Myth: The Highest Price is Always the Best Offer

Myth: The Highest Price is Always the Best Offer

Today's Myth is that the highest price is always the best offer. Is that true? Welcome to Myth vs Truth

In today's market sometimes the highest and best price is not always the best offer option. There's a lot of variables when it comes into receiving those offers. We're receiving multiple offers, so we have to think about the appraisal period.

We also have to think about other variables that come into play when the offers are presented. The only time the highest price is the best one is if it's cash. Now you know the cash investors will not pay you the highest price. So 99.99% time is a finance and as Chantale mentioned that you have to go through the appraisal process and there are some other things also.

One of the factors that you have to take into consideration will be how strong are those buyers, how those buyers are just good in papers. They are not just pushing their credibility towards buying your home. So I think that that is very important to take into consideration, and it plays a big role in the buying to take that file to closing.

We've seen on many occasions when we receive offers that some buyers will over extend the offers, such as offer way above asking price,  just to outbid the other buyers that are submitting offers. That's not always the smartest move. Be careful out there because there's many variables that you have to consider before accepting the offer.

So the bottom line is don't just go for the highest offered price. Check the qualification strength of the buyer. How strong they are to take this transaction to the closing.

Hope this information helps you to pick up the right offer for your home. See you next week in another episode of Myth vs. The truth.