If you make a lowball offer on a home you love, there’s a good chance you’ll lose out on that home to another buyer. Today I want to tell you why.
Today I want to talk about the dangers of making a lowball offer.
In our industry, a lowball offer is when a buyer makes a drastically low offer on a home that’s listed for sale. Why is this dangerous?
Let me provide some context—if you don’t love the property, it doesn’t matter what you offer. You can make an offer as low as you want for a property you don’t love because if you don’t get it, it doesn’t matter. I’m talking about the property that you absolutely love. It’s dangerous to make a lowball offer on a property you love because you run the risk of the seller not countering your offer and meeting you somewhere in the middle.
“There is a better strategy than making a lowball offer.”
If you love a property, you have to have a strategy to get a good deal on it, and there are better strategies than making a lowball offer. If you make a lowball offer, what often ends up happening is another buyer will come along after you and make an offer somewhere between your offer and the seller’s asking price. The seller will then accept that other offer because of what your lowball offer did to their psyche. You made them feel angst about their home sale, and the other buyer’s offer made them feel better.
Remember—you have the dream, we have the address. If you have any questions about this topic or have any other real estate needs, don’t hesitate to reach out to us. We’d be happy to help.
