Low-Ball Offers

By
Real Estate Agent with Jim Free Realty

Rolling low-balls at sellers may have been an effective approach between 2008 and early 2011. But in 2012’s environment – at least in rebounding markets – it could be counterproductive if you truly want to buy.

 

Some buyers still try to throw a low-ball offer sometimes 25% or more off the asking price and they will pull out their spreadsheet or market analysis to justify their offer.

 

In Panama City Beach they likely will be unsuccessful and someone else will get the property. The properties on the beach are still selling at bargain prices but they are not given away.

 

If you want a condominium on the Gulf there are only 487 left as compared to several thousand four years ago. As our inventory continues to drop the prices will rise.

Comments (5)

Dan Hopper
Dan Hopper - Gold Way RE - Westminster, CO
Denver Broker / Real Estate Advocate

Ivanette, as in most cities through-out the country, we are all experiencing a shortage of GOOD homes on the market.  When a buyer comes across a very attractive home with a justified value... yes, they had better make a good offer or they will lose out to another buyer that has recognized this situation.  I am finding in the Denver area, that you had better make on offer with the right price, or you too will be outside looking in.  There is no place for the low ball offers, today.

Apr 24, 2012 12:06 AM
Marnie Matarese
DWELL REAL ESTATE - Sarasota, FL
Showing you the best of Sarasota!

Ivanette, a recent blog on this topic with many of us chiming in led to Washington Post syndicated real estate columnist, Kenneth Harney publishing an article about low-ball offers last Sunday.  You can read it at this link: http://www.washingtonpost.com/realestate/low-ball-bidders-in-many-markets-learn-they-can-no-longer-get-a-steal-on-a-house/2012/04/19/gIQALDMaUT_story.html

 

Seems like it is trending across the country!  

Apr 24, 2012 12:19 AM
Edward & Celia Maddox
The Celtic Connection Realty - Queen Creek, AZ
EXPERIENCE & INTEGRITY - WE TAKE THE HIGH ROAD

Almost 99% of homes currently go at listed price or higher.  No low ball offers, even on homes that need a lot of work.

Apr 24, 2012 12:24 AM
Debbie Reynolds, C21 Platinum Properties
Platinum Properties- (931)771-9070 - Clarksville, TN
The Dedicated Clarksville TN Realtor-(931)320-6730

Buyers are being fueled to pitch out these low offers from watching TV, reading about foreclosure selling for tens of thousands under market and of course the family know-it-alls. If they truly want the property they need to be reasonable.

Apr 24, 2012 12:46 AM
Marnie Matarese
DWELL REAL ESTATE - Sarasota, FL
Showing you the best of Sarasota!

Just went on a marketing presentation yesterday, got the listing at a price that is competitive and already this morning the seller has called me because everyone he has spoken to has told him it is a steal at that price.  I advised him to please have them call me if they choose to purchase it or have someone in mind who also believes it is a steal.  I am sure that I will have a long wait before the phone rings.

Apr 24, 2012 01:05 AM