To tip towards a more favorable outcome...PUT SOME SKIN IN THE GAME!
Such a buyer is expecting others to take their home off the market, build a house of cards dependent on THEM accepting an offer and completing the sale on schedule, and each of the up to six in the chain reaction have much to lose. I trust such a buyer understands this is a stinky, HIGH RISK proposition. PUT SOME SKIN IN THE GAME.
How big of a NON-REFUNDABLE check will accompany your offer?
Best of success,
Annette Lawrence, Broker/Associate
Palm Harbor, FL
Most sellers want to sell their property within the specified listing agreement time frame. When the need for the buyer to sell their property extends this period, sellers can tend to be hesitant with this type of arrangement.
People in this situation would be well advised to list their property and at least obtain an agreement prior to going to contract to purchase a property. In this way, you can write your contract contingent upon the sale of your home which already has a buyer in place.
The best strategy is to get your property sold first and then begin to look for another home. Negotiate the longest escrow you can, possibly ask the buyer for the right to rent back after the close of escrow for a predetermined time and then start looking diligently for your next home. Good Luck.
We typically recommend that our contingent buyers first list their home. Once we are in escrow, we will have a (slightly) better chance negotiating a good price and get their offer accepted. Sometimes, it may make sense to offer slightly higher because of the contingency.
Best of luck to you!
Kevin McLaughlin, Broker Owner
Berkshire West Realty
Since you are also a local Realtor, what has your experience been with home sale contingencies?
I would advise you get your home on the market...at the very least...before house hunting!
I also recommend to my clients to put their current home on the market, and once you are in escrow you may decide to make an offer contingent on the close of your current escrow. Although this is still a riskier offer for a seller to accept, the fact that you are in escrow may be enough for the seller to consider it, but you would still be in a competitive disadvantage to other "cleaner" offers that do not have a sales contingency.
For other information about buying or selling your home, see my award winning website at http://www.maureenmegowan.com
That's an excellent question and one we often get asked today. The answer is that it's a competitive market for home buyers right now with the number of homes, especially in the South Bay, at record lows. My partner and I strongly recommend to our clients that they first put their home on the market before looking for their next home. We were recently featured in this timely article on helping buyers get the winning bid in today's tight housing market. Check it out and please know we're here if you need any help.
With there being such a low inventory of homes to choose from today, buyers are experiencing multiple offers on close to 50% of the homes today. Well-priced homes are very competitive. So with that in mind, we are advising our clients not to do anything that might weaken their offer. It should stand out to the seller as the obvious choice. Sale contingencies significantly weaken a buyer's offer and should only be used as a last resort. Great question, Kevin.