That extreme lowball offer can ruin your chances.

By
Real Estate Broker/Owner with WHISPERING PINES REALTY 20398180

The offer came in at 40% of list price.  I Laughed and called my seller.  He DIDN'T laugh.  He said he would not even counter. 

10 days later, we get an upgraded offer from the same person...51% of list. 

Now my seller is furious..."I don't care if the buyer comes back at 10% above list...He can go to,"  well let's leave that part out.

The funny part is that the buyer wanted the seller to hold the note and also didn't want to put down any money.

We have others that are serious about purchasing the property.  My seller isn't stupid, he understands that he may have to drop some. 

But, if you think that you can throw out a ridiculous offer and not pee anyone off and still try and purchase the property...you may have a big surprise ahead of you.


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Rainmaker
782,845
Linda Blumenthal
Hampton Crossing - Licensed Real Estate Salesperson - 631-466-4087 - Westhampton Beach, NY
NYS Licenced Real Estate Salesperson, CBR

Hi William.  Sounds like the buyer didn't qualify to be looking at the property in the first place.

Oct 21, 2011 01:37 PM #1
Rainer
288,529
Thomas McCombs
Century 21 HomeStar - Akron, OH

How many people looked at the home and did not make ANY offer?  Those are the ones your seller should get mad at, as there is no chance of making a deal with one of them.

An offer is a starting place. Getting mad at the offerer is like shooting yourself in the foot.

Oct 21, 2011 01:41 PM #2
Rainmaker
3,983,869
William Feela
WHISPERING PINES REALTY - North Branch, MN
Realtor, Whispering Pines Realty 651-674-5999 No.

Linda...Actually, I know the buyer well, he is using a different agent.  he is very well qulified.  Just trying to steal a property from an older person wanting to retire.

Thomas...While there is some truth in what you say, for some there is a breaking point and this was it.

Oct 21, 2011 01:42 PM #3
Rainmaker
262,423
Kim & Kristine Halverson
Compass - Santa Monica, CA
Sisters, Realtors

Love this post since my client just made an offer 12% below list price.  The listing agent and seller were shocked at how low our offer was...jeesh!  My clients wanted to negotiate and had me relay that with their offer.  Kristine

Oct 21, 2011 01:49 PM #4
Rainmaker
631,662
Vern Eaton
Askov, MN
Realtor 651-674-7449

bill, I understand a low offer, but I know you have this one price very well.  Some people trying to take advantage.  But, usually it is someone with all cash.

Oct 21, 2011 02:01 PM #5
Rainmaker
435,664
Dan Pittsenbarger
Keller Williams Western Realty - Bellingham, WA
Improving Conditions

I was at a Terry Watson seminar a year or so ago and he had a way to handle low ball offers that "can" turn an upsetting, seller agitating experience into some fun and a seller empowering experience.

Let the seller know that they are going to get the opportunity to have some fun with a buyer by making an equally (oh heck you don't even have to be equal about it) ridiculous counter offer. Counter back at an offer that's 50% or 75% or whatever over list price. Rather than being mad the seller can have some fun. And the listing agent get's to have some fun to.

Just think of what the buyer's agent's face is going to look like when they get the counter. They're probably going to call and say "I can't go to my buyer with this counter" and you get to say - Now you know how my seller felt when we received the offer. LOL - may as well have some fun with these types of situations. And I'm sure the seller's will always remember the time their agent help them feel better about a crummy situation - and they will know that you are on their side.

 

Oct 21, 2011 02:11 PM #6
Ambassador
951,785
Mike Frazier
Carousel Realty of Dyer County - Dyersburg, TN
Northwest Tennessee Realtor

William, some folks are just stupid. I try to pass off the ones who are time wasters.

Oct 21, 2011 02:35 PM #7
Rainmaker
3,983,869
William Feela
WHISPERING PINES REALTY - North Branch, MN
Realtor, Whispering Pines Realty 651-674-5999 No.

Dan, that may help some sellers, but I would not want to look unprofessional.  But, it would be worth a try to calm the seller

Oct 21, 2011 03:09 PM #8
Rainmaker
320,000
Randi Brammer
Randi Brammer, Acctg. - Hinckley, MN
Accountant & Tax Preparer

I understand the low ball offer, but some people are like you say preying on the unfortunate.

Oct 22, 2011 02:54 AM #9
Ambassador
779,927
Doug Rogers
Bayou Properties - Alexandria, LA
Your Alexandria Louisiana Agent

I encourage my sellers to counter most offers. That for apart, with conditions? Just reject and move on...

 

Oct 22, 2011 08:53 AM #10
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Rainmaker
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William Feela

Realtor, Whispering Pines Realty 651-674-5999 No.
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