When another offer is accepted

When another offer gets accepted and your client is left to continue their search, it can be difficult. The hard thing is that in a lot of situations your client might have had the highest offer, but it might not have been the best offer for the seller. Loan to value ratio plays a huge role in this process and in our market, cash deals are always abundant. Last year 30% of real estate transactions were done with cash deals in the triangle. That is well above the national average and puts a lot of homebuyers on the outside looking in. If you are FHA, VA or conventional putting down less than 20% it can make the appraisal play the most important role in your transaction. Although you might be willing to pay the highest amount for the home, the lender might need be able to provide the offer price due to the home not appraising for that amount. Then you are left with the option of coming out of pocket for the difference or trying to negotiate the purchase price down. The purchase price is not likely to be negotiated, especially if you have multiple offers. The seller will just move on to another buyer who is willing to cover the difference. 

The moral of the story is that just because you didn’t get your offer accepted, that doesn’t mean that your offer wasn’t the highest. It just wasn’t the best. Keep the faith, stay positive and trust the process. Everything happens for a reason and you will find your perfect home. It might even be the one you lost out on the first time around! 

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