Seller's Big Mistake: Loses sale over failed septic system
Last Fall during the final negotiations of a lake home sale, my seller's chose to ignore my advice about a strong buyer's market. They did not live in the area and were not familiar with the local real estate market.
The buyers had a home, well, and septic inspection. The inspection uncovered the septic tank was breached by roots. In other words, the septic system failed, and by county standards, would need to be replaced.
The sellers thinking they were savvy negotiators tried to put the cost of the replacement on the buyers. I advised that while the local area is still in a strong buyers market, that tactic would backfire on them. With a large lake home inventory on the market, they would simply walk on this deal and find another similar home.
Had the sellers offered half the cost of the septic replacement, they would have had a deal. Half the cost of a septic system in Wisconsin would have been approximately $5000. This home was listed at $471,900; $5000 represented a small concession.
By the time the sellers realized they made the wrong choice, the buyers were lost. They had already made plans to look at other homes.
Lesson to sellers: Listen to your Realtor's advice. They are tuned in to local market conditions and will be able to advise the strongest negotiation strategy.