Does location remain the key factor? Should you revamp your abode to cater to your personal preferences or boost its resale appeal? Are entry-level homes still in demand? We’re all brimming with queries about the ever-evolving real estate landscape. In our “Ask an Agent” series, we’re teaming up with experts from Better Homes and Gardens Real Estate to tackle your pressing questions about house hunting, purchasing, and selling.
Have you ever wished you could glimpse the bids made by other potential buyers before placing your own on a property? You’re not alone. One realtor revealed that this is among the most frequent inquiries he encounters, and the response could catch you off guard. Let’s delve into why agents usually can’t reveal the details of competing offers, and what astute buyers can do to maintain their competitive edge.
For this edition of “Ask an Agent,” we chatted with Terry Papp from Better Homes and Gardens Real Estate Connections to uncover why your real estate agent won’t disclose the number of bids on a house.
Terry Papp is a seasoned realtor and the managing broker at Better Homes and Gardens Real Estate Connections in Crown Point, Indiana.
Firstly, in 99% of cases, we’re in the dark about the other bids. The listing agent isn’t going to reveal their hand and spill the beans on other offers. This is due to their responsibility to safeguard the seller’s interests. By informing you of the bids, you might realize that someone made a low offer, prompting you to follow suit. This sets up an uneven and unjust playing field, which contradicts the notion that real estate should be a fair ground for all parties.
The listing agent represents the seller, and the buyer’s agent represents the buyer. Should the listing agent also represent the buyer, they’re still wearing two different hats. When they’re in listing agent mode, they have to prioritize the seller’s interests. Disclosing the bids to the buyer would tip the scales and put one party at a disadvantage.
A competent agent will sit down with their buyers and present them with a competitive market analysis, detailing the prices of comparable homes in the area and their current listings. It’s crucial to avoid overpaying, of course. The appraisal also plays a role—if you pay more than its assessed value, a fresh round of negotiations between buyer and seller is in order. Thus, having a robust current market analysis is essential when making an offer.
This interview has been abridged for brevity and clarity.
