Another offer last night

Question

I've been wondering about this. I currently have an offer on my house for 185K *its listed @ 187,900* Another offer was presented last night, however it was LOWER than the offer we accepted, they offered 182K. I was expecting something equal or higher to 187,900, as the ppl that put an offer in last night already knew that I had an offer on the house.

I discussed that with my agent, she informed me that this is quite normal. I was baffled by this. I just don't understand the logic.

I have until 6pm tonight to decide on the offer.

Answer 1

They made the logical choice.   They know that you can not accept their offer, no matter how high, unless your original buyers can not perform.

Once you know that they can not get it together you house has been off the market for 30 days.   You have made plans to move, more then likely having bought another home already.   You, the seller, will be much more desperate when you look at their offer.    They made the right choice, you are likely to accept less the second time around because the circumstances will make a quick sell something you not only want, but NEED at this point.

If you already accepted an offer there is no deciding on this one.    Hopefully your agent has discussed the legal ramifications of you backing out of an accepted offer.

Answer 2

Instruct your agent to tell the party offering $182K "Thank you very much for your offer. We already have a significantly higher offer.  If you would like to submit a higher bid, we would certainly consider it  until <<6pm tomorrow >>.

Answer 3

just tell them you already received and accepted a higher offer-why would you even consider a lower offer?

Answer 4

We where house hunting for 9 months, and we knew the houses we where interested had offers, but we did not know how much. This is the reason why they made that offer.  

Answer 5

The second party may know that you have another offer, but they don't know what that offer is.

Answer 6

Buyers don't know what the other offer is and are hoping for the best. Also just because one offers higher doesn't mean they're necessarily approved for mortgage and may have to put a condition on it...

Answer 7

For all they knew the first offer could have been for 170K. Sure if they had to have your house they would have offered asking price or above, but apparently they do not. Frankly, I am shocked you got an initial offer within 3K of your asking price.

Answer 8

By law, the partys are not suppose to know, how much the other party offered. The agent can tell them, that there is an offer, but not how high.

You could reject each offer with a counteroffer of your asking price and see, if they bite.

It looks good, since they already offered pretty close to your asking price.

Who will have the stronger nerves wins.

All the agent is suppose to be is a mailman.  

Answer 9

Unless you told your listing agent they’re allowed to disclose the specific terms of the first offer, there’s no way the second party would have known what the first contained so they had to make a guess at what to offer.

Purely looking a price, I would take this to mean that the second offer people like your house, but don’t care if they lose out. That’s why the offer wasn’t more aggressive.

Offers are about more than price though. Let’s say the $185 people are asking for $5,000 in closing costs and need to sell their own home to buy yours. If the $182 people ask for $3,000 in closing costs and don’t need to sell a home, their offer might actually be more appealing. Sure it’s a grand less, but you also don’t have to wait months for someone else’s home to sell.

Answer 10

in this market, getting within 2k of your asking price is a GODSEND, people are offerring on average 10 percent less than asking price.

Take the first offer.

Also the second buyer has no way of knowing what the first offer is, it is unethical of the realtor's to share this info.