5 Reasons Why a Buyer’s Full Price Offer was Rejected

Home buyers who submit a full price offer on a home may wonder why their offer was rejected. Some may even think the seller has to accept their offer because it was full price. First and foremost, a seller can reject any offer they want, even if it’s full price. Second, there are other terms to an offer besides the price. Sometimes those other terms can be a deal-breaker for the seller. Below we discuss the 5 most common reasons a buyer’s full price offer was rejected.

5 Reasons Why a Buyers Full Price Offer was Rejected

No Proof of Funds

Before starting their home search most buyers get pre-approved for a mortgage unless they’re paying cash. However, a few buyers don’t think it’s necessary before they start looking. Although every seller wants to make sure the offer they accept is from a qualified buyer who’s been pre-approved. So if a buyer submits an offer, but isn’t pre-approved, the seller may reject it regardless of the price.


There are a lot of different contingencies a buyer may include in their offer. There are some pretty standard contingencies like a home inspection contingency or a finance contingency. However, there are also more significant contingencies that aren’t common, like a home sale contingency. If a home buyer has one or more contingencies a seller may reject their full price offer.

Be Prepared when Buying a Home Have your Ducks in a RowSeller Concessions

Some buyers can’t afford to pay their own closing costs or don’t want to, so they ask the seller to pay for a portion or all of their closing fees. This is where a full price offer may technically not be a full price offer.

If a buyer offers list price but asks the seller to contribute $10,000 toward their closing fees the seller is netting $10,000 under list. Now, some buyers understand offering full price and asking for seller concession isn’t really a full price offer. So they’ll add the number of seller concessions they’re requesting onto the top of the list price. However, even though a seller may still net their list price they may still reject the above full price offer.


An escrow deposit, also known as an earnest money deposit, is the money a home buyer puts down as a sign of good faith when purchasing a home. Some buyers don’t understand why they need to put money down up front. Some even feel it’s unnecessary, so they offer $0 or an amount well below the customary. When a buyer puts little to no money in escrow a seller may reject their full price offer.

Closing Date

Not all home sellers have a flexible close date, some need a quick close while others may need an extended closing date. So if the buyer’s desired closing date doesn’t line up with the seller’s desired closing date their full price offer may be rejected. Finding out when a seller wants to close or needs to close can usually be answered by making a phone call to the listing agent, so before a buyer submits a full price offer they should find out when the seller wants to move.

Final Thoughts

Be prepared! Never assume a full price offer will be accepted. Have a pre-approval letter or proof of funds in hand prior to looking at homes. Understand the market conditions and limit contingencies. Know what escrow amount is customary for the area and possibly offer more. Have money to pay for closing costs. Know when the seller wants to move.

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About the Author

The above real estate article “5 Reasons Why a Buyer’s Full Price Offer was Rejected was written by Michelle Gibson of Wellington Florida Real Estate. Specializing in residential real estate since 2001 in Wellington and the surrounding area. Not only does Michelle assist buyers and sellers, she assists landlords and tenants too. She would love to share her expertise and guide you through the entire real estate process.

We service the following areas; Wellington, Lake Worth, Royal Palm Beach, Boynton Beach, West Palm Beach, Loxahatchee, Greenacres, and more. If you are considering selling your home, we welcome the opportunity to work with you and list your home with a top Realtor in Wellington Florida

2 thoughts on “5 Reasons Why a Buyer’s Full Price Offer was Rejected”

  1. Very good points and they all have happened to me as a seller.
    On top of the earnest money deposit, I also require a Due Diligence fee. It may seem a little obnoxious, but here is what happened to me twice (I’m even ashamed to say that it happened more than once…). We are currently in a seller’s market and the buyers have a hard time to find the house they dream about at the price they can afford. Two of my buyers signed PSA’s and then, without my knowledge of course, a second PSA with another buyer “just in case”. Well, one of the buyers disappeared. Literally. Even his realtor could not find them anymore. AWOL. The second buyer decided that the location of the second house was more appealing and decided to cancel the contract. I had to reimburse the EMD and put the house back on the market. I don’t have to tell you about the expenses of holding a house… Hence, the requirement of a Due Diligence fee now. If they refuse that clause, I go to the next buyer. It is that simple.

  2. Great information to share with buyers that need a little help getting their offer noticed! We had a buyer loose a house because they did not want to put anything in escrow.

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Michelle Gibson Wellington Florida REALTORMichelle Gibson of the Hansen Real Estate Group Inc is a full-time REALTOR who has been specializing in Wellington Florida real estate since 2001. This veteran of the real estate industry has expertise in technology, marketing, and social media.


Hansen Real Estate Group Inc. is a full-service real estate brokerage specializing in residential real estate. As a customer-focused, quality organization, we achieve success one client at a time. Call 561-333-0446 or e-mail me today at [email protected]

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