How Do Sellers Review Offers in Washington Real Estate?
Once a home has been listed and buyers begin touring the property, interested buyers may submit written offers to purchase the home.
In Washington real estate, offers are typically written using the NWMLS Residential Purchase and Sale Agreement (Form 21) along with additional addendums depending on the terms of the offer.
When an offer is received, the seller and their agent review the details of the proposal to determine whether it meets the seller’s goals.
What Sellers Look at When Reviewing Offers
Although the purchase price is important, sellers typically evaluate several parts of the offer before deciding how to respond.
Common factors sellers review include:
- The offered purchase price
- The buyer’s financing type
- Earnest money amount
- Inspection contingency terms
- Financing contingency terms
- Closing timeline
- Possession timing
A strong offer is often one that combines a competitive price with favorable terms and a high likelihood that the transaction will close successfully.
Verifying the Strength of an Offer
Before responding to an offer, listing agents often verify certain details with the buyer’s agent or lender.
This may include confirming:
- The buyer’s loan pre-approval
- The buyer’s financial qualifications
- Proof of funds for down payment and closing costs
- The lender’s ability to complete the loan on time
These steps help sellers understand how likely it is that the transaction will close without problems.
Handling Multiple Offers
If a home receives strong buyer interest, sellers may receive multiple offers.
When this happens, sellers typically compare the offers side by side to determine which one best meets their goals.
Sellers may choose to:
- Accept one offer
- Reject all offers
- Issue a counteroffer
- Ask buyers to submit their highest and best offer
The decision depends on both the price and the overall strength of the offer terms.
Responding to an Offer
After reviewing an offer, sellers typically respond in one of three ways:
- Accept the offer as written
- Reject the offer
- Send a counteroffer with modified terms
If the buyer accepts the seller’s counteroffer and both parties sign the agreement, the transaction reaches mutual acceptance and the home officially goes under contract.
Bottom Line
When sellers receive offers in Washington real estate, they evaluate more than just price. Financing strength, contingencies, timelines, and the likelihood of closing all play an important role when deciding which offer to accept.
FAQ
Do sellers have to accept the highest offer?
No. Sellers are not required to accept the highest offer and may choose the offer that has the strongest overall terms.
What happens if a seller receives multiple offers?
Sellers may compare the offers, accept one, reject them, or ask buyers to submit their highest and best offer.
What is mutual acceptance in Washington real estate?
Mutual acceptance occurs when both the buyer and seller sign the purchase agreement and agree to all terms of the contract.