When you receive multiple offers on your Los Angeles house, you’re faced with a choice. You can, of course, reject all of them, but let’s assume that you really do want to sell the house, so you’re going to either accept or write a counter-offer to one of them.
Some might say “Well, take the highest offer, of course.” But the truth is, the highest offer might always be the worst offer you can possibly get from someone.
Often that offered price is reduced by a request for you to pay part of the buyer’s closing costs, give an allowance for new carpeting, or to make major repairs.
As your agent I’ll do the math so you can see the net proceeds from each offer.
Does your Los Angeles house have offers yet?
As your agent, I’ll look into the buyer’s true status with regarding to obtain a home mortgage. Some buyers will provide a letter of pre-approval, while others will provide only a pre-qualification letter – which is a huge difference.
With a pre-approval, the buyer is aware of getting the loan as long as nothing changes before closing. The lender has already checked the buyers’ credit, employment, debt levels, etc. and an underwriter must give an approval.
With a pre-qualification, the lender is saying that as long as everything the buyer has stated verbally can be verified as truth, the loan will be granted. In other words, nothing has been verified.
Most offers are also contingent upon approval of a home inspection, but some are contingent upon other factors.
- Some are contingent upon closing the sale on the buyer’s present home.
- Some are contingent upon the buyer receiving the proceeds of a settlement.
- Some are contingent upon approval from a 3rd party.
Unfortunately, some of these events that buyers anticipate eventually never happen – so they do need to be considered very carefully.
As your agent I’ll help you evaluate all the contingencies. When necessary, I’ll look into the status of a pending sale prior to you making a decision. I’ll also try to gain that 3rd party approval – or advise you to make your acceptance or counter contingent upon it. And, since I’ve known people who waited and hoped for years for settlements that never materialized, I’ll research the status of that claim.
Finally, there’s the closing date. You may want more time to move, or you may want a fast closing so you don’t have to make more payments.
The bottom line: The highest offer on your Los Angeles house may not be the best offer.
I’ll help you evaluate each of the terms in each of the offers so you can choose the best to either accept or counter.
If you want to find out more, stay up-to-date with my blog, and be sure to check out my books on how to sell your home as well.