Today, let’s talk about offer review dates.
An offer review date is simply a predetermined time that the seller and agent are going to be reviewing offers. Bear in mind that this doesn’t necessarily mean accepting offers.
Generally speaking, agents have two options when determining an offer review date. They can select a specific date and time or they can review offers as they’re received. There’s quite a bit of confusion from both buyers and sellers concerning offer review dates, so I’d like to clear some of that up today.
Review dates simply outline the seller’s intent on when they’re going to be reviewing offers. It doesn’t contractually obligate them or the agent on a specific date or to review them as they’re received. The buyer and seller, at this point, have not signed any kind of agreement. If a seller initially says they’ll be reviewing offers on February 5, but they receive an amazing offer on February 3, there’s nothing stopping them from accepting that offer.
Likewise, if they’ve initially indicated that offers will be reviewed as received, and multiple offers start coming, a lot of the time, the seller and agent will set a date by which time any buyer’s best offer should be submitted. The review date is not obligatory in any way.
Similarly, you can submit whatever offer you’d like to them. If it’s Monday and you’d like to hear a response on your offer by Tuesday, but they’re waiting until Friday to review any offers, you can set an expiration date on the offer for Tuesday. If it’s a good offer, they’ll accept it. If it’s an okay offer, they’ll likely wait until that Friday to review it.
You don’t want to assume that because the seller has set an offer review date, there are multiple offers on the home. This is a common assumption, though I’m finding out that listings with an offer review date receive less interest and fewer offers because people assume those properties are high activity.
The best strategy, in my view, is to not pick an offer review date. This seems a little counterintuitive, but it tends to be the best approach because buyers know it’s a competitive market and they want to ensure that they have the ability to get an offer accepted.
If you have any questions about offer review dates or other real estate matters, feel free to reach out to me. I’d be happy to help you.