As an agent trying to get an accepted offer right now it can be really difficult. Remember we are there to educate our clients on all options and explain all the risks involved. We are seeing lots of homes get offers with little to no contingencies. While this is great for the seller it is not always wise for the buyer.
Removing a home inspection is a very powerful way to get an offer accepted. That said it comes with massive risks no matter the age or visible condition of the home. As a real estate agent we always want to ensure we allow our clients to know they have the right to waive the inspection. When we do this we want to explain the risks involved. What we do not want to do is instruct them to waive it. It is their right and their choice not ours. If you do so you open yourself and your broker up to a lawsuit.
Removing the appraisal is another great way to get an offer accepted. In an upward trending market sellers fear the appraisal coming in low and breaking the deal apart or causing need for further negotiations. When explaining the removal of an appraisal to your buyer clients make sure to explain all the risks including “paying too much”. When you are looking over this option also explain the cash to close implications this can cause. The other party you want to discuss this with is their lending institution. When an appraisal misses the person will have to have cash on hand to make the numbers work. Checking this number ahead is crucial to keeping the client safe.
In both these scenarios it goes without saying that the most important decision maker is the client. If they have further questions on these subjects you should always have them consult an attorney and oftentimes their lender. Do not step out of your lane as a real estate agent and make decisions for them. I know it is hard to get an offer accepted but it is even harder to face a lawsuit after one is accepted and your buyer feels wronged.
2021 is a great year in real estate. If you are looking to grow your business even further please check out our Podcast, Facebook Group, Newsletter, and Website all found at www.realfactsonrealestate.com . Please leave any questions or comments below.