Why Should I Respond To A Low-Ball Offer?

Always keep the ball bouncing back and forth, don't just say no. Good post again!

Definitely respond!  I've had several over the years that worked out.  Sometimes the buyer is not familiar with the area or they have a parent or friend who advises them to go in at $50,000 less than the asking price.

I usually recommend a counter - unless the offer is so low it is unreasonable.  Of course it is the seller's decision.

First of all they are very irritating but then sellers and buyers are very irritating as far as I'm concerned.  I have seen the low-ball offer come in then after a good thrashing, they get serious.  If they get serious then great, if they don't then good riddens, you dom't want tohave to deal with them anyway.

I learned this lesson early on as a listing agent...my sellers countered a low-ball offer and we ended up $50,000 higher by the time negotiating was over! You just never know how far the other side is willing to go until you draw them out.

nice information...thanks for the share!

L & S

I think this is very good advice, a dialogue may eventually lead to the perfect deal.  A

Good discussion. I agree with Liz and Bill's comment, and would add that responding on paper with an official counter shows the seriousness of the seller. I've been surprised at times when buyers do come up significantly during negotiation.

Lowball offers are offensive to many of my clients. Especially lowball offers that come in within the first week the listing comes on the market.   I often respond back to a lowball offer with a rejected, too low to respond or I have my client counter back with the listing price. I present all offers to my clients.   Of course I price my listing accordingly at market value... 

Hi Larry & Sheila ~ As Buyer Agents who sometimes have to submit a "Low Ball" offer, we recommend all sellers counter the offer. Let's make this a win - win situation. Buyers and Sellers need to work together and we as Realtors need to educate them. Keep bouncing, you never know what can happen...

Sometimes buyers may be testing the water to see how eager the sellers are to sell. If the sellers counter, and buyer acccepts -- SWEET!! 

I always tell my clients; hey someone wants to buy your home. We should do our best not to chase them away. Sometimes they are just looking to test you. If you don't counter they may walk away.

Excellent post and I could not agree with you more. I think it is very important that the seller counter an offer, regardless of how low it is. At least then they'll get a sense of how serious that buyer is. An offer is better than no offer at all. Congrats on the feature -- very well deserved!

We are dealing with a very low offer now.  The seller needs a certain amount to pay the mortgage on a condo they own, but cannot rent for the amount they need... so they put in a low offer in their self-interest. We have strong comps and have share them with their agent, but they can only see their own financial needs.  The seller countered .. and hopefully the buyer will understant that the home is priced well and there are strong comps.  The seller is willing to negotiate, but the seller will continue to market the property if the buyer isn't realistic... there is a lot of activity.

Sheila and Larry, the seller needs knowledgeable professionals who understand the local real estate market to guide them.  Sometimes an unemotional counter offer is needed to keep negotiations going.  But in some markets a serious, full price offer is being written while the listing agents are presenting a low-ball offer.   Pros like you two understand the dynamics of the North Shore LI market and can advise clients appropriately for your market.

all offers are presented all offers are looked at all offers should be countered in a timely manner. The objective should be to get to an agreed upon price point and get the property sold. Why not leave the door open why shut it with no response?????

Larry and Sheila - It makes sense to counter unless you're looking at multiple offers, and then maybe not.  You never know what might result.

I think sometimes NOT counteroffering is a good idea.  Tell the buyers That their offer was not accepted.  Feel free to put in a higher offer.