How Do I Compare Offers When Selling My House?

The highest offer isn't always the best one. The best offer is the one most likely to close, at a net number you're happy with, on a timeline that works for you. To compare, line the offers up on price, financing, contingencies, deposit, timing and what you'd pay in concessions.

If you're lucky enough to have more than one offer, it can feel exciting and stressful at the same time. A clear checklist helps.

1. Look at your net, not just the price

A $450,000 offer with a $10,000 request for closing cost help nets you about the same as a $440,000 offer with none, before anything else. Ask your agent for a net sheet on each offer. It should include commission, taxes and fees, any concessions, and your mortgage payoff. I wrote about that in how much you'll net when you sell in Maryland.

2. Check how the buyer is paying

• Cash. Fewer moving parts, often faster. Ask for proof of funds.
• Conventional. Common and generally reliable with a strong pre-approval.
• FHA or VA. Fine for most homes, but the appraisal and repair requirements can be stricter. A good offer is a good offer, so look at the buyer's strength, not the loan type alone.
• Down payment. A bigger down payment usually means less risk if the appraisal comes in low.

Ask for the pre-approval letter and have your agent speak with the lender. A letter from a well-known lender that actually vetted the buyer means more than a generic one.

3. Read the contingencies

Contingencies are the buyer's exits. The more there are, and the longer they run, the more chances there are for the deal to change.

1. Inspection. Standard, but the length matters. A shorter window is cleaner for you.
2. Financing. Check the deadline for the loan commitment.
3. Appraisal. Does the buyer agree to cover a gap if it appraises low? Ask.
4. Sale of their home. This adds risk, since your deal depends on someone else's.

4. Look at the deposit

A larger earnest money deposit shows commitment. If a buyer backs out outside their contingencies, a bigger deposit can matter to you.

5. Compare timing and possession

Does the closing date fit your move? Does the buyer want to close fast, or would they give you time after closing to move out? Sometimes a slightly lower price with a better timeline is worth more to you, especially if you're buying another home.

6. Watch for escalation clauses and extras

Some offers include an escalation clause that raises the price up to a limit if there are competing offers. Others ask for appliances, repairs or credits. Add those up.

7. Don't forget the human side

A personal letter from a buyer is nice, but the decision should rest on the terms. Your agent can also go back to one or more buyers and ask for their best and final, or negotiate specific items.

A simple comparison table

Make a quick grid with a row per offer and these columns: price, loan type, down payment, deposit, inspection days, appraisal terms, closing date, concessions, estimated net. Seeing it laid out usually makes the best choice obvious.

FAQ

Should I always take the highest offer?

Not always. A slightly lower offer with stronger financing and fewer contingencies may be a safer path to closing.

Can I counter more than one offer?

Generally yes, but the rules and risks matter. Talk it over with your agent first so you don't create a conflict between contracts.

What does best and final mean?

It means each buyer is asked to submit their top terms by a deadline. It's a common tool when there are multiple offers.

Is cash always better?

It's often cleaner, but not always the highest. Compare the net and the proof of funds.

What if all the offers are low?

Look at the market feedback. A counter or a price adjustment may be a better plan. See what to do if your house isn't getting offers.

Next step

Want help setting a price that draws strong offers in the first place? Start with my seller pricing analysis or contact me. You can also book a free 15-minute call at calendly.com/michaelwaderealtor/15min. No pressure.