A sure way to kill a potential deal
01/17/2014 | Author: Ward Lowe
How would you respond to a low offer—I mean really low?
Many sellers are offended. So offended that they refuse to respond. After all, it’s an insult! And that’s one way to look at it. Another way is that someone just showed interest in buying your house.
Isn’t that what you wanted when you put it on the market?
Perhaps the person who made the offer is willing to come closer to your asking price. Your Texas REALTOR® can help you find out.
One thing is for sure: If you don’t respond, you’ll never know how serious the other party is about buying your house. And you’ll never know if you killed a potential deal.
What is listing agents responsebilty in presenting or getting multiple offers,is first in a priority to decline or counter or reject?or do listing agents go thru all offers and pick best one,what is trec position on this
While a buyer may present a “low-ball” offer…no matter how good the market is, it is an offer and deserves consideration. I think it’s an insult from that Seller and other agent or broker if I’m told, (just a verbal, now) that the Seller has rejected an offer. I’m sorry to feel this way, but it makes me question if it was even presented. Using the Addendum provided by The Texas Association of REALTORS rejecting the offer and inviting that Buyer to make another offer is best way to handle this situation, in my opinion. This just recently happened to me representing the Buyer and while they expected to pay more , they have crossed that property off their list.
Seller’s often get offended when presented with a really low-ball offer, especially when they have a nice property to sell. Presenting all offers and helping them understand that some buyers just want to play “the game” and throw something out there to see “how low can we go” is part of our responsibility. I advise my sellers that it is always in their best interest to counter-back; depending on a list of other considerations the counter might be at list price or it might be lower. Every situation is different. Counter-back and see if the buyer is serious; if they aren’t they will move on and you can wait for a realistic buyer. The low-ball ship has sailed in our area!
A seller should never just totally reject an offer!!!! Invite them to make another offer that is closer to asking price, counter back with a slight reduction in asking price, but never totally refect an offer. I had a seller who was so insulted with his first offer that he countered back at $25,000 more than he was asking!!!! Against my better judgment. However, the buyer came back with a closer to asking price offer, and we worked it out. Even had the septic fail inspection and still worked it out. Never reject a written offer!
I totally agree with your article. Agents are just as much the problem as the seller. They act negative as soon as they see the offer and do not think what can I do to make this work. I have been told in MCE classes that I teach, there are agent who do not even present these offers or decline to present. Educating agents as to the legal responsibility to present all offers and as you said look forward to working with the buyer and see what you can do to make it work is the best way to handle it.
When I receive a low offer, we respond “Than you very much for your offer. We appreciate the time you took to put it together however my seller would like to see something a little closer to their asking price. They will seriously consider any reasonable offer.”