Anyone been in a cave? In the outback of Alaska? Both, possibly? Good, thanks for the show of hands.
If you haven't heard, read, or had suth-sayed (past tense of sooth?) for $1.99 a minute, nationally the housing market is experiencing a "management restructuring." This is a politically savvy way of saying that the earth is righting itself, lending has returned to Planet Earth, and bidding wars on Mike Brady's home that reached half a million might have gone the way of the McRib (you'll be missed).
It's hurt, but not like Apollo Creed hurt, more like Rocky Balboa hurt, and not including the last two Rocky's. My apologies to the other three guys in the world who saw Rocky 5, and to the nation for the last one.
And while the national market is down, anxiously awaiting a song by Survivor, parties interested in investing are stepping forth: relocators, first time home buyers who are recognizing affordable prices while the last few years kept them in rentals, investors, flippers, floppers, moms and dads looking to see at least something come out of 5 years (sorry! rugby) of college, Greasers, Soch's, and basically anyone who's read a book by Robert Kyosaki.
And in the blue corner, the most ferocious of opponents: sellers. It's not the most optimal time to put one's home on the market, and yet, they stand in the face of adversity due to need, want, requirement, short sale, or foreclosure, when the bank ACTUALLY sells the shorts. Third-rate puns aside, the inventory is out there.
From the borrowing, begging, or stealing that occurred to get us here, and I include "US" like the royal "us", we still have the ingredients for a viable market: Buyers and Sellers.
The last time it took someone this long to get to a point, there were a few base camps involved but:
Low Offers are going to happen. People are anxious to see what will be taken, how large a barrel a seller is over, and how creative they can get with an offer.
People with extra income from a strong base of equity are investing their dollars in homes that would normally be out of their price range....sound familiar? Almost as if this will build as more and more people become confident in the market, until suddenly there are multiple bids on the same property. It's the Circle of Real Estate, Simba.
So buyers, if you put in a low offer expect the following:
- a harsh counter-offer the first time around (you've just taken the porch their grandfather built with his two hands from a tree they grew up swinging on, and erased its value)
- no help with items on the inspection (they'd rather walk you through a plate-glass window than the workings of the radiant floor heating system)
- Utter silence. Absolute ignoring of the offer. As actions speak louder than words, and ignoring doesn't require a fax machine.
Sellers, here's your chance to sell your home!
- You've captured the elusive unicorn of this market, an interested and pre-qualified buyer, don't let it go because the coloring looks "splotchy".
- Take a deep breath. This helps the life process. Then figure out what a good counter offer would be. While offers at listing price are happening, they might not be happening to you for a reason, whatever they may be.
- Take it as a compliment: they liked your home/condo/yurt/78 Gremlin! So much that they took the time to write an offer. Think of other offers in your life that might not have been the best you'd expected....if you were lucky enough to not have been raised by Neanderthals (sorry, Thag), you'd politely decline, or offer another option, or keep trying until you reached an agreement.
As a Buyer's Agent, I've written my share of low offers, and bore the brunt of the hell that do hath fury much like a woman's scorn. I've also had clients who've passed on writing offers on a home because they thought their offer might have been to low, only to see the "Pending" or "Sold" for a number close to theirs.
"Well, we would've paid THAT!" doesn't keep them cozy. Your home might have. This first offer could be their "toe in the water" and you're response could be the difference between their 
moving forward, and "I'll just watch from the side, while my waterwings deflate from shame and cowardice." Strangely enough, waterwings are symbols of both, but that's for another blog.
Low offers are going to happen. But the difference between an emotional response and a seasoned and skilled negotiator could be the sale of a home.
Which is why you might need an agent.
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