patrick.net

Malkovich says

she already has two all-cash offers for this short sale

What is new about it? Say good luck to her unless you wanna join the phantom bidding frenzy where most bids are non existent.

Someone answer a noobish question: how can there ever be more than one all-cash offer at full price?

Once someone makes a cash offer, are they not committed to buy at that price? And isn't the seller, having listed the property at that price, committed to selling it?

What exactly is being evaluated when an all-cash offer comes in? The buyer is going to make the offer contingent on the house meeting building codes, not being infested with termites, etc., etc., but assuming that that stuff goes well, the buyer has no reason to back out.

The only reason I can see someone making another, higher cash offer when there's already one at the asking price is if they don't have the conditions that the first buyer has. But who would buy a house that fails standard safety/integrity checks?

Or does a higher offer get to jump to the head of the line if it comes in while the original buyer's conditions on the state of the house are still being checked?

Michinaga says

Someone answer a noobish question: how can there ever be more than one all-cash offer at full price?

Once someone makes a cash offer, are they not committed to buy at that price? And isn't the seller, having listed the property at that price, committed to selling it?

What exactly is being evaluated when an all-cash offer comes in? The buyer is going to make the offer contingent on the house meeting building codes, not being infested with termites, etc., etc., but assuming that that stuff goes well, the buyer has no reason to back out.

The only reason I can see someone making another, higher cash offer when there's already one at the asking price is if they don't have the conditions that the first buyer has. But who would buy a house that fails standard safety/integrity checks?

Or does a higher offer get to jump to the head of the line if it comes in while the original buyer's conditions on the state of the house are still being checked?

The two cash offers could have come in simultaneously without knowing about each other.

And just because a cash offer over asking price is received, the seller doesn't have to accept it (though the selling agent will often insist on being paid in this circumstance, regardless of whether the property is sold or not). The price is not the only part of the equation -- the buyer could have unreasonable contingencies or other requirements, like wanting to close in three days (or three years), demanding that the seller fix every little thing discovered during inspection, etc.

When working with banks (REOs or Short Sales) there is typically a minimum time the house is kept on the market, and a specific day all offers are considered. A house I bid on had 4 cash offers. They took the highest cash offer with ZERO contingencies and a 30 day or less close.

This stuff is becoming normal in the Bay Area...again.