In my 34-plus years of selling Naperville area real estate, I have successfully negotiated over 1,000 real estate transactions, some easier than others. Just recently, I received two “lowball” offers on my listings and needless to say, my work was cut out for me.
No one appreciates a low offer on their home. The first impulse is to reject it outright. Whenever you receive an offer, however, it is essential that you evaluate it properly and not simply give an emotional response.
Here are some ideas:
Buyer’s True Intentions: Most buyers don’t make a low offer with the purpose of getting you upset. There is nothing to be gained by such a strategy. Is the buyer seriously interested in your house, but not able to pay more? Maybe the buyer will pay more but wants to see how motivated you are to sell. Perhaps the buyer is only interested if he/she can steal the house. Some buyers get advice from family or friends about negotiating that incorrect and does not really reflect the desire of the buyer to buy your home. So, a low offer does not indicate anything. You must learn more.
Future Offers: Is it likely you will receive other offers in the near future or has this offer taken a long time to materialize? Some sellers who get this offer immediately after listing the house aren’t very flexible because they think there are other offers just around the corner. This may or may not be your situation. When evaluating a low offer, you should also think about the possibility of other offers.
Your needs: What are your needs and how does this offer address your needs? Sometimes a low offer is hard to accept, but it may help you get out of this situation, turn the page and move on with your life.
Advise: As painful as a low offer may be, don’t write it off immediately. Consider some of the factors listed above and also get your Realtor’s® advice. Realtors® develop a sixth sense of what to do and not do when negotiating offers. Remember, it is not where you start, but where you end up.
