for you.
Below I’ve listed a few scenarios where you may want to accept your first offer.
When There’s a Limited Buyer Pool
A home that doesn’t appeal to the general public is more challenging to sell. It could be that your home is at a busy intersection, has an untraditional layout or is over improved for the neighborhood. You could be doing everything right. Your property may have beautiful photos, lots of updates and striking curb appeal but not many showings.
With a limited pool of buyers, you have fewer options. There’s a good chance your first offer will be your best bet, so you should consider trying to negotiate a win-win deal between you and the buyer.
When the Timing is Right
Whether you’re buying or selling a property, timing is critical for the process to work out correctly. You don’t want your home to sit in the market for long. Buyers tend to question a home’s value as the days on market add up.
When an offer comes early, it doesn’t hurt to give it consideration. Refusing the offer and playing the waiting game can easily backfire. If you and the buyer aren’t far apart a counteroffer may be the way to go.
In fact, the best offers are often made quickly. The first two weeks of your home in the market pique the interest of keen buyers. Talk to your real estate agent and ask when is the best time to list your home.
When You Have Limited Time
Ideally, you want your home to sell within the timeframe to allow you to get settled in your new home. If you are short on time accepting the first offer that will allow you to close within your desired timeframe may be your best move. Moving is complicated and takes some time.
If you’re relocating to a new state, you’ll reduce your living expenses and be able to settle into your new home without the concerns of having a home for sale.
Let your real estate agent know about your motivation and timeline. Sometimes money is most important but if time is of the essence then your first offer may be worth considering.
When You’ve Already Found Your Next Home
Generally, if you buy a home and your old one sits on the market for a while, you will be paying for two mortgages at the same time. For some sellers, it’s financially impossible.
Bottomline
When you do receive an offer, don’t compare your property in other homes in your neighborhood. Consider all contingencies and ask your real estate agent if there are any red flags to make sure the deal is right for you.
Thinking of selling your home? Check out our 20+ step Guide to Selling Your House. Or you can contact me now to start the process immediately. Same day appointments are available on a case by case basis. I look forward to hearing from you.
About the Author
The above article was written by Abraham Walker, Your Northern Virginia Real Estate Agent, helping clients market their homes to achieve high sales with a quick closing time is my main priority. He’s the co-founder of Ask A Walker and can be found on YouTube, Facebook, and HERE on this blog.
