Insulting offer on my old house?

[hornadylnl]

I finally got an offer on my old house. It's been up for sale about 9 months now. I realize the housing market sucks right now. We had already dropped the asking price almost 8%. The offer is almost 30% less than the already dropped price. We are now asking what we paid for the house 12 years ago plus we've easily put $15k in improvements.

I dont think I'll even entertain a counteroffer.

 

[joslar15]

It's really a buyer's market right now, they have many motivated sellers to choose from.

 

[edsinger]

I dont think I'll even entertain a counteroffer.

For Giggles, RAISE your price on your counter offer...that was it lets them KNOW that they lowballed you and you KNOW it.

 

[Indy_Guy_77]

That's the game these days...

No big deal.

ETA CSB:

A few years ago when my wife & were looking at houses, we offered a very fair price for a house that we rather fancied. Their counter offer was like $400 lower than their asking price. We countered a few $k more to play the game. Re-counter offer didn't drop 1 cent.

And you know what? That house didn't sell for almost a year. When they DID sell it, it was for far lower than our original offer.

It's all a game; both sides play it in hopes of winning.


-J-

 

[Hiker1911]

A better offer will happen eventually, and I would not counter a low ball offer like that. The buyer is not playing fair.

 

[hornadylnl]

Right now, the only thing it's costing me is utilities, insurance and taxes. I'm not going to hold out over a few k as I could wailt lose that with the above.

 

[eldirector]

Don't even counter offer, just say "no, thanks".

They'll either go away, or offer something realistic.

 

[hornadylnl]

I knew we'd never get the initial price that the realtor put it at. If I counter this guy, I'll probably drop $10k and make it known it's as is at that price. No fixes, etc.

 

[88GT]

And how many showings has your home had in those nine months? How many written offers?

The Only Mistake the Seller Made was NOT Dealing with the Offer In Hand....14 Months Later

Just don't let this be you. 9 months is an eternity even in this market. If you aren't selling, you're overpriced.

That said, why would you not play ball and see how high the buyer is willing to come up? Do you really think you're doing yourself any favors by telling him to pound sand? Do you know how many sales of late are $10K or $20K below asking price (sales in which those amounts represent 10-20 percent of the asking price, not just 1-2%)? There's a precedent for success in that venture and the buyer probably knows it. He's gambling on a some assumptions which may or may not be true, but if he doesn't ask, the answer will always be 'no.'

 

[Naptown]

Just tell them no, and then you can sell it for 40% less than your asking price. Oh yeah, and go ahead and get yourself a 'Price Reduced' sign. You can give us an update at 18 months.

You made up the difference buying your new place. Counter offer them and be happy you got an offer. I'm in the process of taking a $40K bath. Are you smelling what I'm stepping in?

 

[kwatters]

I finally got an offer on my old house. It's been up for sale about 9 months now. I realize the housing market sucks right now. We had already dropped the asking price almost 8%. The offer is almost 30% less than the already dropped price. We are now asking what we paid for the house 12 years ago plus we've easily put $15k in improvements.

I dont think I'll even entertain a counteroffer.

I feel your pain, I built another 3 car garage, $20K, replaced all the windows and doors, $10K. Just had my house appraised for refinancing and it comes out only $13K more than when I bought it 13 years ago. Crappy market, I am not sure when it will get better.

 

[E5RANGER375]

right now you are lucky to even break even. we sold a property for a loss just to dump it before it became a bigger loss. when we bought our new/used house, we bought one we knew needed work but one that we (even in this market) had instant equity. Also we didnt look for a house bigger than what we would need for a few years, because we want to purchase property in the country still.

if you feel you can justify the cost of maintaining a second property then do it and hold out for the market to bound back.

real estate is still a better investment than a 401k right now.

edit: I wouldnt be insulted by any offer right now. I would look at it as hope. at least someone finds your property desirable. in the end any property is only worth what someone takes for it, so I dont think you can be mad at a buyer for trying to see how bad you wanna get rid of an empty house. 2-cents

go look at some of the auction prices and it will blow your mind! thats where to go and buy property!

 

[public servant]

Crappy market, I am not sure when it will get better.

Not soon. Experts are predicting housing values will fall another 10-15% this year.

 

[hornadylnl]

It's been shown several times. Another one this afternoon in fact. The guy who made the offer is going through USDA I guess. Plunge an offer is accepted, who knows how much I'll get dinged on required fixes.

 

[88GT]

It's been shown several times. Another one this afternoon in fact. The guy who made the offer is going through USDA I guess. Plunge an offer is accepted, who knows how much I'll get dinged on required fixes.

But how many bona fide OFFERS IN WRITING have been presented to you?

Being shown only means that people are interested in what it has to offer and the price might be on par with their expectations. If you're getting showings but no offers, you have no better indication that you are overpriced. Your home simply doesn't meet their expectations at the price you're asking.

Don't shoot the messenger. That's just the way it is.

 

[Naptown]

It's been shown several times. Another one this afternoon in fact. The guy who made the offer is going through USDA I guess. Plunge an offer is accepted, who knows how much I'll get dinged on required fixes.

Sell it "As Is."

 

[MinuteMan47]

One year after I moved in I tried to refinance my home, the new appraisal came in at $30k more than what I bought the home for, which was close to what I put into my home in improvements! Awesome right. Well, the refinance didn't happen actually until last year, when they reappraised again the house ended up being $5k LESS than what I had bought the home for...needless to say I was PISSED.

My neighbors just sold their home. The price started at $180K...it sold for $106K....

 

[88GT]

Sell it "As Is."

If loan underwriting requires certain repairs, selling "as is" doesn't make those requirements go away. It simply closes the door on that loan. And if that's the loan the buyer wants or needs.....there's no closing.

 

[dross]

You shouldn't be insulted by a low offer. Just as a buyer shouldn't be insulted at a price he thinks is too high.

All they are doing is offering you a price they are willing to pay. If you're not willing to take that price, who is harmed?

 

[VanillaThunder]

^^ This.

I am a Realtor, this is what I go through every day. People don't understand that their home is only worth what someone is willing to pay for it. If it's worth that much to you, I strongly suggest you stay in that home.

USDA and FHA do have regulations about repairs. Selling as is is a great idea, provided none of the repairs needed will keep the buyer from getting the mortgage.

It equates really well to trying to buy something on craigslist... Sellers always want you to know how much they "payed" for something. That's great, but what you paid for something does not= what it's worth.

As a Realtor and INGO member, I'm happy to give any free advice you'd like, if you want to PM me I can check your listing and give you my honest opinion.