Verification of “other” offer

[CA renter]

SD Realtor hit the nail on the head. Buying a house is one of the biggest financial transactions of your life. Money matters. Do not get emotional. Let the market come to you (it will!). Never be afraid to walk away from a deal. You might regret it for a while, but chances are you’ll find something better later on.

I also like the idea of submitting another offer even lower than the original offer. Of course, if you **really** like the house, just stick with your prior offer and say that is your “higest and best.”

Rustico’s suggestion (play the game right back) is great. Tell the sellers that you are making multiple offers on different properties. The seller who comes in with the best price & terms is the ONE who will win your bid.

I watched one of those HGTV(?) buy/sell shows a few weeks ago where the seller got two bids in the same day (both under list). Seller asked for “higest and best” and the lower offer dropped out (smart!!!). The higher offer ended up bidding against himself and increased his cost by around $15K, IIRC. Stupid, stupid, stupid!!!!!

NEVER bid blindly. Ask the seller to negotiate face-to-face with the bidders (together) if there are multiple bids. That way, everyone knows who/what they’re bidding against, and the seller can get the best price/terms while the buyers end up making proper bids that are in their own best interests (not bidding against themselves).

Best of luck!!!! 🙂

[(former)FormerSanDiegan]

Here’s a strategy that we used back in 2000 when there were multiple offers on a house we ended up buying (and eventually sold in 2005).

Use an escalator clause.
Offer some initial amount, with an escalator of $1000 above any higher offer up to some limit, with the clause that they must produce proof of the higher offer in writing. Make sure the higher limit is the most you would pay.

When we did this our offer at the initial amount was accepted.
Either the “other buyer” flaked or the agent was bluffing, or the other offer was lower in the first place.

FWIW, at that time we bought the initial price we set was about $270K, and our escalator went in 500 increments to 280K, which we were willing to pay.

[(former)FormerSanDiegan]

Here’s a strategy that we used back in 2000 when there were multiple offers on a house we ended up buying (and eventually sold in 2005).

Use an escalator clause.
Offer some initial amount, with an escalator of $1000 above any higher offer up to some limit, with the clause that they must produce proof of the higher offer in writing. Make sure the higher limit is the most you would pay.

When we did this our offer at the initial amount was accepted.
Either the “other buyer” flaked or the agent was bluffing, or the other offer was lower in the first place.

FWIW, at that time we bought the initial price we set was about $270K, and our escalator went in 500 increments to 280K, which we were willing to pay.

[(former)FormerSanDiegan]

Here’s a strategy that we used back in 2000 when there were multiple offers on a house we ended up buying (and eventually sold in 2005).

Use an escalator clause.
Offer some initial amount, with an escalator of $1000 above any higher offer up to some limit, with the clause that they must produce proof of the higher offer in writing. Make sure the higher limit is the most you would pay.

When we did this our offer at the initial amount was accepted.
Either the “other buyer” flaked or the agent was bluffing, or the other offer was lower in the first place.

FWIW, at that time we bought the initial price we set was about $270K, and our escalator went in 500 increments to 280K, which we were willing to pay.

[(former)FormerSanDiegan]

Here’s a strategy that we used back in 2000 when there were multiple offers on a house we ended up buying (and eventually sold in 2005).

Use an escalator clause.
Offer some initial amount, with an escalator of $1000 above any higher offer up to some limit, with the clause that they must produce proof of the higher offer in writing. Make sure the higher limit is the most you would pay.

When we did this our offer at the initial amount was accepted.
Either the “other buyer” flaked or the agent was bluffing, or the other offer was lower in the first place.

FWIW, at that time we bought the initial price we set was about $270K, and our escalator went in 500 increments to 280K, which we were willing to pay.

[(former)FormerSanDiegan]

Here’s a strategy that we used back in 2000 when there were multiple offers on a house we ended up buying (and eventually sold in 2005).

Use an escalator clause.
Offer some initial amount, with an escalator of $1000 above any higher offer up to some limit, with the clause that they must produce proof of the higher offer in writing. Make sure the higher limit is the most you would pay.

When we did this our offer at the initial amount was accepted.
Either the “other buyer” flaked or the agent was bluffing, or the other offer was lower in the first place.

FWIW, at that time we bought the initial price we set was about $270K, and our escalator went in 500 increments to 280K, which we were willing to pay.

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