Backup offers are a hugely underestimated resource in the real estate landscape, and today I’d like to share why I believe more agents and buyers should use them.
Many agents and buyers believe backup offers only serve to solidify the seller’s first choice. However, the truth is that 25% of all offers fall out of escrow because of a problem with the loan contingency. The reality is that backup offers can be greatly effective. Not only can you put backup offers on an unlimited number of properties, but these kinds of offers can also put pressure on the buyers behind a listing’s primary offer in the event that they aren’t truly qualified.
Better still, backup offers are risk-free. If your offer is ultimately accepted, you can still back out if you’re dissatisfied with the results of an inspection. If more buyers and their agents understood how beneficial this kind offer can be, then more people would probably use it.
As always, we are here to answer any questions you may have about buying or selling real estate. Don’t hesitate to give us a call or send an email our way!