THE RISK OF LOWBALL OFFERS
As a buyer, a successful offer depends on two things: Price and timing. Obviously, the price you offer is critical, not just for your budget, but for your seller’s goals as well. A lot of buyers think they’ll start by making a lowball offer in the hopes of scoring a real steal – after all, what’s the harm? You might be surprised. By making a lowball offer, you risk insulting the seller and can even reduce the likelihood they’ll want to negotiate with you at a higher price. And while you’re waiting to craft your next move, there’s a really good chance another buyer will come along with a far more realistic offer or maybe even a full-price offer. And before you know it, you’ll be entirely out of the running.
Timing is also of prime importance. Many buyers make the mistake of waiting until a listing ages a bit to see if a price drop occurs, or to see if someone else makes an offer to “test the waters.” A better strategy: Make a strong offer right away to be ahead of the rest of the competition and secure favor with the seller.
Bottom line: Work with your agent and rely on their expertise and guidance to make an offer a seller just can’t refuse.
