I'm about to make a bid on a home through my realtor. We both agree the seller will probably not bend much on price (long story) so I have about 3 other properties I am prepared to look at if the 1st seller and I can't agree. My bids are based not only on comps but against what amenities I want in other homes that I may bid on. I'm not a low-ball bidder but since it's a buyer's market right now I have extra leverage to consider these extra things in my bids.
So, do realtors mind their buyer essentially lining up a handful of homes to bid on (one at a time)-as in, if we can't work out a deal on house A, I'm ready to bid on house B. If house B doesn't happen, I bid on house C, etc. This creates extra work for the realtor-drawing up each bid as we go through this process until I can strike a deal-like I'm almost expecting a few of these deals to not work out. What's a realtor's opinion of this kind of tactic? Thanks.
?2011-05-30T11:15:01Z
Favorite Answer
I had one client that took 19 months to finally get a home they really wanted, after over 10 failed offers (through no fault of their own - was simply a crazy seller's market). So no, I don't mind clients who have places lined up if one or two or three or four fall through. I've done it many times. As long as your offers aren't very, very insultingly low, I don't see why any agent would refuse to write it for you (in fact, some agents don't mind writing any offer because it's always just a starting point anyways, unless the seller is so insulted they don't even respond). But keep in mind that just because you want certain amenities and qualities in a home that A or B might not have does NOT mean that those homes aren't worth a certain amount. You have to consider size, location, frontage, quality of construction, amenities, etc of a home. So just because one has stainless steel or an extra bathroom doesn't mean it's automatically worth more. So even though you may think that you know the comps, the agents really are better at it since your views are subjective while agents are more objective (the facts are the facts and there's nothing more to it).
Also, please be sure that an offer is officially dead before making an offer on another home. I've seen agents in my office crying in the managing broker's office because they wrote two offers thinking one would be countered only to have both of them accepted (over $3 Million each). So make sure it's dead or reject a counter and tell them you're walking before you walk. It's a courtesy in case you ever do want to come back and make another offer (seen that too).
It takes up a lot of time to fill out the Earnest Money Agreement to Purchase, plus time to present the offers to the seller. As a Realtor, I would set you up a appointment with a mortgage lender and have them prequalify you as a purchaser, they will look at the last 2 years on you W2 tax forms etc. plus bank accounts, work history to see what price range you qualify for. I as a Realtor, would not write up a offer that may insult a seller, usually a seller has the comps from other homes that recently sold in his neighbor hood. If you want to bid, on homes go to the county and bid on the court house steps, for tax lien properties and foreclosures. Lots of times the owner will come back with a counter offer ! Be prepared to sh*t or get off the pot. And Quit wasting everyone's time.
I read Top Gun's answer and even so I understand what he / she is saying, I think the way you are approaching your home buying is not to bad. I as a Realtor would not mind since you are only writing one offer at the time and only if the one offer does not work out, then you write the next offer on the next home. You were also saying that your Realtor did do his/her homework and that your offers are not low ball offers - that they are based on comparable other properties in the same area. As long as your offers are fair - of course I would not mind to write a lower than asking price offer. I actually would like the fact that you have back up houses - and it is no extra work for the Realtor. if you would have picked just one house, put in an offer and it does not work out, then the realtor would have to take you back out again to find another property and then write another offer. In your case you have picked out the next and after next property already and so the Realtor does not have to take you back out, he/she can just go and write the next offer if the seller for the first property and you can not come to an agreement.
Like I said, I would not mind as long as the offer is fair and you are only offering on one property at a time.
I would not mind. I have an electronic forms program, so all I have to do is change a few things and click print.
Bear in mind that other buyers are out looking too. In my market, we are finding well priced homes are receiving multiple offers or full price offers shortly after going on the market. If your strategy does not work out after a few homes, you may want to change tactics.
most realtors will do what it takes to sell the house, any house it is only normal to show more than one house to a prospect, very few take the first house they see