Most multi offer situations don’t often extend by more than three days (to get all offers in); and most cases 48 hours is sufficient.
Yet there is no law or ruling on time limitations. This is due to the amount of variables that can extend the situation.
For example here are the four most common reasons:
1) Access restrictions: some properties which are tenanted may take some time for interested to view.
2) All interested parties needing to be contacted. This may take the agent some time when many buyers travel for work, live overseas or other reasons that make them not be able to respond quickly.
3) Buyers have the right to seek for legal advice before signing any agreements and this may take some time too.
4) Vendor instruction. For example vendors may want all open homes to be completed before deciding on an offer.
If you feel you are being taken advantage of make sure you bring up your concerns and make sure the agent knows that you know your rights. You can withdraw your offer at any time if the situation is not handled to your satisfaction.
Good day, Andrew Murray here from The Apartment Specialists, talking about multi offers and how much time do you have to get your offer in. Now, most cases, you’ll have 48 hours to get a multi offer in. That’s pretty much what happens most of the time. If I look across, say, the last 100 multi offers I’ve been involved in, most of them, all the offers were in within three days.
But there’s actually no law, or ruling, or limitation around how long a multi offer can last for. For example, it can be dragged out for a very long period, but it can’t be dragged out on purpose. Now, the reason for this is– there’s four main reasons why a multi offer situation gets dragged out. One will be access availability, i.e. the tenants would only allow access on a Saturday, so the other person who wants to put in an offer can only do it next Saturday – that obviously complicates things.
Number two, all interested parties needing to be contacted. You may have had a person who’s really interested in putting an offer in, they were going to put an offer in as soon as they touched down after landing back in Beijing, and they’re in midair, in mid-flight, so obviously we can’t get in contact with them until that. We know that person was interested, and we have to give them by law, as they showed interest, the ability to put in an offer.
Another one, purchasers needing to seek legal advice. As a real estate agent, you can’t put somebody under undue pressure. Yes, a multi offer situation is pressure, but that is being formed by the market. You can’t actually do that on purpose as an agent. So if an owner wants to seek legal advice before putting in that offer, you’ve got to allow them to do so. Vendor instruction. The vendor may say, “Look, okay, there’s a multi offer situation happening, but I want to wait until this week’s open homes because it’s only been up three days,” or whatever the situation. So the vendor instruction is the fourth one.
Having said this, if you feel that an agent is taking advantage of the multi offer situation, make sure you ring them and make them know you’re aware that you can legally withdraw your offer at any time, and this will really get the agent moving, because they’ll lose you as a client, and they’ll obviously put that– they’ll inform the vendor. If you do feel taken advantage of, withdraw the offer.
Anyway, Andrew Murray, Apartment Specialists. Hope it helped.
If you have any questions, flick me an email at firstname.lastname@example.org or call +6421 424 892 and I’ll be happy to answer your queries.