How to Review Offers Like a Strategic Seller

Price is only one piece of an offer. The strongest offer isn't always the highest one. Here's how experienced sellers evaluate competing terms and protect their bottom line.

By Shasta Greene · April 8, 2026 · 7 min read

When an offer arrives, the instinct is to focus on the number. But in real estate, terms can be more valuable than price — or more dangerous. A $50K higher offer can turn into a headache (or a cancelled deal) if the terms are weak. Here's how to think about what you're actually agreeing to.

Price vs. Net Proceeds: Know the Difference

The offer price is not your net. Deduct your costs (commission, escrow, title, transfer tax, credits, and repairs) to get your real number. A $1,000,000 offer with $20,000 in seller concessions and a $10,000 credit nets the same as a $970,000 clean offer. Your agent should model this for every offer received.

Contingencies: What They Mean and Why They Matter

Contingencies protect the buyer — but they create risk for the seller. The three main ones: inspection contingency (buyer can cancel if they don't like inspection results), appraisal contingency (buyer can cancel if appraisal comes in low), and loan contingency (buyer can cancel if financing falls through). Fewer contingencies = stronger offer, all else equal.

Earnest Money Deposit

A larger earnest money deposit signals a serious, committed buyer. In OC, typical EMDs are 1%–3% of purchase price. Buyers who put up $30K on a $1M purchase have significant 'skin in the game' — they're unlikely to walk away without a strong reason. A low EMD on a high offer can be a yellow flag.

Close Timeline

Your ideal close date matters. If you need 45 days to coordinate your move, an offer demanding a 21-day close creates stress and potential complications. Conversely, if you're in a hurry, a buyer offering a quick close has real value — even if their price is slightly lower.

Financing vs. Cash

Cash offers eliminate appraisal and loan contingencies — two of the most common causes of deal failures. A cash offer at $950K may be more certain than a financed offer at $1M if the appraisal risk is high. Your agent should help you assess the probability of each offer closing successfully.

Shasta Greene is an Orange County, California real estate advisor and REALTOR®, DRE #02174153.