Bargaining has always been part of the real estate experience. Sellers typically price their homes knowing they will get less than their initial asking price, while buyers regard "getting a deal" as a satisfying part of the buying process. In a buyers' market, where some sellers who need to move their homes are facing the prospect of having them on the market longer and ultimately selling for less, it's tempting for buyers to overestimate how far down sellers will go.

It is a fact that many sellers overprice their homes, especially when selling them FSBO, but even when an agent is involved. A realtor can present an arm load of comparative market data on area home prices, but if the seller insists that his home is special, the initial asking price may be too high. Now that real estate values have fallen dramatically, sellers still think in terms of what they paid, what homes used to go for, and what their mortgage payment is. Time on the market is quite sobering for sellers, especially if they are motivated to move on.

Even in a favorable market, buyers need to be realistic. Its unlikely that a home priced at $500,000 will sell for $250,000. Doing a little neighborhood research will reveal what other comparable homes in the area have sold for - maybe for $50,000 less. Making a bargain basement offer to a seller often comes off as insulting. Some sellers may overvalue their homes because of what they've put into them, what they speculated the home would be worth, or just because its theirs. Few sellers react well to a buyer who comes in, exaggerates all the flaws in the home, and then makes a lowball offer. (If the seller quickly takes such an offer, rent a copy of The Money Pit and hope for the best!) The seller may need a little reality therapy, but if you, a potential buyer, want the house, you are probably not the one to give it. (Here's the time to look to your agent.) Sellers have been known to refuse to deal with buyers who offended them by trash-talking the house while accepting low offers from those they liked.

Just as the buyer is working within a budget and hopes for a great deal, the seller has a bottom line price in mind that he needs to pay off his current mortgage, cover selling costs, and move on to his next home. Assuming that your real estate agent has helped you structure a reasonable first offer, a very motivated seller might accept it or counteroffer on the price or terms. A take-it or leave-it attitude on either side doesn't work, but some honest bargaining on both sides will result in a satisfied seller and a relieved buyer.

For information on beautiful homes in Clark County, including short sale and bank owned properties available at great prices, contact your Prudential Americana Group Realtor® Yonas Woldu  at (702) 236-8997 or Nebi Adhanom at (702) 277-9922 or visit www.VegasRealProperty.