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Understanding the Counteroffer In Real Estate

Realtor talking to the client

If you’re interested in houses for sale in Scottsdale AZ then you should be prepared to deal with counteroffers. These counteroffers are the result of the seller being unsatisfied with the original bid. They could include extra changes that the seller wants the buyer to make in order to complete the deal, such as changing the sale price, the closing date, or the offered contingencies.

Why do Counteroffers Happen?

A counteroffer generally involves changing the price that the buyer is willing to pay or the size of the earnest money deposit. Sellers could also issue a counteroffer where they pay less fees and other costs.

Another reason that they issue counteroffers is to change the date of closing or possession, or to include/exclude personal property from the home purchase. They could also just be looking to correct a mistake made by the buyer or the Scottsdale real estate agents.

How Many Counteroffers is Too Many?

Buyers have the power to counter a counteroffer and create a chain of offers and counteroffers. There are no limits to how many offers and counter offers so how many you consider to be too many is up to you. If you are having trouble negotiating then don’t be afraid to back away.

Let’s say the buyer offers a price lower than the asking price. The seller can issue a counteroffer where they ask for more money but make other amendments, such as including furniture or amenities. The buyer counters back, reducing the price again but agreeing to the inclusion of the extra items. The cycle goes on until everyone gets what they want and agrees, or someone backs away from the deal.

How do You Reject a Counteroffer?

Buyers and sellers are free to reject counteroffers whenever they want. Fr sellers, they often put a note that they have rejected the counteroffer to the bottom of the contract, or just write “rejected” across the contract. Verbal rejections are also possible.

Of course, they could also choose to just ignore the offer. Their agent will inform the buyer’s agent that the seller won’t initiate a counteroffer because the original was too unacceptable for them. Sellers can do the same and have their agent inform the other agent that they aren’t going to respond either.

Please note that counteroffers do come with expiration dates so you should be sure to keep this in mind.

How do you Accept a Counteroffer?

Accepting a counteroffer is easy enough. Just sign the offer and then deliver it back to the other party. Please note that sellers could accept another offer while a buyer is deciding if they want to accept or not. This is another reason – on top of the expiration date – that it is prudent to act as quickly as possible with offers and counteroffers.

Can Sellers Offer Multiple Counteroffers to Multiple Buyers?

Whether or not a seller can offer several people counteroffers depends on the local and state laws of where you live. Some areas allow for it and others don’t. In general, Scottsdale real estate agents warn sellers against making multiple offers to multiple people for houses for sale in Scottsdale AZ.

If you are looking for houses for sale in Scottsdale AZ, then you should put your faith in the team that understand the area better than anyone. Get in touch with our expert real estate agents at Urban Luxe Real Estate. Call us today at 480.359.6519 or send an email to info(at)urbanluxere(dotted)com.