Are you wondering how to respond to a lowball offer on your property? Sellers often find lowball offers disappointing, to say the least, and sometimes offensive. In today’s ever-changing real estate market, buyer and seller expectations don’t always align. So, if you find yourself receiving lowball offers, here are three proven ways to handle that:
1. Double-check your price. First, re-evaluate the price you’ve set for your home. Confirm with your agent that your listing price still holds up against recent sales in the area. Have your agent recheck comparable sales or comps and see if any new sales impact your pricing strategy. If your price is still appropriate, have your agent share this information with the buyer’s agent. Sometimes, simply sharing your rationale can lead to a higher offer.
2. Always counteroffer. Though you might find it tempting to ignore low offers, it’s best to respond with a counteroffer. Often, a low initial offer is just a starting point. Making a counteroffer shows that you are willing to negotiate, and the buyer may come up significantly in their offer. If they don’t budge, you haven’t lost anything by trying.
“Effective negotiation can turn a lowball offer into a great deal.”
3. Compromise on other terms. Review the entire offer with your agent and consider all the terms, not just the price. Other aspects of the offer could provide value, such as a favorable closing date, the ability to stay in the house for a few months after closing, or flexible inspection terms. There might also be fewer contingencies, making the offer more attractive overall. Evaluate the offer holistically before making your decision.
Handling a lowball offer can be challenging, but by re-evaluating your price, always countering, and reviewing the entire offer, you can navigate the negotiation process more effectively. If you have any questions about dealing with lowball offers or any other real estate concerns, feel free to text or call me at 205-531-2747 or visit our website at www.briankelleher.kw.com. I look forward to hearing from you!
