Understanding Offers: What to Look For Beyond the Price

🌄 It’s More Than Just the Price Tag

Putting your home on the market in Northern Arizona—whether in Flagstaff, Prescott, Sedona, or Cottonwood—can feel like a whirlwind. When offers start rolling in, your first thought might be, "Which one offers the most money?" But a higher offer doesn't always translate into a better sale. Here's how to evaluate every offer from a bigger-picture perspective so your sale stays secure.

🏦 1. How Solid Is the Financing?

Offers backed by cash or strong pre-approval are the most reliable. When buyers already have a lender approval in hand, you're less likely to see the deal fall apart later, especially if an appraisal comes in low.

Don't overlook the details. A pre-approval letter is more meaningful than a pre-qualification—it shows a lender has verified their income and credit—that's the real deal.

🧾 2. Contingencies: How Many and How Long?

Contingencies give buyers a way out if something goes wrong. Common ones include inspection, appraisal, and loan approval clauses. Fewer or shorter contingency periods make for a smoother sale 

• Inspection contingency: Allows buyers to back out or negotiate if they find problems.

• Appraisal contingency: Let buyers renegotiate or walk away if the home appraises under the offer price.

• Financing contingency: Gives buyers time to secure a loan, usually 30-60 days.

Sellers in this market often prefer offers with fewer layers of protection.

⏰ 3. Does the Closing Timeline Fit Your Move?

Does the offer timeline align with your plans? Maybe you’re upsizing or waiting to move out. A quick close could be appealing—but so could extra time if you’re not ready to leave yet.

Timing isn't just a detail—it can make or break your ability to move smoothly.

💵 4. Earnest Money: How Much Skin Are They In?

Earnest money is a buyer's good-faith deposit—usually 1–3% of the sale price. A larger deposit signals a serious buyer and often comes with fewer walk-away risks.

📜 5. Special Clauses: What Else Is in the Fine Print?

Buyers may include additional terms like

• Appraisal-gap guarantees—to cover the shortfall if the appraisal comes in low

• Escalation clauses—to automatically outbid competing offers

• Rent-back agreements—allowing you to stay in place for a while after closing

• 72-hour kick-out clauses—so you can keep marketing until the buyer removes contingencies

These terms can help or complicate your sale. It pays to review them carefully.

📊 The Bigger Picture

Here’s a handy comparison to evaluate each offer’s strength:

Offer Element	What to Look For
Financing	Cash or strong pre-approval is lower risk
Contingencies	Fewer and shorter = smoother sale
Timeline	Must align with your move-out schedule
Earnest Money	A higher deposit shows serious intent
Special Clauses	Understand how add-ons affect your sales outcome

🧠 Why It Matters

A high-priced bid might collapse if a buyer’s loan falls through or a contingency isn’t met. On the other hand, an offer with slightly lower numbers but stronger terms can be more dependable and help you close without headaches.

✅ Final Thoughts

In our fast-moving market, the best offer is the one most likely to close. That means looking beyond price to the security and certainty of each deal. Let’s review offers carefully so your final decision supports your timeline, your peace of mind, and your wallet.

Ready to Make Your Move?

Whether you're just starting to explore or you're ready to put in an offer, having the right guide makes all the difference. Let’s connect—I’ll help you navigate the Northern Arizona market with confidence, clarity, and a strategy that fits your goals.

Free Consultation