You did everything right. You cleaned up the house and got it ready for sale. You hired a competent Realtor to handle the transaction for you. The Realtor did their thing, marketed the property properly, and produced a ready willing and able buyer.
So now your home is sold. Right? Not necessarily.
Now you may need to sell the home again.
In today’s market inventory is extremely tight. There are not enough homes available to satisfy the market demand. Therefore, it is not uncommon to have a bidding war. And what happens when a bidding war drives the price of a house up? Well if it goes up too high, the appraisal might not come in good. What I mean by that is if the appraisal said the house is worth $275,000, but the bidding war has brought it up to $290,000, this could be enough to cause the buyer to not get a mortgage.
So what happens then? Well the first thing the buyer is going to do, is to look for the homeowner to reduce the price down to the appraisal level. And then it’s up to the seller to decide if they want to reduce the price and go through with this transaction.