It might surprise you to learn there are very few official rules when it comes to presenting multiple offers in a real estate “bidding war”. In just a few short years the Metro Vancouver and Fraser Valley real estate markets have become so hot multiple offer situations are the new norm—and the respective real estate boards, along with the licensing agencies, have not been able to put official rules in place fast enough to keep pace with this blazing hot market.
Our local real estate governing bodies do have a very stringent set of rules of co-operation, code of ethics, and schedule of fiduciary duties, but when it comes to multiple offers there is very little in the way of official process guidelines.
In general, it’s to the seller’s advantage to review all offers at a scheduled date and time if they are expecting multiple bids. But sometimes the sellers get over-excited if a “great” offer comes in before the posted time and will refuse to wait to see all the offers. Other times all the offers will come in and the seller refuses all the offers!
If you’re considering competing in a bidding war for a property it’s important to understand how the seller’s agent intends to manage the presentation process. You may be given only a single opportunity to put in your highest and best offer, there may or may not be an opportunity for a counter offer or to make any changes to your offer once it has been submitted.
Most importantly, remember it’s not always about the highest price. There may be other factors that the sellers are looking for, and ultimately acceptance of the offer is always the seller’s final decision.
Have you been feeling intimidated by all the bidding wars going on in the real estate market? Your not alone! The market is moving at a record setting pace many buyers and sellers are feeling the pressure, Get in touch today, lets talk about how to make sense of it all.