house sold for lower than our offer

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Submitted by veees on April 30, 2015 - 11:57pm

. Here is the story, house came on market and within days had 10+ offers. We put in ours with lot of sweeteners and 5% above list price. We didn't get the home. The home closed this week and we see it sold for close to the list price..so we are wondering what could be the reason? Our realtor said the home was sold to a neighbour but still 5% is a good chunk...is it also possible that the home sold higher than what gets reflected in MLS to lower taxes?and is this allowed by law?

Submitted by svelte on May 1, 2015 - 6:17am.

It could be the realtor did not present your offer, maybe because the seller's realtor wanted his own buyer to make the purchase (so he could collect on both sides of the transaction).

This happened to my dad once. He made an offer, no response came back. Weeks later, he noticed the price was reduced to just above what he had offered. My dad called the seller directly at that point to see if he would take his offer now. The seller said "what offer?". His realtor had never presented it to him.

This could be the case here too. Or maybe the buyer selected brought all cash and offered a quick close - could be the buyer had to have the $$ very very quickly.

Submitted by no_such_reality on May 2, 2015 - 10:59am.

Is close to list below list? 5% above list is basically noise with 10+ offers. If it closed above list then there even less between the offers like 2 or 3 %. There's so many ways to cut that. Quick close, all cash, no Contingencies, even just knowing the buyer or the RE agents reducing their cut or buyer carrying closing costs.

IMHO on housing purchases when looking at deals you've lost if there isn't 10% price difference then the intangibles that aren't listed are the deciding factors

Selling is 5 - 6% on commission, repairs, termite tenting, escrow and other fees. The little 0.5-1% cuts plus the opportunity cost of a deal the falls apart

There is plenty of wiggle room for shaving a few percent with a motivated buyer on the costs. Even clauses like buyer pays buyers commission

And as svelte mentioned cash is king No finance contingencies and fast close is worth $ particularly for someone already bought or rebuying.

Submitted by SD Realtor on May 18, 2015 - 9:17am.

Sorry to hear that happened Vees. You can contact your realtor and ask them to find out some of the details. First off if it was a cash deal you can see that as a field on the SOLD MLS page. You can also validate it on the tax roll. Furthermore your realtor can pull up the amount financed if it was financed. You can even find the name of the buyer and then look at their previous location to see if it was a neighbor or even a relative.

A call can also be made to the listing agent to see what happen.

It is a pretty trivial fact check that will help explain what happened so that it maybe does not happen again.

Beats speculating on it.

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