Acknowledgement of multiple offer buyer

Making an offer today and agent sends me the COS with this acknowledgement of multiple offer buyer form. Basically it is asking us to declare that we have been informed by REA there is another party putting in an offer and to submit our best and final offer.

First time been pushed with this form. Anyone else seen this form before in Brisbane?

 

It is a nice game rule played by RE in Queensland
If your offer was accepted by RE when multiple offer has NOT been declared, then even if there were higher offers came in, your offer was "protected" and no other could proceed until you pulled out.

 

I see this for pretty much every property I make offers on in brissie at the moment. A lot of the agents have a deadline to present your best and final offer along with that form.

 

I'm thinking is a scam of sorts. Signed a contract in a RE office and heard this multiple offer business going on at an adjacent desk. Next day I hear the same script word for word and get the same form sent to me. I offered to withdraw my offer in favour of the other party and gave a deadline. Surprise my offer was accepted. Yawn.

 

I think if you are buying a property with a twist or something special, it could well be the case of multiple offers, in which case, you will have to be competitive if you want that particular property. However if you are trying to buy something that is not special and is run of the mill, then the agent could well be bluffing.
It was even that way when I bought in Sydney last October.
In my observations, (and this is only my opinion) in Brisbane, good properties will go at or before the first open home. Run of the mill ones will still stay on the market for weeks and weeks till a buyer is found.

 

See it continuously. REIQ members are required to give it if there are multiple offers.

 

yea i just put in my contract offer with a 2 day deadline and just ignored the form. Obviously if the seller likes my price/terms, agent will get back to me. They usually ignore me and take really long to reply my emails if my offer is too low.

The APRA tightening seems to be working, usually after a week of the ad going up there are 200+ web hits for nice property in my area. This one could be considered pretty good and only 100+ hits even after first open home.

 

agent has come back to me today saying offer too low and if I increase some we can get a deal.

which means mine is the only offer and agent is trying to get my offer up without a counter-offer?

 

it would be the vendor trying for more not agent. Agents normally act as a communication device rather than negotiate

 

always thought agents were hired mainly for their negotiation skills?

If the vendor is really trying for more they should at least make me a counter-offer at or near their listing price to gauge my response??
(In QLD we negotiate with contract not with verbal or email offers/counter offers)

 

What you hire an RE for and what actually motivates them may well be at odds. Remember the RE only gets paid if there is a sale, they only get marginally more if they get a higher price. Hence many are in reality motivated to get a sale not necassarily getting the highest price for the vendor.

In terms of not naming a price, the RE is trying to stay in control of the negotiation. If they made a counter offer then no doubt you would offer something in between. By leaving it up to you they can still play the "you need to do a little better option", regardless of what offer you make.

 

they actually said they would drop 20k less than asking(2.5% discount) and still wanting me to increase my offer but just verbally and not on paper.

just told them I can't increase due to financing maxed out and why is counteroffer not in the contract. and agent said in that case offer is not accepted, there was no multioffer and form was just attached.

 

either increase your offer or stick to your price, this is the dance.

 

What if the vendor declined your offer and you really wanted the property?
In the case that you really liked the property, would you increase your offer?
If you did increase your offer, didn't you say that you "maxed" out?
That will damage your credibility in the eyes of the agent/vendor.

 

guess in such a case one could just go back with a slightly higher offer and say that after running around for a week, managed to finally obtain alternative financing which will allow some negotiation space upwards.

Would hardly think trying to obtain more financing would damage credibility?

 

Wouldn't hurt, that is if they believe you.

However when you max out now and you say I am maxed out what will the vendor think? What would you think if someone was doing this to you?