What Happens When An Offer Is Received (Video)
What Happens When An Offer Is Received (Video Transcription)
Hi everyone, it’s George Belleville here. I’m a realtor in Maryland and I’m creating this video to explain what happens when we receive an offer on a property that we have listed. This information is useful for sellers or anyone curious about the process.
- Document Preparation:
- As the house goes on the market, we create a folder for all your documents.
- Included in this folder is a spreadsheet for comparing offers as they come in.
- This spreadsheet helps lay out all offers in an easy-to-see format for you to compare.
- Reviewing Offers:
- Preliminary Review: Ensure all forms are there, as sometimes agents might miss sending some documents.
- Secondary Review: Check that all forms are filled out properly, as mistakes or omissions can occur.
- Final Review: Review the actual terms of the contract, focusing on the closing date, price, inspections, and other critical details.
- Spreadsheet Utilization:
- Enter each offer’s terms into the spreadsheet to compare them side by side.
- This method prevents confusion, especially when dealing with lengthy contracts that may not be in the same order.
- Lender Information:
- We contact the lender to discuss the buyer’s status in the loan process.
- Information on whether the buyer is pre-qualified, pre-approved, or close to commitment is noted.
- Summaries of lender conversations are added to the spreadsheet for your review.
- Handling Escalation Clauses:
- Some offers include escalation clauses, which can cause offers to increase based on competing bids.
- Having offers side by side in the spreadsheet helps manage and understand these clauses.
- Properly managing escalation clauses is crucial to ensure the best financial outcome.
- Highlighting Best Offers:
- When multiple offers are received, I might lightly shade what I consider the best overall offer.
- This shading is not to influence your decision but to provide a reference point for easier comparison.
- This method helps keep the process organized and less overwhelming, especially when dealing with numerous offers.
- Final Steps:
- After reviewing all offers, we will have conversations to discuss and analyze them.
- Ultimately, the decision on which offer to accept is yours.
- It’s advised to familiarize yourself with the spreadsheet columns and categories before offers come in to understand how they will be laid out.
Hopefully, this explains the process. If you have any questions, you have my contact info. It should be below. Have a great day.