Articles and Advice

What To Do When A Seller Counteroffers

You don't need to be a negotiating expert to get a good deal. Here's how you can respond to counteroffers.

After submitting an offer, a seller will work with their real estate agent to review the terms of your bid. If the seller decides to make a counteroffer, they've likely decided they aren't satisfied with your initial offer but are at least willing to negotiate.

If a seller makes you a counteroffer, it can be challenging to know what to do. However, real estate negotiations are very common, and your agent has the experience to conduct them on your behalf.

Common Reasons For A Counteroffer
There are many reasons why a seller may decide to counter your offer. They may think your offer price is too low or they may request a larger earnest deposit. However, a counteroffer isn't always about the sale price. The seller might want to negotiate contingencies, or they simply may want to move the closing date. The important thing to keep in mind is that a counteroffer doesn't mean the bid was rejected, it simply means you're going to have to reevaluate the terms.

What To Do Next
Your real estate agent will help break down the seller's new requests. Then, take the time to consider what the seller is asking for. If it's a price more than you're willing to pay, be prepared to walk away. If it's negotiating contingencies, consider what's going to work for you.

Keep in mind, you don't have to make a yes or no decision. It is possible and common to counter the seller's counteroffer. It's not uncommon for several rounds of negotiations to take place before the buyer and seller come to terms. Just be prepared to lose out on the deal if the seller isn't willing to negotiate further.

How To Respond To The Counteroffer
If you decide to accept the terms of the counteroffer, you can simply sign the form and return it to the seller. If you're planning to issue another counteroffer, your agent can pull together a new form.

Either way, you'll want to respond promptly as all counteroffers have an expiration date. In some areas, the seller may issue a counteroffer to multiple offers, in which case, the speed in which you respond can make a difference. It's always a good idea to respond to the counteroffer as quickly as possible.

It's also possible for the seller to receive a better offer while you're in the middle of negotiating. If this is the case, the seller may decide to move forward with the new offer and reject your bid. As a result, it's best to keep the negotiation moving as quickly as possible.

Real estate negotiations are very common, so receiving a counteroffer isn't a reason to lose hope. Work closely with your agent and try to determine if there is a way to make the deal work for both sides.

Thinking about buying
or selling a home? I can help make the process easy, click here to get in touch today!

What To Do When A Seller Counteroffers

Login to My Homefinder

We have detected that you have cookies disabled.