How Do I Make a Counteroffer When Selling My Own Home?

Short Answer

A counteroffer is your written response that changes one or more terms of the buyer's original offer. Under general contract principles, a counteroffer that modifies the original terms also functions as a rejection of the original offer—meaning the buyer is no longer bound by their original terms and must accept, reject, or counter your new proposal. You can counter the price, closing date, contingencies, concessions, or any other term. Understand the legal effect of the documents you sign—this is general information, not legal advice.

What a Counteroffer Is

When a buyer submits an offer, you have several options: accept it as written, reject it, or counter it. Under general contract principles, a counteroffer modifies the buyer's proposed terms and also operates as a rejection of the original offer—so the buyer is no longer bound by their original terms and must accept, reject, or counter your new proposal.

You can counter any term, including:

• Purchase price
• Closing date or possession timeline
• Earnest money amount
• Inspection or due-diligence terms
• Seller concessions or repair credits
• Included personal property
• Financing or contingency terms

When to Consider Countering

Consider countering when an offer is close to acceptable but one or more terms need to change. Common reasons include:

• The price is below what you believe the home supports.
• The concessions requested reduce your net too far.
• The closing date doesn't fit your timeline.
• A contingency creates too much uncertainty.

Countering is a normal part of negotiation, not a rejection of the buyer. For the broader mindset, see How Do I Negotiate an Offer Without a Realtor?.

How to Structure a Counter

A written counteroffer should clearly state which terms you are changing and confirm the terms you are keeping. In Arizona residential resale transactions, parties commonly use the Arizona Association of REALTORS® Counter Offer form (an addendum to the Residential Resale Real Estate Purchase Contract) to document counter terms, but no law requires every transaction to use that form. You can negotiate different terms, and the executed contract and any addenda control. If you are unsure how to prepare or respond to a counter, consider consulting a title or escrow company, an attorney, or another qualified professional.

Understand the Legal Effect

A counteroffer is a binding proposal once the buyer accepts it. A signed acceptance creates a contract. Before signing or sending a counter, understand what you are agreeing to and what happens if the buyer accepts. This article is general educational information, not legal advice.

Keep Offers Organized During Negotiation

When you counter multiple buyers or receive counter-responses across email and text, it's easy to lose track of which terms are current. Keep each offer, counter, and response together with the buyer's supporting documentation.

Arizona-Specific Considerations

The Arizona Association of REALTORS® publishes a Counter Offer form (addendum) that parties commonly use in residential resale transactions, but no law requires every transaction to use that form. The executed contract and any addenda control the rights of the parties. Earnest money and contingency rules depend on the specific contract language.

Dwealling's Role

Dwealling helps you keep offers, counters, and related documentation organized in one place so you can see the current state of each negotiation. You decide every term. Dwealling does not negotiate on your behalf. Pricing is $199 setup plus $99 per month.

Arizona Context

Arizona residential resale transactions commonly use the Arizona Association of REALTORS® Residential Resale Real Estate Purchase Contract and counteroffer addenda, but parties may negotiate different terms and the executed contract controls. No law requires the use of any particular form.

Negotiation is normal—I don't think sellers should feel pressured to accept the first offer just because someone finally submitted one. But I also remind sellers that every counter changes the deal and creates a new decision point for the buyer. I like to keep the current state of every offer and counter organized so there's no confusion about which terms are actually on the table. That clarity helps the seller make a confident decision rather than a rushed one.

— Ryan Michael, Arizona Real Estate Professional

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