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David Tapper

HOW MANY OFFERS DO YOU REALLY NEED?

 

 
Wow, someone sure hit the light switch at the beginning of the year because I can’t count how many multiple offers I have encountered.
 
I’ve heard stories of over 20 offers, 41 offers in Pacifica, and the same in Palo Alto. My question is how many offers do you really need if you are a seller/ listing agent?
 
Let’s say a home is worth approximately $800,000. The listing agent, especially in a sellers market ( a market where there are multiple offers with bids over asking price) is hoping to get 3-4 offers, might list the home at $779,000-$789,000 to get a lot of activity and hope it will push the price over $800,000 and hopefully get $820,000 +. 
 
That seems reasonable. But if that same agent lists the home for $699,000 or $729,000, do they really need to get 20+ offers? I don’t think so and I don’t think it’s fair to the other agents and their respective buyers.
 
All that does is give everyone but one agent and buyer false hope. How many of those 20 offers are really going to be for $800,00 or more? Probably the same amount as if you listed it for $779,000.
 
It’s also a waste of everyone’s time and energy too.
DAVE

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