Consider The Offer

Sellers Don’t Be Offended By A Low Offer On Your Home
Do Not Take A Low Offer On Your Home Personal (even though it seems like it is) Consider before you ignore or outright refuse a very low purchase offer for your home. A counteroffer and negotiation could turn that low purchase offer into a sale. A purchase offer, even a very low one, means someone wants to purchase your home. It deserves an answer even if it is a rejection. Your Real Estate Agent can advise the best way to respond to an offer you definitely do not want to accept.

Depending on your competition, how long your house has been on the market and your motivation to move, you should counter the offer with the price and terms that are acceptable to you. Buyer’s want to try and see what they can get, how low they can go. Also, keep in mind in many cultures negotiating is how they do business.

A counteroffer signals that you’re willing to negotiate. One strategy for your counteroffer is to lower your price, but remove any concessions such as seller assistance with closing costs, or features such as kitchen appliances that you’d like to take with you.

  • Consider the terms Price is paramount for most buyers and sellers, but it’s not the only deal point. A low purchase offer might make sense if the contingencies are reasonable, the closing date meets your needs, and the buyer is preapproved for a mortgage. Consider what terms you might change in a counteroffer to make the deal work.
  • Review your comps Ask your REALTOR® whether any homes that are comparable to yours (known as “comps”) have been sold or put on the market since your home was listed for sale. If those new comps are at lower prices, you might have to lower your price to match them if you want to sell.
  • Consider the buyer’s comps Buyers sometimes attach comps to a low offer to try to convince the seller to accept a lower purchase offer. Take a look at those comps. Are the homes similar to yours? If so, your asking price might be unrealistic. If not, you might want to include in your counteroffer information about those homes and your own comps that justify your asking price.

If the purchase offer is too low to counter, but you don’t have a better option, ask your real estate agent to call the buyer’s agent and try to narrow the price gap so that a counteroffer would make sense. Also, ask your real estate agent whether the buyer (or buyer’s agent) has a reputation for low ball purchase offers. If that’s the case, you might feel freer to reject the offer.

Buyers are sensitive to signs that a seller may be receptive to a low purchase offer. If your home is vacant or your home’s listing describes you as a “motivated” seller, you may be communicating that you will accept a low offer.

If you can remedy the situation, maybe by renting furniture or asking your agent not to mention in your home listing that you’re motivated, the next purchase offer you get might be more to your liking.

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