Humber/Ontario Real Estate Course 3 Exam Practice

The "best-offer-first" strategy most commonly applies to:

1. Any market condition, as a buyer should always make their best offer first.

2. A balanced market.

3. A buyer's market.

4. A seller's market.

The correct answer is: A balanced market.

The "best-offer-first" strategy most commonly applies to a balanced market. In a balanced market, where there is an equal number of buyers and sellers, using the best-offer-first strategy can be advantageous for both buyers and sellers. It allows buyers to present their highest offer upfront, increasing the likelihood of securing the property, and it provides sellers with the opportunity to select the best offer without having to negotiate multiple counteroffers. In other market conditions such as a buyer's market or a seller's market, the dynamics are different and may not warrant the same approach of presenting the best offer first.