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Updated almost 7 years ago on . Most recent reply
My Higher Offer Rejected, House Went to Lower Bidder?
Hi Everyone,
I'm a new(ish) investor in the Atlanta market, buying primarily in southwest ITP neighborhoods. I've had the experience twice now where my higher offer was rejected (in a highest and best scenario) only to have the house go to a lower bidder. The properties were both rehabs in two completely different areas (North Decatur & Pittsburgh) and two completely different price points with two different seller's agents. Both offers utilized escalation clauses. The Decatur home actually went for $5,000 under my bid.
I'm trying to understand the context where the agent would reject a higher offer in favor of a lower one, so I would appreciate the expertise of any agents in the forums so that I can avoid this costly mistake again.
We've speculated that the offers may have been rejected because of the due diligence period being 7+ days, or perhaps being contingent on inspection, but have received no feedback from the agents as to the true cause. Do any of you have experience or advice in such a situation? We have shortened our DD to 3 days but I would like to learn more from the perspective of the listing agent as to what would precipitate such an outcome.
Thanks so much!
Most Popular Reply
![Bryan Blankenship's profile image](https://bpimg.biggerpockets.com/no_overlay/uploads/social_user/user_avatar/206591/1621433185-avatar-5kremodels.jpg?twic=v1/output=image/crop=714x714@41x0/cover=128x128&v=2)
In every scenario we routinely win with our Cash, no inspections, 10 day close offers. Being GCs ourselves, when we go to check out a property we know everything there is to know in 30-60 mins on site, so no need for a formal inspection.
And it helps big time.
When we sell B-C, the ONLY offers I will even entertain inspections on are retail MLS sales. Otherwise, wholetail/wholesale etc, EMD is firm day one and there are no inspections. Bring whoever you want out before you make the offer.