Multi-offer process and form
What is a multi-offer and how does it work?
What is a multi-offer and how does it work?
When a property is for sale and more than one purchaser indicate that they wish to put an offer on the for sale property, it is called a multi-offer. The moment the salesperson is aware that a multi-offer situation might arise, he/she is legally obliged to let all potential purchasers know that they are in a multi-offer. Notification of a multi-offer situation must contain a deadline date and time (roughly 48 hours from notification). All purchasers are also obliged to sign the multi-offer acknowledgement form (available on this page). By the deadline all offers must be received by the salesperson, fully signed by the purchasers. Late offers can not be allowed as that would not be fair.
Once the salesperson received all the signed offers, he/she presents all offers at the same meeting to the vendor. The salesperson or the manager might present offers. In a multi-offer situation, all purchasers must ensure their first offer is the best possible offer as the vendor can only select one potential purchaser to negotiate further with. A multi-offer often results in offers over asking price. The vendor might choose to decline all offers in the multi-offer if they want. All control is with the vendor during this process. The multi-offer situation can arise on a primary offer or a back-up offer and the salesperson is legally obligated to follow the multi-offer process.
Purchaser multi-offer acknowledgement form
Purchaser multi-offer acknowledgement form