PLEASE NOTE we are now brokered by eXp Realty. Call or text Alisha Collins, eXp Realty at 307-247-1806 or email at alisha@casperpowerhouse.com We are excited to talk with you!
Back-up offers. You have your house under contract and someone offers a backup offer. What is a back-up offer and how does it work? Watch the video below to find out.
First, what is the backup offer? Sometimes house goes under contract, but then a couple of days or weeks, but there’s another buyer or multiple buyers that still wanna purchase the home. That is where a backup offer comes in. Even though a contract is in place, a prospective buyer can still write an offer known as a backup offer in which they acknowledge that they are aware you have a contract in place but they’re still interested and that their offer will go into first position if the initial contract falls through. As a seller, you can decide whether or not to accept a backup offer. A backup offer can be helpful for both buyers and sellers. As we go through the process in multiple ways.
Number one, a backup offer provides more assurance that if your original contract falls through for any reason, you have a buyer who is immediately ready to move forward.
Number two, when you have a backup offer in place, you have some leverage that can help immensely during the negotiations of any repairs whether with the initial buyer or the backup buyer. When considering asking a seller to complete repairs, a buyer who was under contract, but is aware of there is a backup offer in play may be less likely to ask for extensive repairs to be completed by the seller or at the seller’s expense because the seller is in a better position to simply move on to the back offer. And can state up front that they’re aware of but won’t perform XYZ repairs. Since we know the backup buyer is very serious about wanting the property, they’re likely to accept the property as it is.
Most backup contracts do have a clause that if a buyer finds another house, they can pull their offer. But it’s less likely for that to happen right now considering our current fast moving market with very few properties available on the market.
We want to set you up for selling success.