How do competing offers work in Nova Scotia Real Estate?

Dated: February 26 2024

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In the greater Halifax real estate market, we still have a seller's market - mpore buyers than homes for sale gives seller's the advatage. This is particualrly true in the $500,000 and under category and we are now regularly seeing competing offers in homes in this range.

The dynamics of competing offers can vary depending on market conditions, property types, and local customs. Here's an insight into how competing offers are typically dealt with in the Nova Scotia real estate market.

In Nova Scotia, when multiple buyers express interest in a property and submit competing offers, the situation often leads to what is known as a multiple offer scenario. In such instances, both buyers and sellers rely on real estate agents to navigate the process effectively and fairly. Agents play a crucial role in advising their clients on strategies to maximize their chances of success while adhering to ethical standards and legal obligations.

It is important to note that in Nova Scotia, offers are confidential, so the sellers cannot disclose the contents of any offer to any other persons, including other potential buyers. They are allowed to disclose that they ahve multiple offers.

One common practice in Nova Scotia is for sellers to set a specific date and time for reviewing offers. This allows all interested parties to submit their bids within a designated timeframe, creating a transparent and structured environment for negotiations. In some cases, they will alert all buyer's agents to the fact that there are now multiple offers, and give buyers a chance to revise their offers if they wish.

Once all offers have been submitted, the seller, often in consultation with their agent, carefully evaluates each proposal based on various factors such as price, financing terms, closing timeline, and any additional conditions or contingencies. Sellers may also consider the strength of pre-approvals, down payment amounts, and the overall financial stability of prospective buyers.

In Nova Scotia, as in many other jurisdictions, sellers are not obligated to accept the highest offer. Instead, they have the freedom to choose the offer that best aligns with their priorities and preferences. While price is undoubtedly a crucial factor, sellers may also prioritize other terms and conditions that contribute to a smooth and favorable transaction.

In competitive situations, buyers may employ different strategies to make their offers more appealing to sellers. Some may offer above asking price or include a sizable deposit to demonstrate their seriousness and commitment. Others may waive certain conditions (e.g. home inspection) or offer flexible closing dates to accommodate the seller's timeline.

In the end, the seller's will choose th eoffer that appeals most to them. I t is also possible that they will offer a back-up position to another offer. this offer only omes into play if the first offers fails to firm up.

If you'd like to learn more about some of the terms, processes and practices invloved in real estate in Nova Scotia, check out mhy insagram page for the Real Estate 101 series of short videos. You can find me @cherylcookrealtor

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Cheryl Cook

Growing up in a military family means you understand the challenges of moving home. An award-winning REALTOR® with a background in interior design, Cheryl Cook has a proven track record for helping b....

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