I've put an offer in for a property.....

Discussion in 'The Buying & Selling Process' started by JK200SX, 4th Aug, 2015.

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  1. wylie

    wylie Moderator Staff Member

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    So their range is $365K to $395K and you've offered $350K?

    I'm guessing they are annoyed with such a lowball offer and have countered at the top of their range as a sort of protest, to put you in your place (just guessing - that is what I would do unless I was desperate to sell).

    If you think it is worth $365K compared to similar houses, then other buyers will likely think the same and it may sell for $365K. Will you think "bummer... should have just offered $365K" if it sells for $365K?

    I prefer not to play silly games with lowball offers (and I'm not saying you shouldn't do what you want to do, unless you really don't care if someone else gets it.)
     
    wylie, 5th Aug, 2015
    #21
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  2. TMNT

    TMNT Well-Known Member

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    Asking prices or ranges shouldnt mean anything to you in terms of what its worth. You should havr a figure or range that you think its worth and work on that


    Thay being said you can scream snd yell at the agent at how ridicukous it is
    Or you can hard ball and withdraw or up your offer slightly

    Depends how keen you are or if its a great deal
     
    TMNT, 5th Aug, 2015
    #22
  3. wylie

    wylie Moderator Staff Member

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    Agree, and OP has said it is probably worth the bottom of the range (in his opinion). So such a lowball offer is likely seen to be quite insulting, and I can understand them coming back with the counter offer at the very top. I'd guess they would likely sell to anybody else first rather than deal with this person again.

    If they were not insulted, I believe they would have countered with something other than the highest of the range.

    You need to be careful using such tactics, and I'd never do that unless I really didn't care if it went to someone else. I've never lowballed. I have offered less than asking, but not insultingly less.
     
    wylie, 5th Aug, 2015
    #23
  4. The Y-man

    The Y-man Moderator Staff Member

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    FYI, my view is that Mernda is a bit of a slow market - lots of H&L for sale, plenty of land just been opened up for development, lots of stock (re com returns 176 houses for sale).
    Not much transport infrastructure at present either.

    So IMHO low balling/walk away is probably not a bad tactic for the area.

    The Y-man
     
    The Y-man, 5th Aug, 2015
    #24
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  5. JK200SX

    JK200SX Well-Known Member

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    Agent still hasn't emailed contract yet..... I guess I'll just wait for his move?
    If it looks fair dinkum, perhaps I should up price to 365K?
     
    JK200SX, 5th Aug, 2015
    #25
  6. The Y-man

    The Y-man Moderator Staff Member

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    Up to you if you want to pay a tad more.

    There's a few things here - the sheer fact the agent entertained your offer to the point of getting you to sign the contract means there was probably no-one else remotely interested. Good for you.

    I'd say he is waiting for other potential buyers to get back to him with a better offer (he has a few days until your offer expires).



    The Y-man
     
    The Y-man, 5th Aug, 2015
    #26
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  7. Big Will

    Big Will Well-Known Member

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    Up to you how you play the game, either increase your offer I wouldn't go straight to 365k if you think that is a max price you would pay. You might increase it to 360k and tell the REA 'I was hoping to keep a little extra in the bank for the repairs and assist with purchasing costs'.

    Or you can just put it back on them and say the price these vendors are expecting are not reality and you are going to check out x y z property instead however if the vendors are interested in actually selling let you know as you did like xxxx feature.
     
    Big Will, 5th Aug, 2015
    #27
  8. JK200SX

    JK200SX Well-Known Member

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    Yes, the agent has emailed back the counteroffer. He said he will keep me posted on other offers, and interestingly he said that there was to be another offer placed on the house this morning - but have not heard anything yet. I spoke to him briefly(about special conditions) and he said they will be coming in in the afternoon....
     
    JK200SX, 5th Aug, 2015
    #28
  9. Chilliblue

    Chilliblue Well-Known Member

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    You will either get it or you won't. Try to take the emotion out of it and work on Plan B then Plan C and so on.
     
    Chilliblue, 5th Aug, 2015
    #29
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  10. Sackie

    Sackie Well-Known Member

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    I agree with Chilliblue. Once they sense weakness and desperation - its over. They will either get you to pay more or jerk you around for awhile until they decide who is the best offer.
     
    Sackie, 5th Aug, 2015
    #30
  11. JK200SX

    JK200SX Well-Known Member

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    Agents come back saying another party has put unconditional offer at 370K @45 day settlement. They also said vendor has dropped to 390K.
     
    JK200SX, 5th Aug, 2015
    #31
  12. Jamie_

    Jamie_ Well-Known Member

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    find another property
     
    Jamie_, 5th Aug, 2015
    #32
  13. Sackie

    Sackie Well-Known Member

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    I agree with you @wylie about not lowballing unless you don't care. Although really one should never commit themselves to a point of caring too much. With regards to lowballing...I gotta say I have made plenty and a fraction of them being accepted has made it more than worth it in the end. I'm happy to 'insult' 9 people with low offers if the 10th accepts it :D

    But I respect everyone has their own approach too.
     
    Sackie, 5th Aug, 2015
    #33
  14. S.T

    S.T Well-Known Member

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    Ah, is that new? Have to say my last few places in Vic were bought at auction, so haven't seen the REIV contract for a few years.
     
    S.T, 5th Aug, 2015
    #34
  15. Esh

    Esh Well-Known Member

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    Just curious, was there a reason to delay settlement? I think in this market, if you want to have special terms then you really need to offer a good price. There has to be a balance of win/win.

    Also another thing to have in mind if you put in a lowball offer, that you don't want to keep going back and make offers. Each time you make an offer the owner will just question how much more you have in your pocket
     
    Esh, 5th Aug, 2015
    #35
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  16. The Y-man

    The Y-man Moderator Staff Member

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    I think so - though I was out of the market for a while too....

    The Y-man
     
    The Y-man, 5th Aug, 2015
    #36
  17. Big Will

    Big Will Well-Known Member

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    Yes it is correct 3 day expiry unless otherwise stated, it is stated on the first page where both parties sign.

    So if you put down 1 day then it is one clear business day otherwise it will be 3 clear business days.

    The cooling off remains unchanged.
     
    Big Will, 6th Aug, 2015
    #37
  18. S.T

    S.T Well-Known Member

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    Thanks guys, good to know Victoria is at the forefront once again ;)
     
    S.T, 6th Aug, 2015
    #38
  19. Azazel

    Azazel Well-Known Member

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    Sounds good, but offer an odd figure like $359,212.
     
    Azazel, 6th Aug, 2015
    #39
  20. AusMover

    AusMover Well-Known Member

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    Hi xornr89,

    This is interetsing..... So, just to clarify, did you negotiate on the price even after the Contract of Sale was signed by you with the offer and/or it was accepted? :confused:

    Or was the Building & Pest Inspection conducted first, and then you made your offer post the report?

    Usually, the Building & Pest Inspection is done after the Contract of Sale is signed and accepted, and we can't change the Offer Price after the offer has been accepted, right?

    Thank you. :)
     
    AusMover, 6th Aug, 2015
    #40
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