Humber/Ontario Real Estate Course 4 Exam Practice

If a seller signs a counteroffer but the buyer rejects it, what is the seller’s next option?

1. Hold the buyer to the original offer terms

2. Propose another counteroffer

3. Demand the completion of sale based on the counteroffer

4. Terminate negotiations

5. Proceed to sell the property to another buyer instantly

6. Revert to the listing price

The correct answer is: Propose another counteroffer

Proposing another counteroffer is a viable option for the seller after the buyer rejects the initial counteroffer. This approach allows the seller to continue negotiations without abandoning the potential for a sale. By offering a new counteroffer, the seller can address any concerns or objections the buyer might have had regarding the previous counteroffer, making it more appealing and potentially leading to an agreement that satisfies both parties. Issuing another counteroffer also demonstrates a willingness to negotiate and find common ground, keeping the lines of communication open. This option is often used in real estate transactions, where flexibility and cooperation can help in reaching a final agreement. The other options, such as holding the buyer to the original offer to demand completion based on the counteroffer, or terminating negotiations outright, may close off potential avenues for reaching a successful agreement. Proceeding to sell the property to another buyer instantly might overlook the opportunity to negotiate further with the current buyer, while reverting to the listing price does not take into account the negotiations that have already taken place.