Randal:

Really, is money the only thing that's important to you? 

Eric:

Stay tuned to find out. 

Randal:

Welcome back to Stay Focused, Focus Real Estate's weekly video series. Eric Wei, What's on your mind today? 

Eric: W

We're in a market right now where it's a seller's market, obviously. And so I just kinda want to talk a little bit about when you're looking at multiple offers, you know what is the most important thing that we should be looking at? 

Randal:

So, I think when you sit down with a seller and start talking about, okay, we're in a very aggressive market, we'll probably get multiple offers when you put your property on the market, given the right price. 

Eric:

Right. 

Randal:

And you talk to them about how to evaluate them, I think most sellers say what? 

Eric:

 The first thing they always talk about. What's the price? 

Randal:

What's the highest price, right? 

Eric:

What's the highest price? And is that really the most important? I think Randal and I just wanna talk a little bit about here what are all the different levers that go into an offer? And it's not just price. 

Randal:

If it's not the highest price, what is it? 

Eric:

There's other contingencies that we should consider. So contingencies provide protection for buyers but uncertainty and doubt for sellers. And so, when we're looking at an offer as a whole we want to consider those contingencies as well as dates to make sure that things are lining up with what we're looking for. 

Randal:

Okay, so, as we're moving forward through this transaction, then you wanna make sure that you get the dates at work for the sellers, the closing dates and all that kind of stuff. 

Eric:

Yes. 

Randal:

That's why we so often get calls as listing agents to say, "Hey Randal, hey Eric, what kind of dates are the sellers looking for? Do they need rent backs?" 

Eric:

Yes. 

Randal:

What kinds of things are really important to them? 

Eric:

And as a buyer's agent, it's just as important to do those. And that's what we do here is we make sure that we understand exactly what the sellers are looking for so that we can craft an offer that is the most conducive for what they're looking. 

Randal:

'Cause at the end of the day, if you have an offer that's this astronomical price but it's backed up with inspection contingencies, and mortgage contingencies, and long closing dates when you wanna move fast. There are more things that go into that. 

Eric:

Yes. 

Randal:

And so those, we usually kind of tease out into multiple offer process where we go back asking for best in files, clarifying what the seller's looking for. But a lot of people think it's just that price. 

Eric:

But when we're considering multiple offers it becomes sort of just a column on a page. And so we look at all those things that we were talking about: contingencies, dates, your price. Do you have an escalation clause? Have you submitted a love letter? Those types of things that are important to sort of characterize as an offer. And we look at those as a statistic, right? As a data point. And so that's kind of how we evaluate when we're looking at these offers. And so, Randal, you mentioned it before, but it becomes sort of it's kind of stark to say that it becomes black and white, but that's kind of what happens is just, we're looking at these data points to try to evaluate what is the offer that's gonna create the least amount of risk. 

Randal:

I mean, and many times what we've seen is we've seen it come down to the amount of money that people are putting down as a deposit with their offer and then with their purchase and sale agreement. Those are sometimes the ones that blow it out of the water. 'Cause many times buyers are all making their decisions based on what? They're based on the same information that everybody has, sold statistics, square footage price, blah, blah, blah, blah, blah. So they all arrive at the same thing. But if you can differentiate yourself a little bit differently as a buyer and place a bigger deposits and make 

Eric:

That's gonna make an impact. 

Randal:

It can make an impact. So it's not always the money but it's usually the money is usually followed by those good terms and conditions as well. Well, thanks very much for chatting about that very important topic. It's not always just about the money. Thanks for watching. If you have questions about this or anything else, please feel free to drop a line. 

Randal and Eric:

And until next time stay tuned and stay focused. 

Randal:

Welcome back to Stay Focused.