You have found a house you love, but the list says “Bumpable Buyer.” That’s not exactly trivial. So, what does that mean?
A bumpable buyer is a home buyer whose offers are accepted but is subject to selling the current home. The house is on contract, but the seller can still accept other offers and if a better offer comes, it could “clap” the first buyer.
Whether you’re a home hunt in Portland or in Tacoma, Washington or Olympia, Washington, this Redfin Guide explains how bumpables work and what they mean as a home buyer to you.
What are bumpable buyers?
A bumpable buyer is someone who has an accepted offer in the home, but the sale depends on them first selling their current home. This is called the emergency situation of home sales. The term “bumpable buyer” is most common, especially around Portland, Oregon, and in the southwest Washington state.
Sellers often include bump clauses in their contracts, as transactions rely on separate sales. This allows them to keep their homes showing and accept backup offers. If a stronger offer comes, the seller can ask the original buyer to remove the contingency or to ask him to come aside.
Depending on your role in the process, there are several different ways that this scenario can be deployed. Whether you’re actively looking for a home or in a position to be a bumpable buyer, it can help you understand how these situations will be handled and what they mean for your next move.
What are bumpable offers?
A bumpable offer is an accidental offer in a home made by a buyer who has to sell his current home before completing the purchase. The seller accepts the offer but reserves the right to continue showing the property and accepting backup offers.
If a more advantageous offer comes, the seller can issue a notice requesting that the original buyer abandons the contingency and proceeds with the transaction or moves aside. This gives sellers flexibility while giving the first buyer the opportunity to compete for the home.
Example: How a bumpable buyer scenario works
Sarah and James are conditional on the condition that they find a loved one in Portland, sell their current home, and make them bumpable buyers. The seller accepts the offer but includes a bump clause. This means that the home will be active and visible to other buyers.
A week later, Lena visits the house and submits a stronger, non-continuous offer. The seller tells Sarah and James that they have 72 hours to remove the contingency or withdraw.
Sarah and James decide that they are not ready to abandon the contingency, so they stand aside – and Lena’s offer is accepted. In this case, Sarah and James collided from the contract, and the house went to a buyer who was in a better position to close immediately.
Bumpable Offers vs Sale Pending: What’s the Difference?
A home with bumpable offers is still active, and sellers can accept stronger offers.
In contrast, “selling for sale” homes are out of the market, with sellers already in the transaction. The backup offer is acceptable, but the chances of changes are less likely.
>>Read: How to make an offer at home in 5 steps
Can you make an offer at home that still has a bumpable offer?
Yes, you can still make an offer at home with a prone to bumping status. The seller has accepted the contingent offer, but the transaction is not final. As the home is still active, a stronger offer can encourage the seller to give the original buyer a deadline to advance or retreat. If they are unable to continue, your offer will take priority.
When should sellers accept bumpable offers?
If your home has been on the market for a while, or is appealing to a more specific type of buyer, accepting bumpable offers can be a strategic move. This allows you to work with serious buyers who need to sell their current home without immediately lowering prices or changing terms.
Bumpable offers can be a smart option in these situations.
Homes that have been on the market for more than 30 days may benefit from bumpable offers to generate new interest. Properties with unique features and niche appeal often require more flexible terminology to attract buyers. Sellers who want to avoid price reductions can use bumpable offers to raise buyers’ interest. If the buyer’s home is already listed or is under contract, sales could move forward more smoothly.
Pros and cons of making an offer at home with a bumpable buyer
Here is a quick breakdown of the pros and cons that will help you decide whether making an offer at home with a bumpable buyer is the right move for you.
The advantages of making an offer at home with a bumpable buyer
Chance to buy a home: There are already accepted offers, but the contingency of a bumpable buyer means that the transaction is not final. Your stronger, accidental offers could replace theirs. There could be less competition potentially. Some buyers avoid bumpable listings, which could lead to fewer competition offers. Sellers are motivated to sell: Sellers want to seriously consider the offer of backup to eliminate uncertainty, as they want to avoid the contract falling apart. Time to prepare: Bumpable status provides pre-approved windows and prepares powerful offers.
Cons of making an offer at home with a bumpable buyer
Uncertainty and delay: Sellers can usually give the first buyer a deadline (often 48-72 hours) to slow the process down. Possibility of a bid war: Other buyers may also be waiting to submit a backup offer, which may lead to competition with multiple backup bidders. No guaranteed results: The original buyer still has the right to fit your offer by removing the contingency. An emotional roller coaster: Waiting can be frustrating, or you may wonder if a bumpable buyer will clear the contingency or if the offer will ultimately be accepted.
How to compete with bumpable buyers
If you’re making offers at home with bumpable buyers, here are some tips to help your offer stand out.
1. Strengthen offers for bumpable buyers
Increased Offer: Higher purchase prices make the offer stand out, especially when the offer from a competing buyer has contingency or hurdles. Reduce offers: Highlight if you don’t need to sell your home first or if you don’t need to include other contingencies. Submit a letter of pre-approval: By including pre-approval in your offer, you will be financially prepared and demonstrate to a serious seller. Flexible by conditions: Provide flexibility by end date or other conditions makes it easier for buyers to work.
2. Buyer bumpable offers alternatives
Focus on an active list without coincidence: these houses have not yet accepted the offer, so you will compete on a level scaffolding. Target’s house dropped from contract: Some deals collapse. Find a new construction or a quick move-in home. These often provide a smoother and more predictable closure process.
3. Other funding options to avoid conditional offers
Bridge Loan: A short-term loan using current home equity to buy your next home before selling. HELOC (Home Equity Credit Line): Flexible credit based on the home capital to fund a decline or cost. Pre-Purchase Program: Provided by some lenders and businesses to help buyers make non-continuous offers while managing the sale of their current home.
4. Work with Redfin Agents to expand your search
By partnering with Redfin agents, you can discover more options and avoid bumpable offers.
Explore nearby neighborhoods that suit your lifestyle and budget. Identify old lists with recent price reductions. Look just outside the original search area in search of potential opportunities. Focus on a home with no contingencies to avoid the addition of complications.
>>Read: How to Find an Affordable Home: 13 Smart Ways to Save Your Next Home
FAQs about Bumpable Buyers
1. How do I know if my house will bump into me?
In many markets, bumpable lists are either labeled “BMP” in MLS or marked as “accidental-bumpable” or “still accepting offers.” These homes are under contract, but are still open to better offers.
2. What does “bumpable” mean, and where does the term come from?
“Bumbable” was introduced to clarify a list that sellers accepted an accidental offer but could accept others. It replaced vague labels like “accidental” that caused confusion.
3. How does the bump process work?
If a stronger offer comes, the original buyer usually takes 48-72 hours to abandon the contingency or set aside. Sellers must provide formal written notice before moving on to a new offer.
4. When will bumpable statuses be removed from the list?
The status changes when the original buyer no longer needs to sell the house, secure alternative funds, or disrupt the transaction. At that point, the listing will be updated pending or actively.
5. How can I avoid becoming a bumpable buyer?
If possible, submit your offer without contingency in home sales. Consider first selling, using a bridge loan or HELOC, or exploring programs to buy before selling to create a stronger, non-continuous offer.
