If you have multiple buyers interested in purchasing your home, you are in a great position. A homeowner’s biggest fear is not getting any offers on their home once it hits the market. However, having a lot of interest in your home comes with its own set of complications. If you are in this position currently, here are five things you need to do when choosing which buyer’s offer to accept.
- Strategize
The first thing you want to do to sell my home with multiple offers is come up with a strategy. You should be prepared on how to handle the situation before it even arises, so it’s good to come up with a plan during the listing process. If you are working with an agent, they can help you negotiate and choose the right offer to sell your home. But if you are one of the many homeowners who chooses to work independently, you are going to be the one making these decisions.
A good method to use is to tell interest buyers that you’re accepting offers on a first-come, first-served basis. The issue with this, however, is that you may not like the first offer you receive. A good way to combat this is by informing buyers that you are considering multiple offers, and then ask them to put their best offer on the table. Keep in mind that if you do go with this method, you may have to make a counteroffer to end up with the most favorable offer.
No matter which method you choose, the key is to communicate clearly and effectively with your interested homebuyers. Keeping potential buyers in the dark could cause them to lose interest, or they could assume you’re being dishonest or shady about the sale. This is why coming up with a plan is going to be your first point of action in choosing the right buyer.
- Evaluate Potential Buyers
It is also important to make sure that any potential buyers are actually in a position to afford your home. You don’t want to turn away other buyers and accept an offer from someone who cannot follow through with the purchase. You need to look at the amount of money the buyer is offering and determine if it is cash or a loan. If it is a loan, do they have pre-approval or a commitment letter from the bank? There is a difference between the two, so it is important to have all this information up front.
- Determine Which Offer Will You Profit the Most From
When comparing offers, it can be tempting to go with an all-cash buyer or whoever is offering to put up the most money for your house. While this is an important factor, you also need to consider the gross profit. Take the prices that each buyer can pay and subtract the cost of taxes, fees, mortgage loan interest, closing costs, and any home improvements you’ll need to make upon closing to determine what your profit will be.
- Determine Buyers Flexibility
Sellers are often in a time crunch when it comes to closing. Especially if they have already purchased a new property. This is why you should consider each buyer’s flexibility when it comes to timing. If all of your offers are pretty comparable, your decision could come down to which buyer is able to close the fastest. Someone who can close in a few weeks may be a better option than someone who has to wait months before taking ownership of their new home. Additionally, if you have a buyer that cannot purchase your home until they sell their current home, they may be too unpredictable to be your ideal buyer.
- Be Honest
This goes back to the point about open communication, but it really is important when it comes time to close. You want to be transparent with your buyers about anything that may come up during the inspection. Dishonesty could not just make you lose out on potential buyers, but it could also end up costing you more money if the buyer becomes concerned about the state of your home. Disclosing necessary repairs upfront will put them at ease and prevent them from feeling like they need to go overboard with repair requests post-inspection.
The Right Buyer for Your Home
Selling your home can be a stressful process, between staging, listing, negotiating, and closing, there are a lot of steps to be mindful of. But just know that if you have more than one buyer interested in your home, you are doing things right so far! Make sure you follow these tips and tricks so the closing process goes as smoothly as the listing process.