Multiple offers
When a seller gets more than one offer at the same time. Sellers may ask for highest and best, and buyers compete on price, terms, and contingencies.
Also called: bidding war, multiple offer situation, highest and best
Related terms
A buyer's written proposal to buy a property at a stated price and terms. It becomes a binding contract only when the seller accepts it as written and both sides sign.
An offer term that automatically raises the buyer's price by a set amount above any competing offer, up to a cap. Sellers usually need to show the competing offer to trigger it.
A market with more buyers than homes for sale. Homes sell fast, often with multiple offers, and buyers may need to offer above list or waive conditions.
A promise by the buyer to pay some or all of the difference in cash if the appraisal comes in below the price. It makes an offer stronger but means bringing more money to closing.
A deposit the buyer puts down after the offer is accepted to show they are serious. It is held in escrow or a trust account and usually goes toward the down payment or closing costs at closing.