Some home sellers, under the advisement of their realtor are putting their houses on the market for sale at a price that on the surface appears to be competitive, even a little below the reasonable asking price of other homes in the same area. Because the demand for well priced homes is high in the current market listing a competitive price for a house makes good sense to sellers that are in a hurry to sell their house and make the most of the sale as they can.
In some instances homeowners that are eager to sell are marking their house for sale at ten to twenty thousand dollars below what they are willing to take for their home as a ploy to start a bidding war over the property from two or more interested buyers. The idea is to begin by listing a house for sale at a low price to entice potential buyers to arrange appointments to look over the house and make an offer. If the house is not listed as a short sale it will attract more buyers quickly, especially if the pricing is comparative to other homes for sale in the neighborhood that are short sales.
Shortly after a house hits the MLS database and potential buyers can see that the house for sale is being offered as a real estate sale and not a short sale or bank approved sale, the phone will begin to ring and anxious buyers will want to see the home as quickly as possible if it has been priced low enough to attract the right kinds of buyers. After touring the property and discussing the prospect with their realtor a buyer will most likely put in an offer to buy the house the same day that it appears on the MLS database. Because houses that are not short sales are few and far between in the current market, it is likely that a seller will receive multiple offers on their home from several interested buyers with a two to three day period.
As the offers start to pour in it is up to the seller to pick over the best offers and reject the lower ones. Usually at this point the sellers real estate agent will contact the buyers real estate agent and suggest that if the buyer is serious about owning the house that they had better up their offer or give their best and final offer for consideration to the seller.
In some cases a bidding war opens up for the house and the seller can easily bump up the price of their home an additional ten thousand dollars or more depending upon the offers received. In rare instances the seller may even reject all offers and remove their house from the market only to list it again a few days later at a higher price after their initial response to the lower market asking price.
Although this practice is not condoned by the real estate profession it is ethically questionable and buyer should be aware that they home they may offer on could end up costing them more money than they initially planned to spend.
Re/Max Oklahoma (http://www.remax-oklahoma.com/) provides buyers and sellers with real estate maximums quality professional service. Art Gib is a freelance writer.
[tags]Lawton real estate, Oklahoma City real estate, Oklahoma homes for sale, Oklahoma real estate, Tulsa[/tags]
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