Banks should not be seeing more than one offer. The seller should accept an offer subject to bank approval. After that any other offers received by the seller should be in a backup position. They should not be sent to the bank.
Once the bank processes the file and either accepts or counters the offer submitted, the party making the offer submitted has the option of moving forward or not. Of they decline, then it should go to the first backup, etc..
Too many agents think they have to send the bank all the offers; they donâ€™t, even if the bank asks for all offers. Sending in multiple offers is not only unfair to the first buyer that the seller accepts, it actually slows don the bank as they now have to evaluate many offers.
KISS --Keep It Simple Stupid -- should prevail.
There are a couple of agents in San Diego that even publish this policy that the seller wonâ€™t accept any offer until the bank has given an approval or counter. They then email every buyer that submitted an offer , asking for best and final . When I explain this to a prospective buyer, they generally shake their head and pass on the property. They donâ€™t want to be the crash test dummy and not have right of first refusal.
As many have said, there is no rhyme or reason in how a bank will accept an offer or not. In many cases, they have these overworked, grossly underpaid people with minimal trainings making the first round decision. Common sense would be to accept the highest return with the lowest possibility of falling out of escrow, but then again, most banks have no common sense
Broker Associate, Realtor
SELLSTATE Next Generation Realty