How Do I Evaluate An Offer?

When your home hits the market, there's nothing more exciting than receiving an offer, perhaps even multiple offers. However, before you pop the champagne, it's important to look past the headline number and carefully evaluate what’s really being presented. The truth is, the best offer isn’t always the highest one. From contingencies to closing timelines, there’s a lot to unpack.

At Crescent Title, we’ve guided thousands of homeowners through the final stages of their real estate transactions. Here’s what we recommend when it’s time to evaluate an offer.

Look Beyond the Price: What to Consider First

The offer price is important, but it’s just the tip of the iceberg. Sellers should consider the full structure of the deal. A few key elements to assess:

Offer Price: Obviously a critical factor, but not the only one.

Earnest Money Deposit: A good-faith deposit that shows the buyer’s commitment.

Contingencies: Conditions the buyer needs to meet before closing, which can affect how easily the deal moves forward.

Timeline: When does the buyer want to close, and does it align with your needs?

Contingencies: Are There Too Many Strings Attached?

Contingencies are standard in most offers, but too many can make a deal fragile.

Common contingencies include:

Financing: If the buyer doesn’t secure their mortgage, the deal could fall apart.

Home Inspection: Gives the buyer the right to negotiate or walk away based on the results.

Appraisal: If the home appraises below the offer price, financing may fall through.

Sale of Buyer’s Home: Adds extra uncertainty to your timeline.

Fewer contingencies often mean a more secure and faster closing.

Financing Type: Is the Buyer Really Qualified?

A cash offer typically carries less risk and can close faster, but well-qualified buyers with financing can also be a great fit.

Cash Offers: No lender involvement, fewer delays.

Conventional Loans: Generally reliable, especially if the buyer is pre-approved.

FHA or VA Loans: Helpful for buyers but can involve stricter property requirements.

Your real estate agent can help verify the buyer’s financial strength to gauge how solid the offer really is.

Closing Timeline: Does It Work for You?

The proposed closing date should work with your schedule, especially if you're buying another home or relocating.

Need more time to move? Look for a flexible buyer.

Need to close fast? A cash buyer or one with no home-to-sell contingency might be best.

Every day matters when you're coordinating your next step, so make sure the timeline is realistic.

Net Proceeds: What Will You Walk Away With?

A $10,000 higher offer might sound great, but not if it's packed with fees or costly repair demands. The key number is your net proceeds: what you’ll actually walk away with after taxes, fees, commissions, and repairs.

Your agent or title team can create a seller net sheet to estimate your bottom line. At Crescent Title, we also help clarify how closing costs will affect your take-home amount.

Red Flags to Watch For in an Offer

Not all offers are created equal. Keep an eye out for:

Low Earnest Money: A weak sign of buyer commitment.

Excessive or unusual contingencies: These can cause major delays or even cancellations.

Aggressive repair demands or credits: Could be a red flag the buyer expects a renovation, not a move-in ready home.

Poor communication or vague terms: If things feel uncertain now, they’ll only get more complicated later.

When to Negotiate vs. When to Walk Away

Sometimes a counteroffer can turn a decent deal into a great one. But there are also times when walking away is in your best interest.

Negotiate if the buyer seems serious but just needs a few adjustments.

Walk away if there are too many uncertainties or red flags that could derail the deal.

Focus on your goals: whether that’s top dollar, a fast close, or minimal stress.

How Crescent Title Helps You Cross the Finish Line

Once you’ve chosen the right offer, Crescent Title is here to ensure everything goes smoothly. Our experienced team manages the title search, clears up any legal issues, prepares closing documents, and coordinates with all parties to bring the deal home.

With Crescent Title on your side, you’ll have peace of mind knowing that every detail, from title insurance to the final signatures, is handled with care and precision.

Signed, Sealed, Delivered: Let’s Make It Official

Evaluating an offer doesn’t have to be overwhelming. When you know what to look for (and have the right team behind you), you’ll feel more confident in your decision. If you're preparing to sell or in the middle of negotiations, let Crescent Title help you close with confidence.