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I would not accept a contingency on them selling, having a contract to sell, whatever. Unless you continue to show and have a kickout as described above. Best season is just starting. You don't want your house off the market now.
agree with the lower price $230000, and NO contingency to have a contract to sell before they close on your home. You have to show that you are ready to take a lower price instead and see if they take that bait.
Giving them extra two weeks probably means nothing to them.
How does the realtor feel about them walking away if there are no contingencies? There is a good chance they may not sell the house and then you would lost time and a buyer.
I would rather take a solid offer even if lower, than wait for some 'bird in the bush'.
ofcourse, your folks may or may not take thier chances....best of luck!
But another little piece of advice an old-timer gave me, something that has proven correct over the years, more often than not: your first offer is typically your best offer.
That has not been our experience at all. We've turned down several offers on the last two homes we sold before getting our asking price.
Neighbor's house fell out of contract a month ago because of some water issues which were resolved. She resolved it. Put it back on the market and got $3K more.
How about this? Keep price closest to list price, allow whatever concessions you want. Allow a contigency for sale of the buyers house with the caveat (in the counter) that you can sell instead to anyone who offers full price. (I guess this is the kick-out clause).
This way you can accept a subsequent offer without a contincency clause while still having the option of offering no closing costs to the second buyer. That will net you a higher return on sale as well as a quicker sale (assuming financing, etc.). It will also encourage the first buyers to get busy in selling their own home, or, to remove the contingency clause.
unless the listing agent of your parents home is also representing the buyer, then suggest to your parents that they follow the advice of the listing agent.
Make your counter a financial one; no contingency.
They want to buy your house, with a contingency on going to contract on their home, which isn't even listed. What happens if they do list it, and get a contract, and two days before closing on your house their contract falls apart? Does that mean they have "no contract" and therefore are not obligated to purchase your home, even though you may have already moved out?
My experience has been that you don't want to get involved in things which you don't control. In this case, you don't control when they list their house, what price they list it for, nor who their buyer (and what contingencies THEY might have (like selling THEIR home) in their contract. In essence, your house is tied up with a potential buyer who has events which must happen, but you have no control over those events taking place. My experience in asking questions--such as to THEIR realtor about "how is it going" usually meets with "I can't talk to you about their sale." True that, but VERY frustrating.
A contingency on a sale of your buyers house is just an exercise in frustration. I took a similar contingency and the buyer dragged their feet on listing, then listed it high, had only a handful of showings, and no offers. To me it meant everything; to them it was a "whatever" situation. Too much aggravation for a deal that never closed. Realistically, they weren't a buyer. They were a wisher, regardless of the fact that their daughter lived around the corner from me. So what!
Counter with a financial deal, with no "sale" contingency.
It would be a pretty good offer IF they didn't have a house to sell.
I would counter with whatever makes you feel comfortable but add a kick-out clause and a stipulation that you will keep showing YOUR house.
I also think you need to reconsider YOUR list price. Regardless of how desirable the neighborhood is, all carpet, original 1980s baths and original kitchen finishes are big negatives. If you KNOW it will take at least $50K just to update it and you really want to sell it, reducing the price by $1K with an allowance isn't really going to help that much.
Yes to the kick-out clause for what its worth. House will have to show as contract pending so that will reduce number of people who want to see it and probably realtors who want to show it. Maybe offset by the fact inventory is low.
I thought the $1K reduction with allowance was strange also. Realtors suggestion. I think but am not sure that when they do changes like that it pushes the on-line listings to the top somehow and it did create another small flurry of showings.
Realtor insists the price is good and sold comps for similar houses in need of similar updates and having the same negatives seem to bear that out.
So what does 'a contract to sell' mean? Their buyer's home inspection went well? The appraisal went well? Their buyer doesn't have to sell a house to buy their house? Or just that initial contract?
Would your counter offer include when the buyers' home has to go on market? Or is it up to the buyers who may be very neat but therefore, say, might feel more thorough cleaning and yard work needs to be done before listing their home?
On the face of it, these buyers are putting too much store in the benefit of having a 'contract to sell'. Maybe in your area things work out once there is a contract. But I'm familiar with that not being the case at all. Too many variables for things going wrong.
Friends just thought they had a deal going well. Seemed simple. Price range about yours. The buyers had buyers for their own home. All the nit picky parts were worked out as far as what lights were being kept, what appliances could be left even though someone wasn't crazy about it...on both the buyer's home and on my friend's/seller's home.
The buyer's Realtor is experienced, got a fair price, valid comparables. Somehow the appraiser went crazy and priced the buyer's house $10,000 below what they all had expected. (In this price range every $1000 matters). The appraiser was called in from out of town because of how busy they all are. No one can figure how he thought he should use the comps he did. But try disputing...not happening or not happening any time soon.
So the buyer will not sign to easily let the sellers, my friend, out of the contract (they're not even interested in getting back their deposit and moving on) so the sellers have to take action themselves. The buyers also don't want to easily let their own buyers out of the contract, hoping for that disputed appraisal any day now...won't happen. So the buyer's buyers have their own action going to get back their deposit. Meantime, my friend's house is back on the market but still working on getting that release. And the buyer's buyers are looking actively for another house, still interested in getting back that deposit.
And, in all this, is the central Realtor and my seller friends and the buyer's buyer wondering if my friend's buyers have even been told anything about all this by their Realtor.
The actual language is "Contingent on buyers home being under contract at the time of closing with a closing date specified 8 weeks from now."
Havent discussed specifying when they put it on the market. I hear you on all the complications that could arise. I think things tend to go well around here more often than not, but I know the opposite could happen.
Unless you are desperate to sell or think you won't find other offers you should wait for a better offer or not accept the contingency of them selling their home first. If you don't then you have to worry about not only them selling their home, but their buyer being approved. What happens if you are 44 days into the process of them finding a buyer and their buyers loan falls thru or they can't sell because their appraisal is low?
Exactly my concern. You are back to square one and the house will be all torn up because you are planning to move out.
Or worse, you have a buyer who now wants an extension or two on the closing date.
House is paid for and carrying costs are very low. I'm more concerned with all the stress this limbo situation will cause for my elderly parents as well as the associated aggravation to me.
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