Revised: 2026

Anyone who’s watched a neighbour’s house sell in 2021/2022 knows the scene: cars lining the street all week, and on offer night, an eye-watering 20-30 offers submitted on the neighbour’s modest home. Those crazy days have cool down a bit, but it’s still common for very desirable properties to see bidding wars. And in some neighbourhoods, agents are still using bidding wars as a tool to sell desirable properties for maximum dollar.

 

Why Do Agents Price Homes to Attract Multiple Offers?

When there are more active buyers in a neighbourhood than homes for sale, an agent may suggest a “marketing price” strategy IE. pricing below expected market value and holding offers for a set number of days, commonly around 5–7. That’s more than enough time for serious buyers to view the home, for the agent to hold an open house, and for buyers to decide whether to submit an offer. The short timeline creates real scarcity, and buyers respond to it because nobody wants to lose out.

How Much Below Market Value Should You Price?

There’s no single number that works everywhere. Every neighbourhood has its own norms for how far below expected value homes get listed, and how far over asking they typically end up selling. Your pricing strategy has to be based on current comparable sales in your specific micro-market, not a generic rule of thumb. But it’s very location dependant. I find in neighbourhoods like Oakville, there’s a perfect formula where listing agents mostly stick to under listing homes by only around 10% off market value; so buyers can slowly learn about seller expectations. But when we go to neighbourhoods like Markham, agents will list all homes in the neighbourhood at $1m, regardless of the actual value of the home.

 

Can This Strategy Backfire?

Yes, it’s not a one-use strategy where you can list a house 10-20% below market value and it will sell for top dollar. It is a calculated strategy that comes with risks. One of the biggest risks today is a potential lack of buyers, or a distaste from buyers who are tired of “seller games”. A bidding war should only be held on a property where there is truly a scarcity in the market.

Also, a home holding a successful bidding war usually only remains on the market for 5-7 days, but in those 5-7 days, the highest paying buyer in the market might not be actively shopping. We limit ourselves to buyers who can see the property in that small window, so we potentially miss a higher buyer.

 

Blind Bidding vs. Open Bidding: What Changed in 2023

This is the part of “offer night” that’s changed the most since this topic was last covered. As of December 1, 2023, under Ontario’s Trust in Real Estate Services Act (TRESA), sellers now have a real choice in how multiple offers are handled:

• Blind bidding (the traditional approach): competing offer details stay confidential. Other bidders are only told how many offers exist, not the terms of each one.
• Open bidding: the seller can direct their agent to disclose some or all competing offer details, like price, closing date, conditions, to other bidders, as long as the same information is shared with everyone. Buyer and seller names and other personal details still stay confidential either way.

The seller decides which approach to use, must give that direction in writing, and can change their mind at any point during the process. Most sellers still choose traditional blind bidding, but open bidding can be a useful option in certain situations.

While some buyers are excited about the potential for open bidding, it remains largely unused in our market. Once buyers learn their offer will be used to push up other offers, they change their mind. Also, some buyers are including clauses in their offer that if the contents of their offer is disclosed to other bidders on bidding night, that their offer becomes null and void. This puts the sellers in a difficult position.

 

The Best Way to Reach a Strong Sale Price

Across every market condition, a few things consistently make the biggest difference:

• Pricing the home to appeal to qualified buyers who genuinely understand the local market
• Creating a fair, level playing field for every bidder
• Professional photography and multimedia that actually showcases the home’s best features
• Clearly setting the stage in advance for exactly how offers will be presented and accepted on offer night

Hosting Offer Night the Right Way

We’ve found real success hosting offer nights directly at our office rather than at the seller’s home. It gives buyer’s agents a proper space and the tools they need to adjust their offers on the spot, and gives buyers themselves somewhere to go — a nearby restaurant or some shopping — instead of sitting in a car outside the house for hours. It also means we have staff on hand to keep offers organized, give each agent a specific presentation time, and provide access to a fully functioning office if an offer needs last-minute adjustments. The result is a smoother experience for everyone involved — and often, a stronger final sale price.

## Final Thoughts

A well-run offer night comes down to preparation: pricing strategy grounded in your actual neighbourhood’s comparables, a clear process set with buyers’ agents in advance, and — as of 2023 — a deliberate choice about whether blind or open bidding fits your situation. If you’re preparing to list and want to talk through your pricing and offer-night strategy, [contact us today](https://www.thelourantosgroup.com/contact-us).