As the Boston real estate market quickly becomes more and more favorable to sellers, many buyers and their agents are trying a new tactic, that unfortunately, is based on a failed assumption. Until recently, multiple offers and back-up offers on Boston properties felt like a distant memory. Some of today’s buyers (and buyer’s agents), understanding that there may be multiple offers on their dream home, have come up with a new strategy – bid high enough to get the property and knock all other buyers out of the running, then negotiate.
During the past two months, we have seen this strategy fail again and again. Some buyers come back with ridiculous inspection requests ($2,000 for a cracked tile or $10,000 to upgrade perfectly working appliances), others simply demand to renegotiate the price a few hours prior to Purchase and Sale followed up by a threat to pull-out based on their Condominium Document contingency. The buyers’ plan from day one – bid high then renegotiate – quickly becomes obvious to savvy Boston sellers, and they are deciding to play hardball.
These buyers make one fatal mistake; they make an assumption. They either make an assumption that there are no back-up offers on the table or that the sellers would rather agree to a lower price than re-list the property. And each time, this strategy backfires. Today, sellers often have at least one standing back-up offer, often with better price and terms than the one they originally accepted. Sellers may just be looking for a reason to get out of the deal, and that “$3,000 or I walk” speech just gave them the reason to bid you farewell.
To plan a successful strategy to purchase a Boston Condo or lease a Boston Apartment, contact Bushari Group Real Estate today. Bushari Group agents have the experience and market knowledge to provide the guidance needed in this face-paced market.