My Offer Was Rejected. Does This Mean I'm A Dumbass?

By
Real Estate Agent with RE/MAX Compass, formerly RE/MAX WHP 0524642
https://activerain.com/droplet/4Pbq

The Urban dictionary defines the word dumbass as "someone who looks up the word "dumbass." What is a rejected offer in real estate? Can a seller just flat out reject my offer? Why didn't they just "counter?" 

Lets go there and pick apart what makes you, your offer and your agent a potential dumbass.

 

Lets pretend Johnny finds a home on the MLS listed for 300k. It's a traditional sale, meaning it's not a foreclosure, HUD home, short-sale or even an estate sale. For this example lets also assume the buyer has no inside information that would lead him to believe that the home is "easy prey." It didn't catch fire, and it's not inhabited by termites, flooded waters or unknown equity eating parasites that have yet to be discovered by man. Currently the market in Houston is flat and generally speaking, both buyers and sellers are somewhere in the middle of the pull on the rope as far as market conditions go. If Johnny offers 250k because he's drunk on HGTV then there's almost a 100% chance his offer will get rejected. 


But why?


Most home sellers share love, adoration, memories and even affection for their home. We typically believe our home is worth more than what the market bares. If Johnny submits an insulting offer the seller is likely to shut down, and to be fair, I don't blame them. An ugly offer shows that the buyer isn't serious. It says that buyer is shopping for "a price" and not a home.  These types of buyers wear people out. Simply put, they piss people off.

Greed doesn't geneally get you a good deal in real estate. Timing, patience and practicality does. Find the right home, in the right neighborhood and if your careful with your research, you'll have yourself a rewarding and financially successful piece of investment. Repeat enough and you'll be wealthy. 

 

Lazy buyers offer stupid prices because they don't believe in research. This is what makes them the quintessential dumbass. They think making horrible offers makes them strong, clever and somehow a sage negotiator. 


The sad part is, every now and again these dumbasses find a home where they can pay far less than the list price, but suffice to say, it's a pile of shit in a pile of shit neighborhood. There's a reason it's on the market for 237 days. If you get a tremendous deal in the hood there's a significant probability that you are nothing more than a sucker. And suckers are born every day.

 

The best answer to a low ball offer is simple. 

 

1. Tell the buyer, "Your offer is rejected." 

2. "Resubmit your offer again." 

 

Negotiating with idiots usually creates turmoil, unhappiness and frustration. Treat tire-kickers the same way they have treated you.... with little to no care whatsoever. If a buyer is serious, they'll jump in after their ludicrous offer. 

 

A lot of people will submit a stupid offer just to see where the seller is at.  Real estate isn't poker, and decisions aren't made in seconds or minutes. There's no dealer to say, "TIME." 

 

Never negotiate with terrorist and never, ever appease dumbass offers.  The less communication with an unrealistic buyer, the better. If they're serious, they can prove it. 

Posted by

 

 
Greg Nino
, Houston area Realtor®.
Helping residential buyers, sellers and tenants 7 days a week.
Available @ 832-298-8555 

RE/MAX Compass (Formerly RE/MAX WHP)

www.GiveMeMyHomesValue.com

www.EverydayHoustonHomes.Com

 

 

The information contained in this blog is believed to be reliable and while every effort is made to assure that the information is as accurate as possible, the author of this blog, and its comments disclaim any implied warranty or representation about it's accuracy, completeness or appropriateness for any particular purpose. All information is copywritten and the property of Greg Nino.  

 

 

 

 

close

This entry hasn't been re-blogged:

Re-Blogged By Re-Blogged At
Topic:
Real Estate Best Practices

Spam prevention
Show All Comments
Ambassador
3,675,572
Patricia Kennedy
RLAH Real Estate - Washington, DC
Home in the Capital

Hey, Greg!  Dumbass offers only work on dumbass listings!  They might deserve one another.

Feb 25, 2016 01:13 PM #1
Ambassador
779,562
Doug Rogers
Bayou Properties - Alexandria, LA
Your Alexandria Louisiana Agent

Spot on as usual Nino.

Feb 25, 2016 10:56 PM #2
Rainmaker
2,783,205
Kathleen Daniels
KD Realty - 408.972.1822 - San Jose, CA
San Jose Homes for Sale-Probate & Trust Specialist

Greg, there are many of the school that believes in countering all offers.  If the offer is a dumbass offer that has insulted the seller ... that. just. ain't. going. to. happen. I've had sellers so pissed off at insulting offers they refused to engage with buyers ...at all. Even saying "I would not sell my home to that [blank] for a million dollars ... price of home was around $650K.

Feb 26, 2016 01:18 AM #3
Ambassador
2,841,988
Anna Banana Kruchten CRB, CRS 602-380-4886
Phoenix Property Shoppe - Phoenix, AZ
Arizona's Top Banana!

Greg yup. Recently our seller received stupid offer on sought after area/home just on the market with a lot of showing.  No. Thanks.  Next ...and within hour there was a close to list offer. 

Feb 26, 2016 03:44 AM #4
Rainmaker
1,190,017
Lorrie Semler, REALTOR® in the Dallas area. Call/text 972-416-3417
United Real Estate - Addison, TX
Real Service. Real Results. Real Estate

I love using the Seller's Invitation To Buyer to Submit Another Offer form that's available through the Texas Association of Realtors.

Feb 26, 2016 04:19 AM #5
Rainmaker
1,560,631
Carla Muss-Jacobs, RETIRED
RETIRED / State License is Inactive - Portland, OR

To me it's similar to the brilliant contractors who think I'm rich and can pay the $1,800 to rip out the deck boards on my dry rotted deck measuring 9 x 24.  Just to take out deck boards???  So they don't get the job.  I'm motivated 1,800 times over to put on a pair of gloves and grab crow bar and do it mayself!  They just lost a job.  You aren't a dumbass if you are being given the instructions from your client to write it up that way.  

Feb 27, 2016 06:59 AM #6
Show All Comments

What's the reason you're reporting this blog entry?

Are you sure you want to report this blog entry as spam?

Rainmaker
1,086,267

Greg Nino

Houston, Texas
Providing Real Estate Advice 7 days a week!
*
*
*
*
Spam prevention

Additional Information