As an agent with David Realty Group in Westfield, NJ, I have ironically been working with 3 buyers this week who perpetually lowball every offer. Family #1 - are searching for Westfield homes - Upon walking into a house today that we were visiting for the first time at 670K, they said what should we bid -  600K? I told them I'd have to see it first and after seeing it, I would need to run the comparables. Regardless of how much time I've spent educating each buyer on how the real estate market "works", they continue to bid lowball offers. I would imagine that at some point, 2 of the 3 families will realize that we continually lose our bids and they are still without a home and that perhaps the method I am suggesting is the correct one. The 3rd family  - are searching for Springfield homes - would like to move but they don't really need to. All three families have a common denominator - they are first time buyers being coached by their parents who bought real estate in the 80's before there were computers, when  people would have to go down to the town and waste hours finding out what recent sales may have taken place in the area. Therefore, seller and buyer were essentially 'clueless' and lowball offers were entertained and sometimes accepted. Today, the buyers, the sellers and the realtors know exact values of homes b/c we all have every website imaginable to find out everything we need to know about a home. In the rare ocassion that a home is grossly mispriced in today's market, the lowball offers are expected and acceptable but when a home is priced to sell, lowball offers will get a buyer no where but the home they are currently in.

 

 

Lorena Barbosa

Broker/Owner

David Realty Group

530 South Ave. W

Westfield, NJ 07090

201-638-6528

www.davidrealtygroup.com

lorena@davidrealtygroup.com

 

6 Comments on Lowball offers - common mistakes buyers are making in this market.

FEB
03
2012
1,352,557 Points 42 Featured Posts Outside Blog Attended Rain Camp Called Shot Master

Lorena - It's unfortunate that so many buyers make the mistake of listening to the national news or others who don't know the current local market.
11:09pm • #1
183,228 Points Called Shot Master

Lowball offers are an acceptable way to buy real estate in this market. While there is a traditional sense of what the home is worth; it is the seller motivation that may come into plat to allow that $670K home go for $600K. You'll never know unless you ask, and I assure you that the seller isn't going to volunteer a lower price.
11:13pm • #2
569,458 Points 2 Featured Posts Outside Blog Attended Rain Camp Called Shot Master

Lorena,

It may sound rediculous to you but there is no better feeling as when you take the initiative to let a client go (fire them). Better yet do what I do and suggest to them that this Realtor® may be a better match for their needs..... and of course arrange for a referral.

Lots of luck,
11:16pm • #3
FEB
04
2012
517,947 Points Outside Blog Called Shot Master

Lorena

It takes a sales person some time in grade to be able to help those who are want to go to low on the offer.
12:55am • #4
FEB
06
2012
199,018 Points 2 Featured Posts

Great post Lorena...your buyers are lucky to have as their agent...
9:32pm • #5
FEB
25
2012
257,975 Points Attended Rain Camp Called Shot Master

Welcome!!! To ActiveRain! Lots of opportunity here to generate and grow your business, have a good look around and jump in!  You can really get your name out in to the world more efficiently then any other way on the internet with ActiveRain!
9:53pm • #6


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Lorena Barbosa Broker Westfield homes westfield houses

Westfield, NJ

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David Realty Group

Address: 530 South Avenue west, Westfield, NJ, 07090

Office Phone: (908) 264-8843

Cell Phone: (201) 638-6528

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