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Sorry, but nowhere is a signed offer a binding contract without a signed acceptance of the offer. Except maybe NY where they have some weird "binder" thing going on.
I don't know what the real estate jargon is in your area but around here no one would ever refer to an offer contract with only the buyer's signature on it as a "signed offer" because . . . well . . . an offer is meaningless without both parties' signatures on it. So, when I read/hear someone saying they have a "signed offer" my interpretation is that both parties have signed indicating the seller has accepted.
In my life I have never heard of anyone referring to any kind of document requiring signatures as "signed" without all parties' signatures being on it even outside of real estate.
Quote:
Originally Posted by cvap
Waiting for someone else to set the value then beating it is sneaky and unethical
I always encourage my clients to deal with the most motivated party. Your neighbor's actions show their level of motivation. It was more important to them to save a buck then it was to have your property. This other buyer didn't hesitate and showed you the money because they really wanted the property. People who are less motivated will always show their stripes eventually and either be problematic to deal with or will seek to back out at some point. People who are highly motivated are much easier to deal with and will often bend over backward to make things work.
Let's say something comes up during the transaction and you need something (ex. a later closing date or maybe the ability to move out a couple days after the closing), who do you think is more likely to accomodate you? The more motivated person or the less motivated one?
Then which party is more motivated the one who put a deposit and signed a offer to purchace or the one who is ending our relationship as neighbors freaking out because I am going to take the legit offer? I say the one who showed the money first. Am I correct?
Maybe I'm missing something here, but I don't blame the guy for waiting to see what the actual market value was. No one wants to pay more for something that it is actually worth. (And isn't the definition of market value the price that someone would be willing to pay for it?)
However, maybe someone reading this thread can advise me as I might soon be in a similar situation as a buyer.
The lot next to us is not for sale. (I checked with the agent who sold us our home.) She said that she would contact the owner to see if s/he would be open to an offer. This is a wooded 1.25 acre lot between our lot and a seldom used highway*; the lot ends about 400 feet in from the highway. (The lot actually would have a highway address.) Btw, that part of the highway has only about a half-dozen homes with most of them set 100 feet back, and there are no businesses on it.. (This is a very rural area, and the lots on our street are next to a golf course and about two miles from a quaint tourist town.) We only reason we want the lot is to protect our west-facing view.
For comparison, we bought our 1.5 acre lot in 2018 for $40k, which was the appraised value then, and the appraisal for 2019 was $55k. (We have since had a home built on it.) There are 15 homes on our paved road, mostly 1970's single stories on 1.0-to-1.5 acre lots, and are now appraised at between about $200k and $375k, with an actual market value of between about $275k and $450k. Btw, lots here and in the surrounding areas can go for literally years without an offer, and our lot had been listed for slightly more than one year when we made the offer at the listed price, which was immediately accepted.
(Btw, western view waterfront homes only a half-mile from us "as the crow flies" are selling for between $850k and $1.5 million, and a comparable wooded waterfront 1.5 acre lot about 3/4 mile from our wooded-view-only lot and closer to town is now listed at $280k.)
So, given the above information, if the owner is willing to sell it, what would you consider to be a fair offer? Of course, I know the agent would have a better idea, but what would youguess would be a fair offer?
*The highway is not really a highway, as most people would classify it, but it is a moderately traveled connecting road between two county roads.
Last edited by katharsis; 06-10-2021 at 08:04 AM..
Tell them both (through your agent) you have multiple offers and they should put in their highest and best offers by this Saturday at 4pm when you will review all offers.
Then which party is more motivated the one who put a deposit and signed a offer to purchace or the one who is ending our relationship as neighbors freaking out because I am going to take the legit offer? I say the one who showed the money first. Am I correct?
I agree. I'd be concerned that the neighbor doesn't have the liquid resources available to close as evidenced by his failure to write an offer before and would use any opportunity to drag the transaction out. He may be scrambling right now trying to put the funds together but obviously wouldn't tell you that. Get into a contract with him and prepare for the possibility of it falling apart last minute.
Then which party is more motivated the one who put a deposit and signed a offer to purchace or the one who is ending our relationship as neighbors freaking out because I am going to take the legit offer? I say the one who showed the money first. Am I correct?
Don't know how the neighbors could be considered more motivated when they didn't do anything for 4 years. I still don't understand. Did you sign an offer, or did you merely receive a written offer after you listed it?
Then which party is more motivated the one who put a deposit and signed a offer to purchace or the one who is ending our relationship as neighbors freaking out because I am going to take the legit offer? I say the one who showed the money first. Am I correct?
The guy who you have a signed offer from is clearly more motivated and less risk averse when it comes to your property.
Quote:
Originally Posted by katharsis
Maybe I'm missing something here, but I don't blame the guy for waiting to see what the actual market value was. No one wants to pay more for something that it is actually worth. (And isn't the definition of market value the price that someone would be willing to pay for it?)
There are ways to figure that out without waiting around for someone else to make an offer. Waiting around is merely an indication of their level of risk tolerance and/or motivation.
Quote:
Originally Posted by katharsis
maybe someone reading this thread can advise me as I might soon be in a similar situation as a buyer.
The lot next to us is not for sale. (I checked with the agent who sold us our home.) She said that she would contact the owner to see if s/he would be open to an offer. This is a wooded 1.25 acre lot between our lot and a seldom used highway*; the lot ends about 400 feet in from the highway. (The lot actually would have a highway address.) Btw, that part of the highway has only about a half-dozen homes with most of them set 100 feet back, and there are no businesses on it.. (This is a very rural area, and the lots on our street are next to a golf course and about two miles from a quaint tourist town.) We only reason we want the lot is to protect our west-facing view.
For comparison, we bought our 1.5 acre lot in 2018 for $40k, which was the appraised value then, and the appraisal for 2019 was $55k. (We have since had a home built on it.) There are 15 homes on our paved road, mostly 1970's single stories on 1.0-to-1.5 acre lots, and are now appraised at between about $200k and $375k, with an actual market value of between about $275k and $450k. Btw, lots here and in the surrounding areas can go for literally years without an offer, and our lot had been listed for slightly more than one year when we made the offer at the listed price, which was immediately accepted.
(Btw, western view waterfront homes only a half-mile from us "as the crow flies" are selling for between $850k and $1.5 million, and a comparable wooded waterfront 1.5 acre lot about 3/4 mile from our wooded-view-only lot and closer to town is now listed at $280k.)
So, given the above information, if the owner is willing to sell it, what would you consider to be a fair offer? Of course, I know the agent would have a better idea, but what would youguess would be a fair offer?
*The highway is not really a highway, as most people would classify it, but it is a moderately traveled connecting road between two county roads.
No one here has remotely enough knowledge about your area to answer that question with any accuracy or validity whatsoever. You already had the best answer . . . check with your local real estate agent.
Tell them both (through your agent) you have multiple offers and they should put in their highest and best offers by this Saturday at 4pm when you will review all offers.
Then take the best one for you.
It's not really clear though from the OP's statement whether or not the house is under contract. They did say they had a signed offer and while Jack interpreted that as the buyer's signature being on it only I would have interpreted that statement that it was under contract. So, some clarity around that point would be very helpful.
Quote:
Originally Posted by 1insider
I agree. I'd be concerned that the neighbor doesn't have the liquid resources available to close as evidenced by his failure to write an offer before and would use any opportunity to drag the transaction out. He may be scrambling right now trying to put the funds together but obviously wouldn't tell you that. Get into a contract with him and prepare for the possibility of it falling apart last minute.
Definitely another possibility. Maybe they've been dragging their feet because they don't have the funds.
Quote:
Originally Posted by Brandon Hoffman
Don't know how the neighbors could be considered more motivated when they didn't do anything for 4 years. I still don't understand. Did you sign an offer, or did you merely receive a written offer after you listed it?
Agreed! Plus, the additional information you're asking for is important IMO.
Tell them both (through your agent) you have multiple offers and they should put in their highest and best offers by this Saturday at 4pm when you will review all offers.
Tell them both (through your agent) you have multiple offers and they should put in their highest and best offers by this Saturday at 4pm when you will review all offers.
Then take the best one for you.
Quote:
Originally Posted by hooligan
Bingo.
Welll....
I never say "highest and best." Some buyers will take umbrage at making a higher offer and not getting the property with highest offer, because we focus too much on price.
I DO say, "...multiple offers. I want everyone to have a fair chance to put your best foot forward, and we will make a decision Saturday evening."
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