Legal Question in Real Estate Law in California

If you accepted at full asking price and all the other terms the seller can not counter as there is a binding agreement for you to buy the property. Otherwise, you need to give us mor information. If you did not accept all the terms, there is nothing wrong with the buyer seeking more, especially since their lender must approve the sale.

Mr. Shers needs to stick to law he knows, although as a licensed attorney he should know you cannot have a binding contract for sale of real property without a written agreement signed by the parties. That is one of many reasons the buyer's initial paperwork is called the "offer," and the seller's response is called either a "counter-offer" or an "acceptance." The "asking price" and all other advertising statements in a real estate offering are solicitations of offers, in other words they are pieces of information provided in order for buyers to make their offer. They do not create an offer that can be accepted to form a contract. Furthermore, all short sales are conditioned on lender approval. So you cannot have a binding contract, only a contingent contract, until the lender signs off on it. Until then, the seller is free (mostly) to back out, just as you are free (mostly) to back out until you have removed inspection and finance contingencies, etc. It is common for buyers to ask for a lower price after inspections. There is no reason a seller cannot ask for a higher price for any legitimate reason even after the contract is signed. So it is certainly legal for them to counter your offer with a counter-offer at a higher price before there even is a binding contract. They may also be doing you a favor if there have been multiple offers. For example if there was another offer higher than yours, but the seller thinks yours may be more easily or quickly approved by the lender, they have the right to give you a chance to match the other offer, which benefits both of you. As for it being a bait and switch, the answer is it is not. Bait and switch law applies to retail sales where a lower priced item is advertised but then is not available and a higher priced item is offered instead.