Keller WIlliams Luxury Logo
Home » Multiple Offers On Your Home May Be The Hardest To Handle

Multiple Offers On Your Home May Be The Hardest To Handle

by | Apr 13, 2017 | Buying, Luxury Market, Selling | 0 comments

 

If you have been around the Big Island market in the last 30 days, you know it’s a seller’s market in the lower price range. This may be music to your ears if you are selling your home, say for around $900,000 in Hawi. You may also be thinking that all you need to do is to stick a sign in the yard and you’ll have multiple offers. Also, you may think that you don’t need a realtor to do any of this since it sounds so easy. The last part is where you have gone off the rails.

You see, the multiple offer scenario is one of the toughest deals to handle in real estate. First, the real estate commission mandates that you treat all the consumers fairly and that you create a level playing field. For instance, letting someone in to see your home before you advertised showings to start on a specific date would be a no, no. Or leading people to believe they had until Monday at noon to submit and offer and then not doing that would also be a no, no! Whatever rules you apply to take advantage of the multiple offer scenario should be even and equal to all parties.

Many times when I am representing a seller, and we are looking at a multiple offer scenario, I ask the seller, “How will you select the winning offer?” They say “that’s easy… the highest price.” Wrong answer.  The correct answer is “the buyer most likely to close” that should be winning the bid. Many people will send you in a high offer with no intention of closing (particularly real estate investment trusts). Why? Because they are trying to tie up your home until they can decide if they want to buy it. I know it sounds crazy. In the meantime, your home is off the market for a week or two, and then they terminate the contract on you. You then try to go back to all the other offers you got only to find out those buyers have all found another home to buy. You end up putting the home back on the market and waiting for the next buyer, and this time it’s most likely not at full price or over asking price.

Selecting the buyer that is most likely to close is all about selecting the offer with the best terms and the best price (you’ll notice I did not say the highest price). The best terms are things like cash offers, (make sure they are real cash offers by verifying their proof of funds not just from a letter) waiving appraisals, allowing earnest money to become non-refundable at contract, allowing post occupancy after the sale, waiving inspections, and other favorable terms to you –  the seller. Then if you have a good agent representing you, he or she should be able to work one offer against the others, so you end up with the best price and best terms. This is all a very tricky dance because the conversation between all the agents starts off just as a verbal negotiation but then needs to turn to a written negotiation. This all has to happen within a time deadline while not scaring off one or more buyers. You need to keep all the buyers in the game while the negotiations are going on both verbal and written. Remember, if you have not chosen wisely, you’ll end up with a terminated contract, no buyers, and starting all over.

Your home for most people is the most expensive asset you own, why mess around? Hire a professional that can navigate the tricky multiple offer scenario and get you the highest price in the shortest amount of time.

Dan Polimino is a Broker/Owner with The Hawaii Team, Keller Williams Realty Maui. Contact The Hawaii Team at 720-897-3758, team@thehawaiiteam.com.

Recent Posts

Big Island Featured Restaurant & Activity – October 2025

Big Island Featured Restaurant & Activity – October 2025

Featured Restaurant: Brown’s Beach House If you’re looking for a tasty, elegant, open-air dining experience look no further than the Brown’s Beach House restaurant at The Fairmont Orchid in Mauna Lani Resort. Its Chef de Cuisine, Junior Ulep, is a celebrated...

read more
August Sales Statistics for the Big Island Resort Areas

August Sales Statistics for the Big Island Resort Areas

Real estate activity was spotty during the month of August, but slightly up over the month prior. Mauna Lani Resort led the way in condominium sales with three closings, followed by Mauna Kea Resort with two and single condo sales in Kohanaiki, Kūki`o and Waikoloa...

read more
The Window Buyers Have Been Waiting For

The Window Buyers Have Been Waiting For

Interest Rates, Inventory, and Opportunity Aligned According to the National Association of Realtors, more than 7 million buyers have been sitting on the sidelines, waiting for interest rates to drop into the fives. That moment has now arrived. Through our partners at...

read more
So, You Want a Place on the Ocean?!

So, You Want a Place on the Ocean?!

By Dan Polimino Of course you do! I was meeting with a client at a local eatery and he said to me, “It’s always been my dream to have a place in Hawai`i right on the ocean.” And why not? I mean, it’s one of the reasons why you would move to Hawai`i or own a second...

read more
September 2025 Featured Restaurant & Activity

September 2025 Featured Restaurant & Activity

Featured Activity: Atlantis Adventures Submarine Tour Discover the magic of Kona’s undersea world while diving over 100 feet beneath the sea in an eco-friendly, 48-passenger submarine. Learn about Kona’s marine mysteries in the air-conditioned comfort of this Coast...

read more

Recent Listings

Call Now