Northville real estate talk - ethics of two offers

Northville real estate is still a hot market. If you have not noticed the good homes that are updated and priced right are still selling quick. There still is possibilities of getting into multiple bids when buying a home in Northville. Buying a home in a seller’s market can be very tough. It does not matter if it is a Northville foreclosure home or any piece of Northville real estate. In a seller’s market you may have multiple bids situations on many homes. Just because there is low inventory and more buyers than homes. Many times there are multiple offers and sometimes you do not win. Sometimes it takes buyers three or four offers before they win a home when there is multiple bidding done and there is a sellers market across the Metro Detroit area. When you put in an offer you usually put an earnest money deposit down on the house.

You as a buyer may have been looking for a while and not seen any homes you like. Yet this week you may have found two and you do not know which Northville home to pick. What do you do. I have heard of situations where agents actually put in multiple offers on different homes at the same time so their clients can win one. They may put in an offer on a piece of Northville estate in one subdivision and then put in an offer on another home in another. Your agent should have two earnest money checks from you because you had two offers.

You like both Northville homes and would like to put in offers on both. A good ethical agent would not do it simply because of the following reason. The first question I have for you is what happens if the both sellers accept without any changes? Guess what....YOU OWN TWO HOUSES!!!! That’s right they are legal binding contracts. Your unethical real estate agent has put you in legal jeopardy. You now have the chance of losing one of your earnest money deposits. The only way you can get out of them is to have the inspection fail or fail to get a mortgage. If you go with the inspection failure. You, the buyer has to pay for an inspection and sometimes you have to provide pages from the inspection report to the seller to get out of the contract. So now you have paid for two home inspections. The mortgage is a little easier, some mortgage loan officers will write a denial letter for you. They will deny the loan which gives you an out on the home deal.

The real issue or the ethics of two offers is that you are wasting the seller’s time. The seller could have their Northville home sold to somebody else. You are sitting on the house for a week to a month where they can’t sell it. You know you are not going to buy it, but the seller does not know.

Is that ethical? Would you want that done to you? Are you that selfish that you would not care about the seller and knowingly keep their home off the market because you could not make up your mind. I am a believer in how your treat people is how you will get treated. So be a person that makes this world a little better place to live instead of being out just for you while hurting somebody else.

Just my thoughts.  If you are looking for a real estate agent that will help you find a home that is a smart financial move email me at yesmyrealtor@gmail.com