Weekend Madness - It's Not Over Until It's In Writing!

Since Thursday we have been trying to reach an agreement on a proposed contract. The property has been on the market less than three weeks and although several agents were "hovering" with clients, this was the first written contract we received. What started out as a large difference in asking price and contract price has narrowed to an acceptable level and what was an unacceptable long period of time between contract and settlement has also narrowed to an acceptable level - we have reached a verbal agreement and the seller is meeting in our office tomorrow morning to sign the contract - but it's not over yet.

There have been numerous showings of the property over the weekend and several agents have requested disclosures (the property condition, lead paint and other disclosure forms) necessary to prepare a contract!

Do we have another offer at this time? No. Are we locked in to the contract we have verbally agreed to? No. If there were another offer sitting on our fax or in our email tomorrow morning when the seller arrives is it ethical to then reject the contract the seller verbally accepted?

The ethical question really relates only to our group, the listing agent. We work for the seller and if another, better offer comes in before physically signing the "bird in the hand" we are ethically bound to present the offer to the seller for their consideration.

The ultimate decision rests with the seller, but we are bound by our obligation as the seller's agent to review all the information and advise in their best interest. Obviously if a better offer were received, it would be in the seller's best interest to sign the new contract.

So, we'll see if another offer comes in before signing - and we'll see if they are any better than the offer we have negotiated in good faith. It's a tough situation for a buyer's agent who has worked so hard to put the deal together and it's a tough situation for the first buyer if they lose a house they really wanted at the 11th hour - but it has happened to all of us.

The lesson here is if you find a home you truly want to buy, make a fair and reasonable offer, require a timely response, negotiate in good faith, but don't procrastinate and when a deal is struck get it in writing! It isn't over till it's over - agents may seem pushy by asking for a quick decision, but they are acting in your best interest - we all know what can happen.

We'll all know tomorrow how this shakes out - and I will post it here. This also goes to several of my previous postings, even in a "down" market, when a house is priced properly and shows well, it sells - sometimes even with multiple offers and quite quickly.

As always BE INFORMED and CHECK BACK HERE OFTEN