Mr. Seller You Didn't Accept Our Offer On Your House-It's Okay We're Not Heartbroken

Great post Cindy.  I always include my comps with my offer so that the listing agent (standard sale and reo) can see how we arrived at our offer.  Sometimes it works, and sometimes it doesn't.

Great post. Almost every seller I listed has told me "My property is special". And it is special to them.  They may love the giant walnut trees in the yard and they expect somebody will pay that extra $10,000 just to get those wonderful trees.  Or maybe it is the beautiful floral wallpaper they cherish or the beautiful fountain of the boy peeing in the front yard (it is an exact copy of the one in Belgium).

It is so hard to show the seller the comps and have them agree that their home is not as nice as the neighbor with the granite countertops... afterall their house is special.

I hope your buyer finds the perfect home!

Cindy

Amazing post - it's often times too late for the seller to recognize that they past up a good offer- especially if nothing else comes their way for a long time.  Buyers today have lots of choices and sellers need to realize this or they may lose out

Cindy - very well written.  I enjoyed reading your post as well as Tom's counter-post.  It is evident you both have written controversial posts and engaged the community in some passionate comments.  Both, I believe, were also non-traditional examples of what is seen on a daily basis.  In your case, $15k below the asking price was reasonable enough to warrant a counter-offer (I still wonder why one wasn't at least initiated by the sellers and sellers agent -- shame!).  And in Tom's example, it is clear the buyers weren't working with an experienced agent who could help them execute an educated offer based on the home values in that area.

I would like to caution us to remember that every seller who doesn't counter doesn't mean s/he isn't motivated.  As we are all TOO aware, the economy has dictated current home values.  Company downsizing, layoffs, salary cut-backs, and the removal of bonuses and incentives, have factored into why many homeowners are currently selling.  It is a very sad situation indeed.  Consider our reality.....the significantly reduced home values --- minus the agent commission ranging from an average of $12k - $30k ---- minus the lower offer (to what extent?) --- and minus any extras buyers ask for such as closing costs, HOA fees, repairs, etc....  ------

I believe most every seller who has their home on the market is motivated.  Why on earth would anyone have their home on the market in a depressed economy if they weren't motivated (minus investors, flippers, etc).  The question remains, HOW motivated?  Motivated enough to walk away with a financial hit, be bruised but able to recover ---- walk away financially run over, bring money to the table but at least still have their credit --- or are they motivated enough to walk away completely and foreclose?   Unfortunately, we've seen all of the above, making this a very sad state of affairs, indeed.

I post this comment only to gently remind us that these are real people (buyers and sellers), with real problems and real responsibilities that we cannot assume to know.  Although frustrating, especially because we may be experiencing some of the same financial drains during this time, let's remain compassionate human beings.   All buyers are not trying to get a home for next to nothing, just as all sellers are not unrealistic in their expectations.  By asking more questions of each party, we can gain a better understanding of what the buyer expects for their money, what their ranges are and appropriately show them properties that fit their needs/expectations.  With a thorough understanding of the sellers needs and a realistic understanding between the seller and seller's agent, the agent can then be empowered to do their job properly and help the seller through.....what may be a difficult adjustment.

I hope your buyer finds the home that resonates with them soon, Cindy.  On a side note, I noticed you are a military relocation specialist in the Virginia area.  I have great respect and admiration for those who help our soldiers and their families.  Being former Marine, I can tell you that your expertise and guidance is needed and appreciated by those families.  Keep up the good work!

This is a side-effect of our economy--sellers may be close to or already at the point where they will have to hand over money at settlement. If this is not the situation, shame on their agent for not encouraging them to counter-offer. And if they did do this and the sellers didn' listen to their agent, shame on them. At that point, all you can say is, "NEXT!"

Cindy,
I identify with you completely. My client made an offer two weeks ago that was very fair for the area and for the current market (pretty much top dollar/sqft) but the sellers couldn't come to terms with it and rejected the offer. So we moved on and needless to say the house is still on the market after 4 months when most homes sell within 1-2 months in the immediate area.

The thing I find interesting/odd about the scenario is that the sellers: "asked us how we picked our offer price." It's OK for sellers to reject an offer. Maybe they're fixated on a higher number. Maybe they owe so much they can't afford to accept a lower number. Maybe their agent has all but guaranteed that if they hold out long enough, they'll get more. Maybe their brother-in-law has told them that their house is worth every penny of the listing price. Maybe their agent presented some comps that appear to suggest the higher figure. Or maybe those comps were from 7-8 months ago, when the higher figure was pretty close to accurate.

Still, rejecting--rather than countering--seems to say one of two things: "We're so far apart that a counter would be meaningless." (But in your scenario it doesn't seem as if the gap was that great.) Or "I can't afford to accept anything less than I'm asking." (And that could be, especially in Woodbridge.) And either one of those is OK.

It's surprising, though, that the sellers then asked the buyers how they picked the offer price. Why did they even bother asking?

And considering they rejected the offer, I'm not sure they've earned a detailed explanation, as you generously provided them. Maybe something polite, short and sweet, along the lines of: "Because that's what my buyers felt your house was worth to them" would have sufficed.  

Cindy:

Seller's need feirce negotiators right now! It's not where they start the offer, it's where do you want to end up? Everyone thinks the economy is so bleak...it is not in our area. Just advise and consult as best as possible. Don't let a good buyer slip away....

Great advice :)

There are alot of choices out there. Some Sellers think that market conditions apply to everyone but them.