The agent who allows you to 'sit' on an offer is providing faulty guidance.
Your agent must encourage you to be decisive AND position you to be competitive.
Even FULL PRICE offers can and do get kicked to the curb if not strategically positioned.
Offers of 110% of list can get kicked to the curb if loaded with exits.
That is the reality as it played out just yesterday, as buyers who were poorly represented are today wondering, "What happened?" Their agent has some explaining to do.
Josh, if you are serious about making a home purchase, you need to stop second guessing your agent.
Best of success to you,
Annette Lawrence, Broker/Associate
Remax Realtec Group
Palm Harbor, FL
The seller's agent's actions is not illegal. His/her duty is to get the best terms and conditions for the seller.
Yes, It's perfectly legal. A seller can negotiate with several buyers simultaneously and send out multiple contracts. Until a contract is fully executed (signed by both buyer and and seller) neither has any legal obligation toward the other.
Unfortunately In NY, offers, counter offers and accepted offers don't mean much and are not legally binding because they are not contracts.
The market is hot. There is very little inventory in Manhattan. A buyer needs to be ready and prepared to sign contract. Until contract is fully executed there is always the possibility of another buyer making a higher and better offer.
When a second buyer makes a higher or better offer the seller through their agent will often give the first buyer a chance to match the second buyer's offer. When there are multiple bids often there will be another chance for all buyers to submit their highest and best offer. However, it's not required and a seller can accept what ever offer they want.
A seller's agent has a fiduciary duty to seller, to get seller the highest and best offer but in dealings with buyer, a seller's agent should (a) exercise reasonable skill and care in performance of agent's duties; (b) deal honestly, fairly and in good faith; and (c) disclose all facts known to agent materially affecting the value or desirability of property.
Senior Associate Broker
The Corcoran Group
It would seem Mr. Ramirez understands only one half of the offer process, from a buyers point of view. The listing broker is being absolutely professional by making sure he gives every and any offer to his clients, in this case, the seller.
People do lose out when they take their time and let's face it, the buyers aren't reviewing anything. In New York state an Attorney is required to but real property and Coops. The due diligence is the province of the buyer's Attorney.
I will say losing out on a property will make any buyer quicker to respond the next time around. That is because they now know nobody is waiting on them.
The listing agent's role is to secure the highest possible price in the least amount of time. If the seller accepts an offer,but the buyer is still in the review process and the offer has not been fully executed, they are well within their right to submitt another offer to the seller, should one come in.
If you want this home counter back with your BEST and FINAL OFFER, ASAP.
Best of luck to you.
Kawain Payne, Realtor
Usually these situations happen when the contact language or terms are being disputed in some way. If the seller found. A buyer is willing to accept their tens, the seller has every right to engage that buyer.
It is comletely legal for the seller's agent to issue a contract to another buyer. The seller's broker has a fiduciary responsibility to the seller and is working for them.
In New York where there is so little inventory, your attorney should have reviewed your contract right away and had you sign it. Until a contract is signed you do not have a deal.
You should be working with an experienced buyer's broker and an attorney who is experienced in New York City Real Estate condos and coops. You should sign your contract immediately or try to match the other offer the seller received and sign that contract immediately.
If for any reason you lose the home to another seller, be sure that your next contract is reviewed and signed right away.
Licensed Real Estate Salesperson
Member of Real Estate Board of New York
770 Lexington Avenue, 10th Floor
New York, NY 10065
If you want this home, sign the contract, though I'm not really certain that you should. What I'm certain of is you're contemplating a huge financial decision without someone in your corner to advise you and offer counsel. My own thoughts would be that you need to get yourself an experienced buyer broker first, let this house go and start off properly. IN my opinion you have the cart before the horse.
I've attached a link below on how to find a great buyer broker regardless of where you live.
I hope things turn out for the best.
The issue is, a seller can only truly have accepted an offer when they've signed it and delivered it back to you. Verbally agreeing is impossible to prove or enforce. If you have a signed deal, then only back up offers can arrive next. The seller can't sell the same house more than once.
If you have a counter offer in hand that the seller has signed, they can withdraw that any time prior to you signing and returning it. Don't waste too much time on your review, in Real Estate; time is of the essence, which means get it done quickly.