A Buyer Signs An Earnest Money Agreement And Gives It To The Broker

When a buyer decides to buy a home from a seller, both parties enter into a contract. The contract does not require the buyer to purchase the home, as home examination reports and inspection may reveal problems with the home later. However, the contract ensures that the seller removes the home from the market while it is checked and evaluated. In order to prove that the buyer`s offer to acquire the property is made in good faith, the buyer makes a serious money deposit (EMD). Potential buyers can do several things to protect their serious deposits. A seller is not required to respond to multiple offers in a specific order or order. First, we already know that the seller is not required at all to respond to an offer, so it is certainly not necessary for the seller to respond to several offers in a given order. A seller can ignore the first and second offer on time and accept the third offer immediately. In short, there is no first-in-time first-in-response rule. Buyers should be informed when making an offer for a “hot” property in which other offers are reviewed or known by the seller. Simultaneous Multiple Offers Simultaneous multiple offers (or offers made over the same period) pose unique problems for the listing broker and its sub-agents that help competing buyers. The test to determine whether these buyers are treated fairly by brokers is based on the perception of the method and how their offer was presented.

Nothing makes a buyer more unhappy than to believe that his offer was not presented fairly or effectively. A proven method for the simultaneous (or roughly equal) procedure of the listing broker, which asks each sub-agent to accompany the broker in presenting the offer to the seller. Each offer should be submitted separately. Then, the seller and the listing agent can discuss the benefits of each offer and decide what response the seller wants to communicate to the buyers. The beauty of this approach is twofold. First, the seller receives first-hand information about the buyers or their offers. Second, each buyer will recognize that their offer has received fair consideration and attention to the other offer. This practice is particularly effective and thwarts ill will when one of the multiple offers has been obtained from an agent linked to the stock exchange company.