Great thought provoking question that moves a Seller in the wrong direction. It is not the highest price that matters.
WHAT !!!!! He said WHAT !!!.
I think what mattes to a Seller is the best deal and NET $$$. Many times a lower priced offer is the better way to go with a transaction. In addition, the probability of closing is also an issue with many Sellers.
Sellers want to close the transaction. If you do not close the transaction, an offer price means nothing.
Comparing one offer to another is the job of a seasoned Realtor that has experience in mass closings as well as transactions that did not close. There are warning signs that a transaction will not close no matter how much the offer is. Seasoned agents with lots of transactions have a much better ability to see the warning signs in how an offer is written.
A Seller should ask their agent the following question:
What do you see in this offer that will cause the transaction to not close on time? What can you do to prevent these issues?
Even a seasoned agent cannot remove all of the issues, but a seasoned agent may be able to mitigate the issues before they become too large to make go away.
No problem is a problem, until it becomes a problem.
New agents without this 6th sense are able to be great agents if they are mentored and closely watched by a supervisor looking at the transaction. Every agent needs to be looked at by another seasoned agent not involved. Great Brokers make this happen.
An agent making the deal can be so involved that the warning signs are ignored. Great agents get excited about every transaction and want to close the deal. This is all good.
Warning signs are just that. Warning Signs. Once we see them, they can be mitigated early. In my classes, I teach the warning signs of a transaction going bad. By the time a cancellation comes in, it takes a lot of effort to save or it becomes to late to save. The majority of failed transactions happen as the contracts are being signed. Looking back at the contracts, it can been seen that there were weak points that were not considered when the Seller accepted the offer. Great agents point out the short comings of an offer and let the Seller decide if they want to continue with the Buyer.
BTW: Some transactions do fail just because. Bad stuff does happen in the life of a transaction beyond the control of the principals. In those cases, the data becomes a learning tool and we go to the next Buyer.
Have a great weekend and upcoming holiday weekend.
Please contact me immediately if you know a person that cannot make their mortgage payments. I will work with them to avoid foreclosure or bankruptcy at no charge or fees to them.
The Brodkin Group
Steven Goldman, CRS
Certified Distressed Property Expert (CDPE)
Certified Default Advocate (CDAT)
Certified Short Sale Professional (CSP)
Certified Probate Real Estate Specialist (CPRES)
GRI, ABR, SRES, CNHS, PM, CCI
Realty One Group
10750 W. Charleston #180
Las Vegas, NV 89135