It's Not A Lowball Offer....It's A "Real Value" Offer
Real Value offer is a term coined by Karen Fiddler of California and it is the answer to sellers pricing their properties above current market value. Great term Karen.
The conversation about lowball offers has gone on since the real estate downturn began....maybe even before then. The desire of buyers to get a good deal is not new, however, it's always been there.
When financing was easy and cheap and available we did sometimes hear buyers brag about how they over-bid someone and got the home, but this is not a normal state of affairs....and we all saw the damage it has done.
So now that we've gained some perspective and equilibrium in our thought processes.....the lowballs are back. But often they are simply misnamed as lowball and are not low at all.
These are what I term "Real Value" Offers....and I encourage my buyers to write them.
I have buyers who go to see equity sales and find that the home is priced higher than the short sale or REO down the street. This is normal, of course....and there is value in working with an equity seller, but it still doesn't mean we want to over pay for the home. When we see these list prices, I always encourage my buyers to write a reasonable offer anyway. Sometimes they balk at that because they don't want to "insult" the sellers with a "lowball" offer.
Aren't the seller insulting the buyers by pricing the home unrealistically high?
Ok....so maybe it's not about insults. It's about pricing, value and sales! That's it! So if the seller can price too high, then we can write an offer at the Real Value...and then let's see what happens. Often the sellers turn us down only to come back a few weeks later asking if we can work something out. That's ok...and I let my buyers know that this might happen.
It might not be an instant deal, but if we are patient and present ourselves professionally and seriously....then the sellers might think it through. Hopefully they are also working with a good agent who can use our offer to make the point that we are the ones who are serious and representing a Real Value.
So don't think of it as a lowball offer....it's really just a "Real Value" Offer! So who is more serious? The buyer? or the overpriced seller? Hmmmmm
Karen Fiddler
Broker/Associate
The Fiddler Realty Team/eVantage Real Estate
Lic # 01494165www.SearchForOrangeCountyHomes.com
Serving all of Orange County, California Real Estate!
Buyer's Agents, Listing Agents, Short Sales, REOs, Equity Sales, InvestorsSEARCH THE MLS HERE
Orange County Home Search
Orange County Foreclosures
Orange County Short Sales
Buyer Information
Seller FAQs
Contact Us With Your Questions
Comments (5)Subscribe to CommentsComment