Reverse Offers

By
Education & Training with GetMyHomesValue.com
I cannot believe how many real estate agents that I talk to that are still not attempting to do Reverse Offers and furthermore, how many agents have never heard of it. People wake up....when the market changes so do your strategies. So many people I have spoken with are frankly scared to present the idea of Reverse Offer and it is such a simple concept.

If you have a listing that has been on the market longer than the sellers are comfortable with and you have activity you must at the very minimum attempt to have the sellers make an offer to the buyers that come through the home to at least get some negotiations started. I would use a Reverse Offer before a major price reduction any day of the week. You obviously will have resistance from your clients however, it is your JOB to introduce any and all ideas to get their home sold. They are going to think you are a bigger "Shmuck" if you don't suggest it and their home never sells.

Comments (11)

Katerina Gasset
Get It Done For Me Virtual Services - Wellington, FL
Get It Done For Me Virtual Services
Rory- We have had our sellers on some of our listings do this. It has not led to a closed transaction yet, but they are listening. Katerina
Feb 04, 2008 04:07 AM
Clint Haynes
Peoples Home Equity, Inc. - Mount Juliet, TN
that's an interesting idea
Feb 04, 2008 04:10 AM
Carol Lee
Dilbeck Real Estate - Oak Park, CA
Realtor - Agoura, Oak Park, Westlake CA Homes
Okay, I will admit- I have never heard of a reverse offer.  Are you talking something formal in writing, or just talk between agents?  Can you tell us more?
Feb 04, 2008 04:10 AM
Prudential Preferred Realty Butler PA
Prudential Preferred Realty - Butler, PA
I have never heard of it either.  Parking to learn more.....
Feb 04, 2008 05:17 AM
Rory Wilfong
GetMyHomesValue.com - Lancaster, PA
Sales Coach and Trainer

HELLO ALL - It can be verbal however, I much prefer in writing. Treat it just like you had the buyers presenting an offer to a listing only your sellers are making an offer to the buyers. Find a set of buyers that have been through the house and you have received favorable feedback but they are not moving fast enough to make an offer. Put in a price, mortgage contingency, inspection contingency and everything that you would do if you had the buyers. It is helpful for you to get as much information as possible from the buyers agent before writing the contract.

We must always be creative in our careers....this idea works.

Success,

Rory Wilfong

Feb 04, 2008 11:19 AM
Carol Lee
Dilbeck Real Estate - Oak Park, CA
Realtor - Agoura, Oak Park, Westlake CA Homes
Interesting concept.  Coldwell Banker is so very traditional and conservative, I wonder how that would go over.  I would like to see our Association of Realtors come up with a form for that one!  The attorneys would likely have a cow!
Feb 04, 2008 02:17 PM
Rory Wilfong
GetMyHomesValue.com - Lancaster, PA
Sales Coach and Trainer

CAROL - Unless you are not an Independent Contractor I would not worry about what Coldwell Banker says or thinks. I would definitely make sure it makes sense legally in your market however, I cannot see any issues with it what so ever. The biggest issue is Realtors actually doing it. Good Luck!

Success,

Rory Wilfong

Feb 05, 2008 12:07 PM
Carol Lee
Dilbeck Real Estate - Oak Park, CA
Realtor - Agoura, Oak Park, Westlake CA Homes

True, but it is my license, and my butt in court if needed, even with E & O.  Still, I will keep it in mind if and when the occassion rises.  I do not have any listings at the moment, though should be getting one in a couple-few weeks.

Feb 05, 2008 12:52 PM
Meg Zoller
Keller Williams - Houston, TX
Houston Fine Homes

Rory - I have never heard of a reverse offer.  Of course, my market area in Houston is still very good.  We are fortunate.  However, the fear has hit a bit . . .and I think people may be taking a second breath before taking the plunge to buy.  I am actually going to pass this by one of my sellers.  Thank you for the idea!

 

Feb 05, 2008 05:19 PM
Deb Wilson
Crye-Leike Realtors - Clarksville, TN
Realtor - Clarksville TN
I have a listing that I received an offer on.  It was a good offer, just slighlty vauge on one point.  We made a counteroffer to clear up the statement and the counter was rejected.  The offer stated that the sellers were to pay all buyer closing cost and prepaids, we took the GFE, used the amount listed and put the actual dollar figure shown as the capped amount.  It did not change anything, just tightened it up.  The other agent said that the buyers just got cold feet.  This was almost a month ago.  I spoke to the co op agent last week, he said that they had not found anything they liked any better, but were still thinking about it.  I think a Reverse offer may work.  Thanks for sharing.
Feb 05, 2008 05:27 PM
Rory Wilfong
GetMyHomesValue.com - Lancaster, PA
Sales Coach and Trainer

CAROL - Absolutely always cover your aA** however, they work.

MEG - Reverse offers are good in any market conditions and be utilized for those Stubborn listings that seem to last longer than normal on the market.

DEB - Perfect use for a reverse offer because it will show that your sellers have an interest in those particular buyers needs and if you accompany it with a really nice Softening letter....SOLD!!

Feb 05, 2008 11:24 PM

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