Getting an offer that is lower than you would like and one that is quite a bit lower than the asking price is very disappointing and frustrating. You may have your mind on another figure, one that you feel is reasonable and that you think you should achieve. It can be upsetting if you receive an offer that is low…. you may even feel insulted. But look on the bright side, you have an offer, somebody wants to buy your home and that’s a good position to be in. Unless it’s a ridiculously silly offer of course.
So how do you deal with this low offer? Do you graciously accept? Do you barter until you’re blue in the face? Do you slam the door and tell them to stick it? Here at Alexander Taylor we understand your frustration but the important thing is to remain calm. See this as an opportunity, work with your estate agent and guide the buyer to where you need to be. Here are our suggestions on how to handle the situation:
Take a step back – selling a home is an emotional rollercoaster. It is full of ups and downs, twists and turns. It can make you feel on top of the world one minute and sick as a dog the next. When you get a low offer, it is easy to get caught up with your emotions and react in an emotional way. Before you go telling the buyer to stick their offer, take a step back. Try and approach this objectively. This is an opportunity…. from this point on it is down to negotiations. Try and detach yourself from your emotional response and approach this with your business head on.
You are in the driving seat – this is your sale and you are in control. You do not have to accept an offer if you are not happy with it. You may feel pressure to sell your home because of your situation, maybe you have found the dream home you want to buy. Maybe you need to release some cash. Whatever your circumstances, just remember…. you are in control, you are in the driving seat.
Review the local market – If you and your agent are confident that your home has been priced correctly, stick to your guns. Ask your agent to do some up to date research on prices since your home went on the market. This is so you can double check that you are not holding out for an offer that is unrealistic and over inflated. If the price you are asking is right, you can use this research to support a counter offer and justify your asking price. Or if prices have reduced in an area, it may make you reconsider an offer your initially thought was low.
Negotiate – take the offer you have received as a starting point, a figure to build on. Discuss the situation with your estate agent and agree a counter offer. One way to do this is counter offer with a figure that is the lowest amount you will accept. Make it clear this is your lowest and you are not getting into counter offer ping pong. Another way of negotiating would be to counter with a higher offer, much nearer the asking price. This will send out the signal that you are not messing around or playing games with cheeky offers and they will have to up theirs quite a bit. The buyer will hopefully then put forward an offer nearer the minimum value you will accept.
Consider the buyer’s position – look at the position your buyer is in. Can they move quickly? Do they have a house to sell? How big is the chain? Are they a cash buyer? Their position can have an impact on your sale and if they are in a good position it may be worth considering a lower offer. Your circumstances can have great influence over this. Their position could be worth the hit in money if you want to move quickly.
Follow your agent’s advice – estate agents are experienced and knowledgeable when it comes to dealing with a low offer. Usually it is in their interest to get a higher sale for you as the higher the sale the more commission they will get. So, follow their lead and their advice. This negotiation process is a sensitive one and you pay your estate agent to deal with this and get the best outcome for you. So, utilise their capabilities and expertise.
If you are selling your home and are not getting the right offers, why not speak to us? We can offer you advice on why this may be. We have proven ways to market and promote your home to get you the best offers your home deserves. For a chat about how we can help you call me on 01324 811 233 or email firstname.lastname@example.org