Multiple counter offers: The last several transactions I have been involved in have all involved multiple offers. Buyers tend to be frightened by the concept of multiple offers fearing that they will get drawn into a “bidding war” and end up paying twice what the house is worth. Sellers salivate over the idea of getting multiple bidders to pay twice the market value for the 3 bedroom, 2 bath gem they are trying to sell. Both need to take a deep breath. Yes prices go up during a multiple offer situation… but not by that much. Here is why: Buyers approach home buying with a budget, and I have yet…

Escalation clause In a tight housing market like the one in Madison right now, where seemingly every home has 2 or 3 offers on it, various negotiation techniques are employed by agents trying to get the best deal for their clients. One of the newer techniques being tried out is the escalation clause. A buyers agent will place a clause in the offer to purchase that says something to the effect of “in the event of multiple offers on XYZ property, the purchase price is increased to the highest purchase price of the other offer(s) plus $1000, up to a maximum of $275,000.” It is sort of like bidding on…

  “We need a home with a grow room.” “We need a home with a dungeon.” “We need a place where my wife, my girlfriend, her girlfriend, and I can live together and have a private studio where we can have sleepovers with occasional others from time to time.” I am completely comfortable fulfilling each of these requests (and more – send me ALL unusual requests!) – and so far I have been successful with 2 of the 3. Still working on the last one, four master bedrooms is a tall order… The problem I have encountered – none of these folks came out and told me what they were…

It’s HOT! Every time I find myself at a party, a get-together, or a networking event and people find out I am a REALTOR®, they ask one question – “How is the market?” In short, the market is hot, despite the numbers. The Wisconsin REALTORS® Association just released their May numbers. The numbers show that existing home sales are down, but prices are up. At first blush, lower volume sold looks like a slowing market, but not when you realize WHY the numbers are down – there are simply not enough houses to sell. In Madison, particularly in the first-time-buyer market there are tons of buyers in the marketplace, and…