Prepare your sellers to understand that an accepted offer doesn’t mean that they should stop trying to sell their house. They may be confused by why you’re encouraging them to proceed with showings when there is an accepted offer on the table.
But no deal is officially done until you’re at settlement and handing over the keys.
“Until all contingencies on a contract are removed, anything can happen,” Jane Peters, a broker and owner of Home Jane Realty in Los Angeles, told realtor.com®. “Each side has to meet certain contractual obligations, and if one side doesn’t, then the other side can initiate a cancellation of the contract.”
Any number of reasons could potentially jeopardize a sale. For example, the parties may disagree over repairs after an inspection, or the buyer may not be able to get approved for financing and have to back out. The home may not appraise for the contracted price, which may make the buyer want to bail out. Buyers who have a contingency that they must sell their house before the contract can proceed may be unable to.
That is why many real estate pros say they’re encouraging their sellers to continue on with showings even after an offer has been accepted. Some real estate pros will even include a “kick-out” clause in their contracts. The clause says that although you’re currently under contract, you’re allowed to kick out the buyer if a better offer that comes along during the contract period, explains Christy Murdock Edgar, a real estate professional in Northern Virginia and Washington, D.C.
“In a seller’s market, with multiple offers on many properties, there should be no shortage of backup offers waiting in the wings,” Peters told realtor.com®. “Until all contingencies have been removed during escrow, continuing to show the property is advisable.”
Source: “With an Offer on the Table, Is It Still Wise to Show Your Home?” realtor.com® (Sept. 12, 2017)
