Getting multiple offers on a home can create a bidding war that drives the final sale price up. Homeowners sometimes make the mistake of underpricing their property in the hopes of sparking a bidding war, but this strategy isn’t always successful. It can actually backfire by attracting bargain hunters.
Learn how to get multiple offers on your home using strategic pricing, great presentation, smart timing, and effective marketing. Executed correctly with the help of an experienced real estate agent, all these elements can work together to attract the right buyer pool and maximize your final sale price.
Setting a Price That Will Get Multiple Offers on a House
The right price attracts the kind of buyers you want without leaving money on the table. These guidelines will help you set the appropriate price:
- Price at market but not above it. Even a price that’s 5% above comparable homes can drive off buyers when there’s more reasonably priced inventory.
- Consider slightly underpricing by 2% – 3% if it’s a seller’s market. That can draw in a larger pool of buyers and generate multiple offers on a home.
- Don’t make severe cuts, or you’ll risk attracting investors and flippers who are looking for a bargain.
- Price slightly below thresholds to pop up in online searches that have an upper limit. For example, a price of $399,000 to appear in searches limited to $400,000.
- Be willing to adjust your price down if you don’t get showings in the first week.
Strategic pricing is the first and often most important step in how to get multiple offers on your home.
Presentation That Generates Multiple Offers on a House
All other things being equal, a house that shows well will receive more offers. Here’s how to ensure your home makes a great impression:
- Professional photos will make your home look spacious and well-lit while highlighting its best features. These high-quality photos are non-negotiable when you want to get multiple offers on a house. If your home is on a large lot or near desirable features, consider drone photography and video.
- Consider virtual tours for remote buyers.
- Fix problems that could be spotted during a showing and are easy to fix, such as loose handles, dripping taps, and paint chips.
- Invest in a thorough professional cleaning for a fresh look and smell. That will give you a clean slate for staging and eliminate any scents you may have gotten used to over time, such as pet odors or cigarette smells.
- Stage the home to appeal to a broad demographic. Declutter and remove personal items, but create inviting spaces so that buyers can picture themselves living there.
- Enhance your home’s curb appeal by power-washing the exterior of your home and getting fresh plantings and mulch for the gardens. Create an attractive entryway with tasteful planters and a new doormat. It’s the first thing buyers will see on a tour, so make a great first impression!
Be flexible with showings. They can be inconvenient, but they’re key to getting multiple offers on a home.
Setting an Offer Deadline
In competitive markets, sellers sometimes use an offer deadline strategy, also known as “delaying offer review” or “holding offers until a specific date.” Instead of reviewing each offer as it comes in, the selling agent announces that all offers will be reviewed on a specific date, usually five to seven days after the home hits the market. This strategy can lead to multiple offers on a home, and the offers tend to be stronger and cleaner.
Marketing to Generate Interest
Getting multiple offers on a house starts with generating interest right from the start. Strong marketing strategies include:
- Wide exposure on all marketing channels through MLS listings with compelling descriptions and top-notch photos, social media marketing, open houses, yard signs, and print materials. When you’re trying to figure out how to get multiple offers on your home, look for a real estate agent with up-to-date marketing skills.
- Highlight features that make the home stand out, such as desirable location, large lot, finished basement, or recent upgrades.
- Encourage lots of showings right after your listing goes live by making it easy for buyers to tour your home at their convenience. Buyers who can see a property right away are more likely to make offers than if they have to wait days for an appointment.
Marketing tactics change over time, but the basic principles remain: get eyes on the listing, bodies to the showings, and generate a sense of urgency (ex, “this property won’t last long,” “rare opportunity in a prime location,” etc.)
What Happens When There Are Multiple Offers on a House?
Things can move very quickly in a hot market. Here’s how to handle multiple offers on a house:
- Take the time to review all the offers, resisting the temptation to just accept the highest one.
- Evaluate the offers side-by-side, not in isolation. Focus on the entire offer rather than just the price. Consider the down payment percentage, financing type, earnest money amount, contingencies, proposed closing date, and buyer qualifications (preapproval letter). A cash offer for $405,000 with no contingencies might be better than a $415,000 offer from a buyer with no preapproval, multiple contingencies, and requests for seller-paid closing costs.
- Don’t assume that you’ll be able to counter an offer. When inventories are low, buyers often come with their best offer and may not be willing to go higher or drop concessions.
- Communicate professionally with all parties, keeping them informed about the process, timelines, and expectations. Never pit buyers against each other explicitly; no one likes being manipulated, and this can damage relationships enough that qualified buyers walk away.
- Be prepared to accept an offer quickly; in competitive situations, buyers expect relatively quick responses. Aim to respond within 24 to 48 hours of receiving offers.
- Select your best offer, but have a backup plan in case your first choice falls through during inspections or financing.
Dealing with multiple offers on a home is both exciting and stressful. Do your best to remain strategic throughout, relying on your real estate agent to keep you focused. Document everything that happens, ensuring that all offers, counter-offers, communications, and other records are properly retained. Multiple offer situations can be complex, and meticulous record keeping helps avoid confusion and disputes.
The Role of a Real Estate Agent in Multiple Offer Situations
How to get multiple offers on your home depends heavily on the real estate agent you choose and their experience and skill. An experienced agent will set a pricing strategy based on data and their experience. They will ensure that your home is staged and photographed effectively, and they’ll handle marketing to a broad buyer base. When you receive multiple offers, they will deal with communications and advise you on how to choose the best offer.
