Maryland Home Improvement PSI Practice Exam

What can a property owner do if they receive a better offer while the original buyer is considering a counteroffer?

1. Accept the second offer outright

2. Withdraw the counteroffer before it is accepted

3. Inform the first buyer to revise their offer

4. Notify the first buyer of the new offer

The correct answer is: Withdraw the counteroffer before it is accepted

If a property owner receives a better offer while the original buyer is considering a counteroffer, withdrawing the counteroffer before it is accepted is a legitimate and appropriate action. The property owner is not obligated to keep the counteroffer open once a better offer has been presented. By withdrawing the counteroffer, the owner effectively removes it from consideration, thus freeing themselves to negotiate with other potential buyers. Once the counteroffer is withdrawn, the original buyer no longer has the right to accept it, allowing the owner to proceed with discussions regarding the new offer. This maintains the owner's ability to maximize their return or finalize a sale that best meets their needs. If the counteroffer had already been accepted, the situation would be different, as a binding agreement would be in place. However, while the first buyer is still considering the counteroffer, the owner retains the right to change their position.