Strategies for Dealing with a Low Offer

 

home seller disappointed with offering price for homeYou’ve received an offer on your home, which is exactly what every seller hopes will happen. However, the offer is ridiculously low. Don’t panic; lowball offers happen all the time, and if you remember the following four techniques, you’ll be able to get past the initial disappointment. Keep in mind that the goal is to find a price and terms that work for both you and the buyer. You can always say no, but these pointers will encourage both you and the customer in getting to a deal.

Don’t let your emotions get in the way of your success.

After all, this isn’t a personal matter; it’s a professional one. It makes no difference if the offer is cheap, the terms are absurd, or the deadline is too far away. An offer indicates that someone is interested in purchasing your home. Nothing is set in stone, so don’t be offended, unhappy, or worried. It can be difficult, but keep your cool and keep moving forward. This is where having a knowledgeable real estate team like The Maxwell Team, really helps.

Because we aren’t as emotionally invested in the property as you are, we’ll be able to approach talks with a clear head. Allow some time for your emotions to settle before responding to the offer, if necessary. After you’ve calmed down and given it some thought, the offer may not appear as horrible as it was at first.

Take into account all of the terms of the offer.

Though price is the most important factor for both buyers and sellers, the other parameters of the offer deserve to be taken into account as well. If the closing date is within your time frame, the buyer is pre-approved for financing or paying cash, and the contingencies are reasonable, you might wish to accept a lower offer.

Determine the buyer’s top priorities and devise inventive strategies to negotiate around them. If done right, you might be able to get a better deal by compromising on things that aren’t as important to you.

Take a look at all of the similar sales.

Check the sale prices of other properties that are similar to yours that have recently sold in your neighborhood. It’s definitely time to receive an updated value assessment for your home if you haven’t looked at comparable sales and local market trends in a while. If your home is overvalued and doesn’t match what others have previously sold for, you may have to accept a lower offer.

Check out the comps that the buyer is using as well. They could be offering such a low price for a genuine reason, or they could be comparing your home to considerably lesser properties. You’ll have a better chance of enhancing your negotiation position if you have more knowledge.

Send a Counterproposal

The greatest thing to do after receiving a lowball offer is to counter it with more reasonable pricing and terms. A possible buyer may have lowballed for a variety of reasons; it’s up to you to bargain and be open to finding a price that works for both of you. There is no limit to how many times one party can dispute the other’s offer, so keep going until you achieve an agreement or a deadlock at which point someone is ready to move on.

The process of selling a property is an emotional one. However, if you can put your emotions aside and focus on the sale as a business transaction, you’ll be much more likely to be satisfied and successful.