There may be plenty of houses in the middle Tennessee real estate market and not as many buyers as we’d like to see, but the homes that are priced right and also clean and well maintained are quite popular these days. So popular in fact, that multiple offers are coming in!

I had an older home listed last month that had lots of personality. The hardwood floors had a darker wood design built in and the backyard was a haven for bird lovers. The sellers fortunately negotiated and had a smooth closing with one of the two potential buyers. And today, I’m in another multiple offer situation. I’m meeting with a buyer about a condo he hopes to own, but this time he’s the one competing with another buyer.

Many buyers get alarmed when they hear they are in a multiple offer situation. Often they just want to throw in the flag to avoid a “bidding war.” Other times buyers are suspicious because they think agents are trying to maximize their own commission by getting the buyer to pay more. By law, we are required to put our clients’ interests above our own and we must deal with all parties honestly and in good faith. I take the mandates seriously because I don’t want to lose my ability to earn a living, and I believe other agents do the same.

Therefore if you’re told there are multiple offers, believe it. You have several choices you can then make. You can stand firm on your current price - there’s nothing wrong with that because it MIGHT already be the highest offer. You can change your offer (higher or lower). Stay away from the eBay mentality to “outbid” someone else - figure out in advance the highest amount you’d pay and do not go above it. If you don’t get the house, there will be others. Finally, your last choice and the worst thing to do is walk away. If it’s not meant to be, it never will be if you don’t at least make an effort.

There is one other choice you can make. It’s daring, but could be your key to winning the bid. You can change your offer to read, “Will pay $1,000 more than highest offer, not to exceed XX amount.” Of course, you would also ask for evidence that the other offer was a certain amount - and the listing agent can provide this with written permission from the seller, as long as the other buyer hasn’t specifically prohibited their bid from being shared.

Good luck buyers! If you’d like more information about real estate in Nashville, Smyrna, LaVergne, Murfreesboro, or other areas of Middle Tennessee, I welcome your call!

Posted by:Kathy Tyson

This may be one of those secrets that goes along with our mysterious handshake, but I’m going to spill a great strategy when you’re the buyer and in a multiple offer situation.

First, remember you’re not at an auction or on eBay. Talk to your agent in advance and determine the fair market price and a top dollar amount of what you’re willing to pay for a home. Do not get personally involved in a bidding war and end up buying it for more than you intended.

Okay, so now you have your price in mind - and the maximum amount you’ll bid? Write your offer and then under the “Special Stipulations” section of the contract add the following:

Purchase price shall be $1,000 more than highest offer, not to exceed X amount. Seller shall provide proof of highest offer.

Of course, you can word this however you’d like but it should certainly get the attention of the seller. And if you’re concerned about the seller disclosing the price of the other high offer, no fears there either. According to an attorney who was in our office earlier this week, the price of the other offer can be disclosed with permission from the seller.

The down side is you may not get the home if the highest amount exceeds what you as the buyer are willing to pony up. But if not, then you may just be 30 to 45 days until closing with an accepted offer through this strategy!

Remember … less than two months until November 30th - the deadline to buy and still get that juicy first-time home buyer tax credit!

Posted by:Kathy Tyson