Realtor Bait & Switch ?

Member since 2019 · 34 posts · 22 votes

I made an offer today on a property that’s been sitting for some time now. The seller’s realtor made a counter offer and I accepted.

My realtor was about to send the contract with the amended price that I agreed to which is the seller’s asking counter offer.

Just a few hours into it the seller’s realtor texted my realtor saying there’s another offer coming in tomorrow.

REALLY?! Isn’t this a huge co-incidence that someone is making another offer tomorrow after a few hours of me accepting their counter offer? Smells fishy to me. I’m tempted to pull out my offer and say they can have it ! What would you guys do? This is my 1st flip.

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Russell BrazilBusiness Member

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Real Estate Agent · Washington, D.C. · Member since 2012 · 17k+ posts · 30k+ votes

Too many amateurs giving you bad advice.

How does waiting til they look at the other offer hurt you other than the possibility of you losing the deal? Pulling your offer does the same thing. Why would you shoot yourself in the foot?

Therea no coincidence here. This is how real estate works. Offer comes in, listing agent sends mass email to every one that looked at the property, 2nd or 3rd offer comes in. Standard operating procedure. I just had a property listed, week 7 on the market I get an offer, and I was able to turn that into 4 offers in s 24 hour period.

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Stacey Vilardi
Residential Real Estate Broker · East Brunswick, NJ · Member since 2016 · 24 posts · 5 votes
6y
I am a NJ realtor and unfortunately that happens all the time in this state. During attorney review anyone can come in with another offer and the seller and/or the buyer can back out for any reason until you are out of attorney review. In other words it is state specific. It definitely stinks but that is the law in this state.
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Engelbert Devera
OP
Member since 2019 · 34 posts · 22 votes
6y
@Brian Haskell they received the paperwork with their asking counter price but have NOT signed the contract. So technically I don’t have a deal until they sign it correct?
0 Reply
Brian Haskell
Realtor · Reno, NV · Member since 2017 · 11 posts · 2 votes
6y
@Engelbert Devera if I understood your post correctly, they countered so you were the one with the ability to sign the deal. Once you signed and they received it then it’s done. You are now in contract.
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Engelbert Devera
OP
Member since 2019 · 34 posts · 22 votes
6y
@Steve K. Thanks man. It’s good to know that’s what they do. I’ll learn from Shark tank to know when to say “I’m out!” or fight for the deal.
1 Reply
Engelbert Devera
OP
Member since 2019 · 34 posts · 22 votes
6y
@Robby Dearth Thanks. I’ll tell my realtor to call the other party.
0 Reply
Engelbert Devera
OP
Member since 2019 · 34 posts · 22 votes
6y
@Russell Brazil Thanks that makes sense.
0 Reply
Engelbert Devera
OP
Member since 2019 · 34 posts · 22 votes
6y
@Zana Blue Thanks I agree.
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Engelbert Devera
OP
Member since 2019 · 34 posts · 22 votes
6y
@J Tessier I agree 100%. Can you contact the seller directly even if they already have a realtor? I think they have to use their realtor since they have a contract for their listing.
0 Reply
Sam B.
Member since 2019 · 106 posts · 32 votes
6y
@Engelbert Devera
Feel like this happens to me all the time. I’ve learned to just be patient and not emotional. Recently I made an offer to buy an office building at 1.7mn there were no bidders and it was on the mkt for a while. Seller was about to take my deal, and then a 2mn offer came in all of a sudden. I walked. Turns out the 2mn offer guy flaked and they are coming back to me now.
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Lydia S.
Real Estate Agent · Albuquerque, NM · Member since 2015 · 542 posts · 193 votes
6y
@Engelbert Devera @Brian Haskell
Since you initiated the written counter, you’re not under contract until the other party signs it and delivers it back to your Realtor.
1 Reply
Brian Haskell
Realtor · Reno, NV · Member since 2017 · 11 posts · 2 votes
6y
@Lydia S. He offered and they countered
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Lydia S.
Real Estate Agent · Albuquerque, NM · Member since 2015 · 542 posts · 193 votes
6y
@Brian Haskell
He clarified in a post that he received a verbal counter and then had his Realtor write that up, so only the buyer has signed it so far.
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Engelbert Devera
OP
Member since 2019 · 34 posts · 22 votes
6y
@Brian Haskell Their counter was verbal. My realtor basically had to change the number in my offer from $80K to $82K then re-submitted the offer to the seller so they can sign.
There should be a way for the counter offer to be written in my initial offer and that way I can just sign it. But it seems like the time gap of redoing the paperwork gives the seller’s realtor this loophole of ‘other offers coming in’. I would love to just sign their counter offer and be done with it. Unfortunately that’s not the case here.
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Brian Haskell
Realtor · Reno, NV · Member since 2017 · 11 posts · 2 votes
6y
@Engelbert Devera sorry, but if it wasn’t in writing it’s not binding. You will have to wait it out unfortunately.
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Engelbert Devera
OP
Member since 2019 · 34 posts · 22 votes
6y
@Sam B. So at what point did you walk out?
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Brian Haskell
Realtor · Reno, NV · Member since 2017 · 11 posts · 2 votes
6y
@Lydia S. Sorry, I didn’t read all of the replies. I was only going off of the initial post. Thanks for clarifying.
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Sam B.
Member since 2019 · 106 posts · 32 votes
6y
@Engelbert Devera
When they asked me to increase my offer!
Gotta stick to the price you feel comfort in. Lot of properties out there, you don’t want to overpay this part of the cycle
1 Reply
Hai Loc
Specialist · Toronto, Ontario · Member since 2012 · 2k+ posts · 891 votes
6y
Originally posted by @Engelbert Devera:
I made an offer today on a property that’s been sitting for some time now. The seller’s realtor made a counter offer and I accepted.
My realtor was about to send the contract with the amended price that I agreed to which is the seller’s asking counter offer.
Just a few hours into it the seller’s realtor texted my realtor saying there’s another offer coming in tomorrow.
REALLY?! Isn’t this a huge co-incidence that someone is making another offer tomorrow after a few hours of me accepting their counter offer? Smells fishy to me. I’m tempted to pull out my offer and say they can have it ! What would you guys do? This is my 1st flip.

I would say 90% of the time they are bluffing
I was in a deal that was 25 day on the market and the listing agent said the same thing to me. I couldn't believe it. The next day it was sold and she wasn't lying. I would say use instinct but also consider some factor of market conditions and how many days is the property on the market and is it close to the time when homes usually sell..
For example if it was like 90 days on the market and they told me that I would say "***"
1 Reply
Engelbert Devera
OP
Member since 2019 · 34 posts · 22 votes
6y
@Sam B. Thanks man.
0 Reply
Mike CumbieBusiness Member
REALTOR® · Brockport, NY · Member since 2015 · 3k+ posts · 4k+ votes
6y
As others have said there are alot of parts and pieces. With a contract have a "Life of offer" (It's standard in our local P&S agreement). You are telling them how long they have to shop your offer. I have done it with a 3 hour (New listing over asking, cash deal) strong offer. I have also done 30 days (Low offer, been on market awhile, don't think they will find better). Just another tool in the box. But yeah if the deal works let them shop (Because they are going to anyway).
Good luck!
1 Reply
Brian Pulaski
Flipper/Rehabber · Montgomery, NY · Member since 2016 · 2k+ posts · 1k+ votes
6y
Originally posted by @Engelbert Devera:
@Bill Brandt thanks. That’s the thing. My realtor sent the new paperwork and they haven’t signed it yet since they’re saying they’re waiting for a new offer tomorrow. It just puzzles me that they’re saying that within a few hours of me agreeing to what they countered.
But you’re right, I don’t have a deal until they sign the contract. I guess I just have to wait and see. Thanks again.

This happens all the time in this game. Houses sit for months with no action. As soon as an offer comes in, multiple offers come in. Selling realtors almost certainly shop once an offer comes in. They work for the seller and do what they can to get the highest/best deal.
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Jay HinrichsBusiness Member
Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
6y
Originally posted by @Engelbert Devera:
@Bill Brandt Hey Bill sorry for the confusion. So this is how it happened.
1-SFR listed at $95K
2- I offered $80K via contract using my realtor.
3- My realtor said the seller counter offered $82K via phone so nothing in writing.
4- I said ok let’s do it. So my realtor had to draft another offer showing the $82K and I signed it and she sent it.
5- Seller’s realtor then texted my realtor saying ‘By the way there’s another offer tomorrow just letting you know.’ So the contract with $82K offer has NOT been signed coz the other party is waiting for another offer.
yup your not in contract your starting over there was never offer written counter offer.. this is where I only work with realtors that can docusign so stuff is handled at light speed. and since your offer was 20% or more under ask its very likely another offer came in especially at that price point being these are probably rental grade type assets. it happens.. you can just let your offer stand or do a escalation clause if you really want this particular asset.. other offer probably wont have one

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Mike CumbieBusiness Member
REALTOR® · Brockport, NY · Member since 2015 · 3k+ posts · 4k+ votes
6y
Another thing to consider depending on where you live (I am in an attorney state). A majority of the contracts have an attorney approval period (Commonly 3 days) where either attorney can kill the deal because they disapprove of the contract as to form (Which means for any reason they choose). Agents still shop during those 3 days because if they get something better they ask the client to get their attorney to kill the deal and take the other one. So even if it was fully ratified here it can be cancelled within that period.
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John Clark
Member since 2018 · 1k+ posts · 1k+ votes
6y
Originally posted by @Engelbert Devera:

2- I offered $80K via contract using my realtor.
3- My realtor said the seller counter offered $82K via phone so nothing in writing.
4- I said ok let’s do it. So my realtor had to draft another offer showing the $82K and I signed it and she sent it.

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With few exceptions, real estate contracts have to be in writing. Seller's verbal counter does not bind seller. Basically, seller got you to bid against yourself. Rookie mistake on your part. Now the seller maybe has a new buyer coming in, maybe not. Don't juice your offer without a binding (written, signed) counter by the seller. Don't bid against yourself. If the seller offers to "show" you the new buyer's offer, refuse it. At this point you expect the seller to do the right thing and honor his $82k counter offer, which you accepted. If seller refuses, you walk and you don't look back.

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Nancy P.
Naperville, IL · Member since 2018 · 330 posts · 357 votes
6y
This happened to us 4 times during the foreclosure crisis, all had been on the market over 180 days. We will never know if the counter offers were real or not except in one case. First time we panicked like the noobs we were and upped our offer. Next three times we waited it out---and got two of the three. Which makes me think it was all ******** except the one time we didn't get it. We were absolutely lowballing and still won 2 out of three. (Not counting the time we upped our offer.)
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