You want to sell your home for as much money as possible and it can feel insulting to get an offer that is well below your asking price. In some cases, though, it makes sense to consider accepting the offer or at least using it as a springboard for negotiations.
Your House May Be Overpriced
You might think that the low offer is unreasonable, but the buyer’s offer might be justified. Your asking price should reflect current market conditions in your area and should be in line with the recent sale prices for comparable homes nearby. If you listed your house months ago and have gotten little interest from potential buyers, you have set the price too high.
Real estate markets are in a constant state of flux. If your area is now in a buyer’s market with more homes for sale than interested buyers, your asking price will no longer be appropriate.
If your house hasn’t sold after being on the market for a while, there could be something wrong with it. Some problems, such as neglected maintenance, may not seem important to you, but they will stick out to potential buyers and make them think that your house isn’t worth the asking price. It’s also possible that your house is smaller than others for sale in the area or lacks amenities that other homes have.
You Need to Sell Quickly
The buyer who made the low offer may have been preapproved for a mortgage, be able to pay cash or be eager to close as soon as possible. If you need to move by a specific date that is fast approaching, it would be a good idea to accept a low offer, especially if the buyer can close quickly and you know that you won’t hit any snags when it comes to financing.
A mortgage, property taxes, homeowners insurance, maintenance and repairs are expensive for one house. If you have already bought a new home and you are paying for all these expenses for two houses, you might be in over your head. Selling for less than your asking price can be the best way to ease the financial burden.
Discuss a Low Offer With Your Real Estate Agent
If your house has been on the market for months with little or no interest, or if you are in a hurry to sell, give a lowball offer careful consideration.
Someone who made an offer is interested in buying your home. You and your agent can discuss a reasonable counter offer and eventually agree on a sale price that is less than your asking price, but significantly higher than the buyer’s initial offer.