Have you had any offers

Created by:

Barbara Hill, Licensed Real Estate Agent, Ocala,, FL

Date: January 5, 2008, Number of Replies: 4

Have you had any offers? What do you tell them?

Respond to the question with a question?

Why do you ask?
Do you have an interested buyer?
Are you going to be making an offer?
Have you seen the property?
Are you coming to my next open house?

Well, these are all great things to do when the market is flush, and homes are selling, and buyers are plentiful. However, the market is tough right now. In my county alone there are over 7500 houses on the market, so if I hear from a realtor that has enough interest in one of my listings to ask me about an offer, I am going to assume that realtor has a buyer, and I'm going to offer whatever information I can morally and legally do in order to get an offer on the table from their buyer. If it's too low, than that's up to my seller to decide whether or not to accept it, not me.

If there is a realtor asking you about other offers on one of your listed properties, you can assume they are going to low ball, however, at least you have something to present to your seller. Better to get a low ball offer than nothing at all. At least your sellers knows that you are working for them. Then, when the next realtor asks, you can say yes we've had offers, but my buyer turned them down.

My opinion is, don't alienate other realtors. In today's market, it is so important to have the buyer's agent and the listing agent working together as a team to try to get the house sold.

If you don't give the buyer's agent a straight answer, she or he will just move on to the next house and you may have lost a chance to sell one of your listings.

Barbara Hill, Realtor, E-PRO
SRES (Senior Real Estate Specialist)
Coldwell Banker Ellison Realty, Inc.
Ocala, Florida
E-mail: BAHRealtor4U@aol.com
Websites: www.BarbaraAHill.com and www.HillandLemusRealtors.com
cell 352 572-0556

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Neal Adler, gri,abr, e-Pro Licensed Real Estate Agent, Studio City, CA

Date: January 5, 2008

Disclosure of offers. In my area it was custom and practice to inform buyers/agents that there are X offerings pending (making the assumption you have X offers in hand). It was also custom and practice when asked not to divulge what the offer(s) is/are. When representing buyers I would ask about any offers. There were times that some agents would tell me what the offer was. Some agents would not tell me anything, and some would give me information somewhere in between. If the agent knew me they would often time be very forthcoming and tell me information to help me make the deal for my buyer.

As a listing agent I would let people know I do have offers. I usually would not tell them specifically. A few years back there was some discussion about this at our local association and CAR. Much to my surprise there was no legal basis to keep the offers confidential (by the listing agent). In that case, a prospective buyer had no expectation of privacy nor confidentiality with respect to their offer vis a vis the listing agent. However, again if I recall, the buyers agent based on the request of the buyer could require the to keep the information confidential as a condition of the offer. In a sellers market this would not be practical, especially in a multiple offer situation. The idea of not keeping the offers confidential with respect to the listing agent is the listing agent could 'shop' the offers in trying to get a higher offer from other buyers.

If I recall Article 3 of the COE covers this (cooperation). I believe it is required when asked to reveal any unresolved contingencies. If I also recall the COE is a bit ambivalent about revealing offers.

Neal Adler, GRI, e-PRO, ABR
Associate Manager, Rodeo Realty
California Association of REALTORS(R)Director, Region 18
Member Professional Standards Committees
California Association of REALTORS(R)
Southland Regional and Beverly Hills Greater Los Angeles Associations of REALTORS(R)
California Association of REALTORS(R)Certified Professional Standards Trainer
www.nealadler.com
Direct 818-308-8679
Cell 818-282-2516
Pager 818-228-9999
Toll free 888-216-7530
Fax 818-761-7277

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joelmatson@comcast.net

Date: January 6, 2008

Disclosure of offers

It seems to me that the overarching consideration in what to disclose to potential buyers and agents has to be the commitment to protect and promote the seller's interests. As far as divulging offers, if there IS an offer currently on the property, I do believe that that information should be shared only very cautiously. In the case where any offer is currently in the works, be it good or bad, I am most inclined to say to another buyer, open house visitor, agent inquiring, etc: "There is some very keen interest in this home" or "With the activity we are having, I wouldn't be surpised if it were under contract very soon" or "I would encourage your buyer to visit right away and move quick if they have an interest." If pressed about whether there is an offer in, I may tell them in the most agreeable way that I am not able to share the seller's confidential info.

Given that some buyers, especially those that have felt abused in a multi-offer situation, have a distaste for such a process, I don't believe it is proper to share info about the existence of other offers. If you tell an agent "We are expecting an offer today" and as a result his buyer then decides he doesn't move want to offer, beacuse he "hates playing games" or whatever, you may have severely compromised your client's position. The multi-offer situation is usually the best opportunity to maximize the sellers position. Additionally, the "expected" offer may be unacceptable. You would not want to potentially discourage a new buyer that may be in the end bring something valuable to the seller.

If, however, the seller is planning to immediately sign an offer, then I believe it might be in the seller's interest to tell the new buyer or agent that they have x number of hours to bring something forward. I think in all these situations the safest thing ethically is to discuss the situation with the client, and follow his "lawful instructions".

Just my .03 worth.

Regards,

Joel

Joel Matson, Broker Associate

Creative, Conscientious, Ethical, Enthusiastic

Divine Realty

Serving All of CT

Tollfree 877-399-5446

email to joelmatson@aol.com

www.joelmatson.com

We are happy to serve your CT buyer clients offering a 50% referral

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joelmatson@comcast.net

Date: January 6, 2008

Disclosure of offers

It seems to me that the overarching consideration in what to disclose to potential buyers and agents has to be the commitment to protect and promote the seller's interests. As far as divulging offers, if there IS an offer currently on the property, I do believe that that information should be shared only very cautiously. In the case where any offer is currently in the works, be it good or bad, I am most inclined to say to another buyer, open house visitor, agent inquiring, etc: "There is some very keen interest in this home" or "With the activity we are having, I wouldn't be surpised if it were under contract very soon" or "I would encourage your buyer to visit right away and move quick if they have an interest." If pressed about whether there is an offer in, I may tell them in the most agreeable way that I am not able to share the seller's confidential info.

Given that some buyers, especially those that have felt abused in a multi-offer situation, have a distaste for such a process, I don't believe it is proper to share info about the existence of other offers. If you tell an agent "We are expecting an offer today" and as a result his buyer then decides he doesn't move want to offer, beacuse he "hates playing games" or whatever, you may have severely compromised your client's position. The multi-offer situation is usually the best opportunity to maximize the sellers position. Additionally, the "expected" offer may be unacceptable. You would not want to potentially discourage a new buyer that may be in the end bring something valuable to the seller.

If, however, the seller is planning to immediately sign an offer, then I believe it might be in the seller's interest to tell the new buyer or agent that they have x number of hours to bring something forward. I think in all these situations the safest thing ethically is to discuss the situation with the client, and follow his "lawful instructions".

Just my .03 worth.

Regards,

Joel

Joel Matson, Broker Associate

Creative, Conscientious, Ethical, Enthusiastic

Divine Realty

Serving All of CT

Tollfree 877-399-5446

email to joelmatson@aol.com

www.joelmatson.com

We are happy to serve your CT buyer clients offering a 50% referral

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Rachel Luckow Licensed Real Estate Agent, Lakeville, MN

Date: January 7, 2008

Disclosure of offers

It seems to me that the overarching consideration in what to disclose to potential buyers and agents has to be the commitment to protect and promote the seller's interests. As far as divulging offers, if there IS an offer currently on the property, I do believe that that information should be shared only very cautiously. In the case where any offer is currently in the works, be it good or bad, I am most inclined to say to another buyer, open house visitor, agent inquiring, etc: "There is some very keen interest in this home" or "With the activity we are having, I wouldn't be surpised if it were under contract very soon" or "I would encourage your buyer to visit right away and move quick if they have an interest." If pressed about whether there is an offer in, I may tell them in the most agreeable way that I am not able to share the seller's confidential info.

Given that some buyers, especially those that have felt abused in a multi-offer situation, have a distaste for such a process, I don't believe it is proper to share info about the existence of other offers. If you tell an agent "We are expecting an offer today" and as a result his buyer then decides he doesn't move want to offer, beacuse he "hates playing games" or whatever, you may have severely compromised your client's position. The multi-offer situation is usually the best opportunity to maximize the sellers position. Additionally, the "expected" offer may be unacceptable. You would not want to potentially discourage a new buyer that may be in the end bring something valuable to the seller.

If, however, the seller is planning to immediately sign an offer, then I believe it might be in the seller's interest to tell the new buyer or agent that they have x number of hours to bring something forward. I think in all these situations the safest thing ethically is to discuss the situation with the client, and follow his "lawful instructions".

Just my .03 worth.

Regards,

Joel

Joel Matson, Broker Associate

Creative, Conscientious, Ethical, Enthusiastic

I couldn’t agree more. I’ve had agents get upset with me because I’ve refused to tell them, but I simply explain that it is our broker’s policy to ask each client if they wish for me to disclose it or not. We actually have it as a question on our disclosures form. You never know what the offer coming in is going to be or if it’s even coming in for sure. It’s probably best to work on a case by case basis.

Warmest Regards,

Rachel Luckow, Realtor e-Pro, CIPS candidate, TRC

Team Emond - RE/MAX Advantage Plus, Lakeville, MN

Cell 952-807-1852

Office 952-898-5800

Fax 866-464-7388

Rachel@RachelLuckow.com

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