My House Has Multiple Offers - What Do I Do? - Bosley Real Estate Ltd. Brokerage - Homes and houses for sale in Toronto including Cabbagetown, The Annex, Danforth Village, Lawrence Park and Riverdale

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19 July 2019
Bosley Real Estate

My House Has Multiple Offers - What Do I Do?

When you’re in a hot real estate market, it’s very common to receive multiple offers on a home. This can create a more competitive experience for potential buyers, but for sellers it’s important to know how to approach multiple offers in order to achieve the best possible outcome. 

How To Handle Multiple Offers 

When approaching these scenarios, it’s most important to establish ground rules with the various buying agents involved. For instance, you can arrange it so that everyone looking to make an offer brings theirs to the table one at a time. You can then review them and send each offer back in order to improve on the initial offer. You can also bring a desired closing date to the table and work to improve the conditions of each offer. These are some of the options that you can decide on with your Bosley agent. 

You and your agent may also tell the buying agents to come to the table with their best offers - meaning their highest priced offers. In these situations, it’s pertinent to request clean offers with few contingencies and to specify your closing date. This can yield some very desirable and competitive offers where an agent may bring exactly what you want to the table. 

If you have two offers come in at the same price, you’ll have to work with both buying agents in order to get the end result that’s best for you. The most likely scenario is that one potential buyer will stop matching or topping the other, giving you your final offer. In this case, it isn’t often about the highest offer but about ensuring that the winning offer is fully qualified to close. 

How To Handle Bully Offers

A bully offer, or pre-emptive offer as it’s more formally known, is a relatively common, potentially aggressive technique used by buying agents who attempt to bypass offer dates. 

It’s quite common to establish a firm offer date when selling your property. This allows for potential buyers to inspect the property before they make a formal offer, giving them time complete their due diligence. The bully offer comes in when a buying agent approaches your agent with an early offer often above asking price and potentially with a large deposit. Typically, these are joined by a deadline that’s often the same day. 

In these situations, it’s important to get all of the details clear before even entertaining such an offer. Your Bosley agent will go over in detail with you the buyer’s terms, clarify whether or not the offer is firm with the deposit, and uncover as much information as possible about the buyer. If the terms aren’t to your standards and are non-negotiable, it’s often advised to wait for your designated offer date a few days down the line to see how many other offers crop up. 

It is possible for this to backfire, but if you’re in a seller-friendly market in a good neighbourhood, the likelihood that you’ll have more offers pouring in is extremely high. For instance, areas in Toronto like Yonge and Sheppard, Leslieville, and Danforth East (as of the date of this post, at least) are all up-and-coming areas where you can expect many offers on the table. 

No matter what, when navigating multiple offers on your home it’s important to make sure your needs are met. Go through all of the details as carefully as possible, and try not to feel pressured into an early decision. 

At the end of the day, having a knowledgeable, experienced, and reliable Bosley agent at your side will make the whole process infinitely easier. 

Every member of the Bosley Real Estate team has experience with multiple offers and we look forward to helping you navigate the process of selling your home. Have you handled multiple offers before? Tell us about your experience!