Post # 1
Where you asked for more than one “best and final” offer? We were told we were bidding against another party and they asked for our best and final offer. Then they came back with another counteroffer and asked for our “best and final” offer again. I find this quite annoying to say the least, although I admit I wondered if that would happen and thus that is in part why we left some room to manuever if we want. (Just not sure if we want to go up.) I just talked to my sister and learned she also had multiple BEFO requests that took several days (place fell through for inspection).
Post # 3
Hmm not sure. It’s always a multibid situation here, so you are always putting in your best and final offer. It’s just sort of assumed. We were the highest bidder, so we got our current place. I’d love to hear the experience of others, though! Good luck!
Post # 4
Yes, Cali is very different I understand from our friends and family buying homes out there. Thanks. I think we won’t end up with the place because we aren’t willing to go up much more and we’re still quite a bit apart. But we’ll see. We’re luckily in a great position in that we’re not forced to buy and can keep on looking for the right place at the right price. (I suspect they are a bit more motivated, having had the house on the market empty for 5 months now with no bids, although we’ll see if it’s enough.) It’s been a great learning experience though (about the process, about our fears/dreams of moving, what we want, etc.).
Post # 5
- Wedding: October 2011 - Bed & Breakfast
We went through this, but it was with the bank on a short sale, and the bank was plain nutters. They clearly thought the house was worth more than our best and final. We walked away because we were in no mood to deal with ridiculousness.The irony is that 8 months later, that house is now listed for $30k less than our final offer. Stupidity ftw!
Honestly, there is ALWAYS going to be another house to buy. It’s a waste of your time to deal with difficult sellers.
Post # 6
We put in several “best and final offers”, there was an occasion or two where we were told we had been outbid and asked if wanted to counter but we didn’t. It’s kinda shady for them to try to get people to outbid the original best offer but it happens.
Post # 8
I’ll admit that I asked for best-and-final offers twice to my prospective buyers when I sold my townhouse without a realtor before I got married. We also dealt with this on the receiving end when we bought our home after we got married. I wouldn’t get too frustrated about it though. My thought is if someone asks you for your best-and-final offer multiple times, it means that the other party (parties) outbid you even though you submitted a bid ahead of them. It just respects your place in the bidding timeline and gives you an opportunity to re-think your offer as other bidders come in. You probably already figured this but the bidders coming in after you are being told that there has been a bid already submitted, so naturally they higher their offering price. And that’s what starts the annoying bidding war. And yes, it is an opportunity for the seller to capitalize but hey, as they say, a home is only worth what someone is willing to pay for it.
Post # 9
@kay01: We just put a downpayment on a house so this process is fresh in my mind. We put in our initial offer, then got back a “you offer is the lowest, and our counter is $$$”, so we upped it at 10K less than their counter, and didn’t hear back for a while, our broker got all defensive in our behalf and told the sellers’ broker that what she was doing was “wrong” so the sellers’ broker finally came back with “there is another offer, so do you have more to give us?”. We did, but we didn’t want to. We pretty much met them at their original counteroffer.
It was annoying because they were pretty much seeing how much they could get. We really wanted the house so we met them at their counter, but so yeah we were asked for two best and final offers lol.
I feel like it’s just one of those “Your best and final offer wasn’t enough, so if you really want the house you gotta come up with a better best and final offer”. People are just greedy.
Did you end up coming up with a new B&FO??? Let us know!
Post # 10
@Mimoza: Wow, yeah, that was not right of the sellers to do. They’re not supposed to be throwing around figures like that or telling you how your bid falls out relative to the others.
Post # 11
- Wedding: August 2013 - Rocky Mountains USA
No, we actually offered full listing price because it was a great deal and had only been on the market for 1 day.
My only advice would be to not get caught up in “winning” the final negotiations above all else. If you really really love the house, and the price is more or less reasonable, a few thousand dollars extra that gets rolled into your mortgage will only increase your payments by a few dollars a month. It’s not worth losing the place you love over that!
Post # 12
@HelpfulMarriedGirl: Thank you! She/They were definitely playing some sort of game and given that we are first time buyers they thought they could take advantage of us. I also forgot to mention that after our *good faith effort* counter to their counter, and after they didn’t get back to us for a whole day once we did hear back it was through a text to our real estate agent which said “sorry. they went with another offer” – which was a lie because obviously they didn’t. That’s when our broker go super angry and called the sellers’ broker’s boss….and got us the house.
I mean, pshhh. This home buying business is no joke.
Post # 13
So we put in a slightly higher “BAFO” and communicated clearly this was our last offer and we would walk. We held firm when they tried to offer back a small decrease (still apart by over $10K) and walked away. The realtor then called me to tell me they were going to drop the house list price again, to a figure that is effectively $6K (i.e. less than 1% of the house price) above our offer if you consider we offered w/o a broker. (The realtor does a lot of business with this contractor and has a negotiated fee – normally 2.5%, but 1% in this case – which does not vary if there is a broker on the other side or not.) He said it was ludicrous for them to do this and not agree ont he price. We said, that’s interesting, thanks for telling us – but did not offer to go up any. That drop went through yesterday. The realtor just emailed me today to ask what would be our projected close date if we were still interested.
We learned from the broker that the first offer (before us – they invited us to offer, knowing our interest in the property), the buyers walked away. Sounds like possibly at the counter. Then during our negotations, they received a third offer that was so low the sellers didn’t bother to counter. So at this point – 5+ months on the market, they’ve dropped the price 3 times, received 3 offers and rejected all of them. Whether true or not, the realtor also told us that our offer was a “good” one and clean (that almost worries me that it’s too high, that it’s at the high point of the FMV) and that he’s been telling the sellers all along the comps for the house until he’s blue in the face (and they stopped taking his calls and would only email), but that they are unwilling to settle. Or at least the wife was unwilling.
I hear you on the house you love, letting it walk away, and it’s only a few dollars more each month, but… First it’s a house we both really like, we don’t absolutely love it. Like all houses it has some flaws (busier street than ideal, smallish dining room, not open layout, pool that will cost oodles to eventually remove). You also set a ceiling for a reason, because that’s what you think it’s worth and what you’re willing to pay. You get into the land of regrets if you go above that number I think. So I’m more willing than DH to let it walk and see what the spring market brings. I also wonder how difficult they’ll be in the inspection/closing – the seller’s agent told me they’ve nickeled and dimed everything and that doesn’t bode well for us going forward. Meanwhile, DH points out this is the second cheapest of the 4 houses we’ve both really liked (did not offer on 2 highest for various reasons, the 3rd was snapped up day one on market), and wonders if the next house we like will be many thousands of dollars more. (I say – that may be ok if it’s worth many thousands of dollars more.)
Post # 14
I have never heard of multiple “best and final” offers. Final is final, isn’t it?
First house I put an offer on there were multiple offers and I was asked for “best” offer, not “final” because there probably would have been additional negotiations on the inclusions and exclusions afterwards and after an inspection. The house wasn’t worth any more in my opinion, so I passed.
The first house I bought we had the back-and-forth, but it never got to “best and final.”
When selling the first house, I asked for a “best and final” from the buyer because we had been haggling and while we were getting closer, there was still this back and forth and it got to the point I either wanted an agreement or to not waste my time and start considering other offers. But after that it was settled.
I wonder how many of these weird quirks are from homeowners that are selling themselves and try whatever they can to get a leg up on negotiation without thinking about how the language they use and the terms could violate profession codes of conduct. Realtors have a code of ethics to uphold and multiple “finals” sounds like it would go against that code.
Post # 15
@kay01: I’m not in real estate, but some people are very attached to their home & don’t want to sell it at a low price because they see more value in it. Or maybe they paid a lot of money on the home & are losing money already. Some people list the selling price as what they want & won’t go lower than that. If you offered $10k less than they were offering, maybe they got offended?
Post # 16
We weren’t asked for a final offer because we made our offer, and won against 5 other bidders, that was the end. The rest was settling on what the owners were going to fix after the inspection etc… All in all it was fairly easily thank God!