What is an Offer Date and how does it work?

What is an Offer Date and how does it work?
The most important aspect to marketing and selling a home is a very sharp, and competitive price point that’s inline with other properties currently offered for sale and the recent comparable sold properties. The second is the strategy in which we review and consider offers to purchase. Holding an offer date is a common strategy we use to increase the potential for receiving multiple offers. 

Why have an offer date?

We list the property, execute an aggressive marketing campaign, hold private showings for 5-10 days and we do not review any offers or allow buyers to submit offers until a specific day/time. This allows ample time for perspective buyers to do their due diligence, inspections, and second showings before we review offers from any and all interested parties. Once we have collected all the offers, we notify all agents of the competing offers and allow them to make changes prior to final review in hopes to generate a bidding war. This can be a very effective strategy if your home is in tip top condition, competitively priced and in a highly desirable location. Often times, we get phenomenal results for our sellers and the home sells above asking price.

Why NOT have an offer date? 

However, there are certain circumstances where holding an offer date may not be the best strategy for a particular property. If the home has been heavily distressed, has material latent deficiencies, priced above comparable sales, and/or is in a less desirable location. In these instances, we will often list the home, withhold showings from 4-5 days before allowing buyers in, and create as much buzz about the property as possible through our marketing efforts before holding any showings. Once we allow showings, buyers at times will feel pressured to write an offer quickly or make a quick decision because they are excited they may not have to compete against other offers on offer night. This can be an effective strategy as well, but ultimately it boils down to your comfort level as a seller and how many other active listings are currently on the market in the same area. 
Pricing strategy and reviewing offers is skill that takes a long time to hone, and some call it an art form. For specific tailored advice, reach out to me and I’d be happy to discuss the best strategy for your home.
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