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The Business of Real Estate

Growth cycle and multiple offers


In Austin and Central Texas, we have not had a time in recent years when we stopped seeing multiple purchase offers.  Sometimes it is simply built into the chosen sales process — public auctions and online auctions (a la HUD), for example.  Those are special cases, but even “typical” MLS-listed properties can and do attract multiple offers, even in “down” markets.  Active, attentive buyers know a bargain when they see one, so aggressively priced homes sometimes attract more than one prospective buyer.

As we enter the growth phase in our next market cycle, the number of properties attracting multiple offers is likely to increase.  This article from SmartMoney.com includes some good advice to think about:

How to Best the Other Home Buyers

Having been through multiple offer situations many times, and from both sides of the table, I agree with this.  I can tell my client — buyer or seller — what the market (recent sales and competitive active listings) say a property is worth, but ultimately market value is nothing more or less than what a willing buyer and a willing seller agree on.  Moreover, there is almost always something other than dollars and cents that can make a difference — being able to accelerate or delay closing, for example, or a buyer being willing to put more earnest money at risk, or a seller being able to help with a survey or repair costs.

For a professional negotiator, this process can be fun.  For both clients involved, it can be a tense experience.  It always boils down to finding the best balance of the interests of both parties — the essence of good negotiation — with the complication of more “unknowns” than usual.

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About Bill Morris, Realtor

More than thirty years of business experience (high tech, client service, business organization and start-up, including many years in real estate) tell me that service is the key to success and I look forward to serving you. I represent both buyers and sellers throughout the Austin metropolitan area, which means first-hand market knowledge is brought to bear on serving your needs: -- Seller Representation is a comprehensive process that begins with thorough market analysis and consultation, continues with properly staging the home to achieve the highest price possible in a reasonable time on market, a complete program of marketing and promotion, ongoing updates and communication, closing coordination, and follow-up throughout (and after) the sale. -- Buyer Representation is also full service: shopping, previewing, price and market consultation, contracting, negotiating, coordination of inspections, appraisals, repairs, and closing details, and follow-up beyond the closing of your purchase to ensure your lasting satisfaction. Because the real estate industry is becoming more sophisticated and challenging every day, you need a professional that understands the industry and is positioned to stay ahead of the game. I go the extra mile to help you achieve your goals. That's why I constantly research the market and property values so your home is priced effectively from day one. I also make sure the public knows your home is for sale by using innovative advertising and marketing techniques to attract potential buyers.

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