Your Accepted Offer
What may happen between having your offer accepted and signing a contract? What is fair?
In New York, an accepted offer to purchase property is not binding and does not include monetary consideration. First, there is an attorney due diligence and contract negotiation period.
During this period, which can last 3-7 business days, things can happen.
Fewer available properties in today’s market means more showing requests. It is common practice for a seller’s agent to continue to show to interested parties before a contract is signed.
It is fair to continue showing after an accepted offer, provided lookers are told about it. After all, it can go both ways during due diligence, and the accepted buyer may walk for any reason.
It may also be fair for a seller to entertain a new and higher offer during this period, provided the previously accepted party is treated fairly and given a chance to match it first.
This is where taking proper care of the situation is key. There is risk of alienating the first bidder, and even worse, ending up with nothing.
A listing agent only showing “for backup” after an accepted offer is our preferred method, provided due diligence is moving along.
This allows for fairest treatment, especially when the accepted offer was obtained through a “Best and Highest” sealed bid.