When you’ve found a Santa Clarita home you want to make an offer on, you may come across a multiple offer situation! This was especially common over the last few years as prices were increasing in a low interest rate environment (they’re still low FYI).

A common method a Santa Clarita home seller will use when they receive multiple offers, is to ask the buyers to provide the seller with their highest and best offer. That highest and best request usually comes in the form of a counter offer that you need to respond to. Foreclosure listings do this frequently.

Offer More $?

Just when you thought you had offered enough money, a fair price, you’re all of a sudden tasked with figuring out how much more you need to offer not just to make the seller happy, but to beat out any other offers who might also increase their initial offered price. What will they do? What will you do? What can you do?

Let The Market Value Be Your Guide

It really helps to work with a local Santa Clarita real estate pro who can guide you on the home’s true market value. Unless you’re in a particular pinch housing wise and are willing to pay even more than the fair market value, you should listen to the advice of your agent as to how your initial offer compares to recently sold comps and to the actual value of the home you’re making an offer on. Perhaps your initial offer was lower than its fair market value? Maybe it was spot on? The market has been appreciating. Home values have been going up generally. Some buyers will pay a bit more than market value (over the last sold comps) if they feel prices will continue to climb.

But, what will you do? There is no right answer.

You have to ask yourself how much you want and or need the home. When you’re in a multiple offer situation, and being confronted with a highest and best counter offer, you should ultimately do what makes you feel comfortable. Keep in mind, that if your offer includes an appraisal contingency, then whatever amount you offer will have to be supported by an appraiser’s findings.

Multiple offer situations are still happening in the Santa Clarita real estate market. Nice homes sell fast, and often times for over the asking price. Buyers are willing to pay a premium for their dream home! If you’ll pay a premium for a nice dinner, wouldn’t you do the same for a home?

If you’re in the market for a home in the Santa Clarita Valley, keep alert for home listings are priced to sell and or have amazing upgrades and locations…. a highest and best multiple offer situation may be lurking. It’s just part of the market.

Need help with your next real estate purchase or home sale in Santa Clarita? ASK Robert! I can be reached today at 661-373-2374.