(1) You are assuming that the listing agent filled out the MLS correctly when they closed out the transaction â€“ listing agents frequently make mistakes and, once the transaction is closed, they cannot go back in and change it. It can only be changed by the actual MLS staff and many agents donâ€™t want to bother with this. So â€¦ it may have been sold with cash but the agent could easily have put conventional in by mistake. Happens all the time.
(2) You are assuming they did not see your offer â€“ that is not necessarily a correct assumption. As an example, I submitted an offer over the weekend â€“ the buyer had a conventional loan and we wrote the offer $41,000.00 over asking price â€“ and didnâ€™t get it. There were 15 offers â€“ I asked the listing agent for clarification â€“ they said, â€œYou were the highest offer, however, the seller went with an all- cash offer that was slightly lower than yours that had great terms and extra funding in case the bank comes back and asks for more.â€ Bottom line, we were the highest offer, but our offer was not accepted â€“ sounds very much like your situation.
(3) Since it appears the listing agent double-ended the transaction, they may have kicked some commission back into the deal to effectively reduce the price. This does not mean the seller did not see your offer.
You can ask your agent to have the seller sign the bottom of page 8 of the offer stating that they viewed and rejected your offer, but they do not have to do this if they donâ€™t want to. There is no legal way to enforce this. If you truly believe you were wronged in this situation, you can ask your agent to get an ombudsman from the BayEast Association of Realtors to get involved to get clarification. Itâ€™s a tough market out there for buyers right now, and situations like this happen every day.
With a cash offer there is no necessity for an appraisal.
This could have happened for a variety of reasons.
First, was this a standard sale or a short sale?
If this was a standard sale, then maybe the seller liked the other offer for some other reasons. It doesn't happen often but I do have clients who take lower offers because they feel more comfortable with the offer and they like the other terms of the offer.
If this is a short sale, price may not have mattered to the seller and only 1 offer is submitted to the bank for approval.
What were the terms of your offer? If you wrote a higher offer but asked for all kinds of concessions like having the seller (lender in the short sale) pay for delinquent HOA fees, city/county transfer taxes, compliance with government ordinances, etc...those weaken your offer and have make it less likely to be accepted/approved by the lender.
Whereas an all cash offer with no contingencies, and where the buyer assumes many of the expenses and is buying as is will be more attractive and has the highest chance of getting approved for the short sale.
You can't assume the listing agent didn't present the offer. You should review your offer with your agent and analyze where you could have strengthened your offer with ---- shorter contingency periods, fewer or no demands for repairs/concesssions, etc...
Good luck on the next one