Sellers, Time to Rethink Lowball Offers

In a buyer’s market like we are currently in, many potential buyers have turned to two words that most sellers despise, “lowball offer”! Buyers invariably feel as if their home is worth every penny it is listed for, because for them it is just not a monetary investment but also includes the time and memories that they have invested. So when a lowball offer arrives, they quickly become on the defensive as most feel as they are getting taken advantage of.
This is not the right reaction to have for a couple of reasons. One reason is that a dialogue has been started, and that it might result in the sale of the home. Secondly, but equally importantly, detachment and objectivity is needed when selling a home- especially in today’s market.
If a seller wants to avoid the situation of dealing with a lowball offer, it is important that they price the property competitively at the start. Some owners will overprice the property in order to be able to negotiate and still get the price they were originally wanting, but this is not a good strategy. It is better to price the property in comparison to recent sales and homes in the neighborhood in order to avoid lowball offers.
For buyers it is important when financing is an issue, to be preapproved before submitting an offer. It is even a better negotiating tool if the offer is not contingent on the sale of a home.
While the market is slow, competitively priced properties continue to sell. Do not let your property languish on the market, price it right and even consider negotiating on lowball offers!