Tips for Seller Multiple Counter Offer situation?

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Pessimist55
Posts: 195
Joined: Thu May 14, 2015 12:16 am

Tips for Seller Multiple Counter Offer situation?

Post by Pessimist55 »

So I recently listed my property in a VHCOL area. List price is slightly below comp. Has 1K+ views on redfin and they have it designated as a 'hot home'. 500+ views on Zillow.

Had a few showings this week, open house sat and sun but those who's seen it all wants to make offers. Already received one low ball offer. Identical unit sold within 7 days of list after a wknd of open house. One of the buyers agent wants agreement signed Asap.

My goal is the highest price w the least restrictions/'hassles'

I've googled the Smco strategy of getting all to submit final and best offer. Do bogelheads have anything to add?

Not saying too much in the event my potential buyers see this post.

I am doing this fsbo w limited agent support.

Thanks
jarjarM
Posts: 2511
Joined: Mon Jul 16, 2018 1:21 pm

Re: Tips for Seller Multiple Counter Offer situation?

Post by jarjarM »

Assuming this in CA, here’s what we had done. Set a day to review all the offers after this weekend’s showing, once you have all the offers presented, pick 2-3 most favorable ones and counter, tell them that you have multiple offers and they need to submit their best offer within 24-48 hours. Keep 1 more as backup, just in case. Then pick the top 2 and counter one more time, if you feel like there’s a bit more potential or just pick the best one. If the none of them counter, go back to your backup. Good luck and it’s a fun time to be a seller.
Topic Author
Pessimist55
Posts: 195
Joined: Thu May 14, 2015 12:16 am

Re: Tips for Seller Multiple Counter Offer situation?

Post by Pessimist55 »

jarjarM wrote: Sat Jul 31, 2021 1:22 am Assuming this in CA, here’s what we had done. Set a day to review all the offers after this weekend’s showing, once you have all the offers presented, pick 2-3 most favorable ones and counter, tell them that you have multiple offers and they need to submit their best offer within 24-48 hours. Keep 1 more as backup, just in case. Then pick the top 2 and counter one more time, if you feel like there’s a bit more potential or just pick the best one. If the none of them counter, go back to your backup. Good luck and it’s a fun time to be a seller.
When you say keep 1 or more as backup. You mean don't counter it? You're concerned those who you ask to counter may backfire or drop out?

What's the rational for not asking all to counter? Cuz #4- 7 are probably too weak and can't afford to counter? (Save time and energy?)
jarjarM
Posts: 2511
Joined: Mon Jul 16, 2018 1:21 pm

Re: Tips for Seller Multiple Counter Offer situation?

Post by jarjarM »

Pessimist55 wrote: Sat Jul 31, 2021 1:36 am
jarjarM wrote: Sat Jul 31, 2021 1:22 am Assuming this in CA, here’s what we had done. Set a day to review all the offers after this weekend’s showing, once you have all the offers presented, pick 2-3 most favorable ones and counter, tell them that you have multiple offers and they need to submit their best offer within 24-48 hours. Keep 1 more as backup, just in case. Then pick the top 2 and counter one more time, if you feel like there’s a bit more potential or just pick the best one. If the none of them counter, go back to your backup. Good luck and it’s a fun time to be a seller.
When you say keep 1 or more as backup. You mean don't counter it? You're concerned those who you ask to counter may backfire or drop out?

What's the rational for not asking all to counter? Cuz #4- 7 are probably too weak and can't afford to counter? (Save time and energy?)
Yes, keep 1 and don’t counter yet, just in case the top2-3 move on because the price is too high and etc. usually in multiple offer situation, if their offer isn’t in the top group to begin with, it’s unlikely that they will push higher so you won’t get much by countering the mid to bottom group.
Topic Author
Pessimist55
Posts: 195
Joined: Thu May 14, 2015 12:16 am

Re: Tips for Seller Multiple Counter Offer situation?

Post by Pessimist55 »

Very helpful. Thank you so much.
siker
Posts: 60
Joined: Tue Aug 14, 2018 3:10 pm

Re: Tips for Seller Multiple Counter Offer situation?

Post by siker »

sorry forgot about the limits - just woke up 😃
fortunefavored
Posts: 1424
Joined: Tue Jun 02, 2015 8:18 pm

Re: Tips for Seller Multiple Counter Offer situation?

Post by fortunefavored »

jarjarM wrote: Sat Jul 31, 2021 1:22 am Assuming this in CA, here’s what we had done. Set a day to review all the offers after this weekend’s showing, once you have all the offers presented, pick 2-3 most favorable ones and counter, tell them that you have multiple offers and they need to submit their best offer within 24-48 hours. Keep 1 more as backup, just in case. Then pick the top 2 and counter one more time, if you feel like there’s a bit more potential or just pick the best one. If the none of them counter, go back to your backup. Good luck and it’s a fun time to be a seller.
Exactly what I just did. +17% over list.
rage_phish
Posts: 772
Joined: Thu Jan 31, 2019 3:27 pm

Re: Tips for Seller Multiple Counter Offer situation?

Post by rage_phish »

We sold in the Bay Area a couple months ago
We allowed showing for a week and requested best and final on a specific day
One couple made a preemptive offer well above list
We told them we were not accepting early offers and they could submit on the official date (they did no re-submit)

We ended up with 14 offers. All over list. We accepted one a good deal higher than the pre-emotive offer we received. Sold for 16% over list

This strategy seemed the be the overwhelming route most sellers used in my market. And some of the houses we looked at did in fact accept early offers ahead of the offer date (one actually went pending as we were in the house looking at it lol)…which was annoying but what can you do
jarjarM
Posts: 2511
Joined: Mon Jul 16, 2018 1:21 pm

Re: Tips for Seller Multiple Counter Offer situation?

Post by jarjarM »

rage_phish wrote: Sat Jul 31, 2021 11:59 am We sold in the Bay Area a couple months ago
We allowed showing for a week and requested best and final on a specific day
One couple made a preemptive offer well above list
We told them we were not accepting early offers and they could submit on the official date (they did no re-submit)

We ended up with 14 offers. All over list. We accepted one a good deal higher than the pre-emotive offer we received. Sold for 16% over list

This strategy seemed the be the overwhelming route most sellers used in my market. And some of the houses we looked at did in fact accept early offers ahead of the offer date (one actually went pending as we were in the house looking at it lol)…which was annoying but what can you do
Yup, don't jump at the first over the list offer, wait until all the offers are in and then counter appropriately.
wfrobinette
Posts: 1879
Joined: Fri Feb 20, 2015 2:14 pm

Re: Tips for Seller Multiple Counter Offer situation?

Post by wfrobinette »

Pessimist55 wrote: Sat Jul 31, 2021 12:53 am So I recently listed my property in a VHCOL area. List price is slightly below comp. Has 1K+ views on redfin and they have it designated as a 'hot home'. 500+ views on Zillow.

Had a few showings this week, open house sat and sun but those who's seen it all wants to make offers. Already received one low ball offer. Identical unit sold within 7 days of list after a wknd of open house. One of the buyers agent wants agreement signed Asap.

My goal is the highest price w the least restrictions/'hassles'

I've googled the Smco strategy of getting all to submit final and best offer. Do bogelheads have anything to add?

Not saying too much in the event my potential buyers see this post.

I am doing this fsbo w limited agent support.

Thanks
I make it a habit on bidding wars to ask for highest offer with no appraisal contingency.

I had a house go nuts 3 years ago. Listed at 725k

3 over asking offers in 2 days I countered the group and told them to come back with best offer.

I got
$850k with appraisal and inspection contingency
$770 no contingency except inspection.
$785 appraisal contingency

Accepted the 770 and house appraised for 749. Buyer wasn't happy but I was.
jeam3131
Posts: 268
Joined: Sun Aug 26, 2018 2:48 pm

Re: Tips for Seller Multiple Counter Offer situation?

Post by jeam3131 »

Buyers have completely lost their minds. There will be significant regret in a few years
Topic Author
Pessimist55
Posts: 195
Joined: Thu May 14, 2015 12:16 am

Re: Tips for Seller Multiple Counter Offer situation?

Post by Pessimist55 »

Will be making MCOs to my buyers today. Man never expected the elevated pricing.
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