HUD Articles
HOW TO DEAL WITH LOW-BALL OFFERS
August 12, 2021
In this business, some buyers and/or agents automatically associate a foreclosed property with a low-ball offer. The buyers and their agents often explain the condition of your listing as if you have never been to the property, completed numerous inspections (sometimes several times a week because a neighbor has called about the light being left on), BPO's, monthly reports, ect.
The buyer's expertise has (in their minds) justified making a low-ball offer. Take a deep breath! Explain how the value came about.
The buyer may ask, "what world is that appraiser from?"
Do not attempt to answer!
Sometimes the appraisers are from another world!!
But instead, encourage the buyer to write up an offer, along with supporting documentation. Council the buyer that there may be a HIGH probability that their offer will be countered at or near list price or even rejected completely without a counter.
"Do not take it personally", you tell the buyer. "We can submit as many low-ball offers as you like until an offer is accepted." 12 months later, that buyer has successfully purchased a home...on another property in their price range!
The moral of the story is that low-ball buyers are buyers. We just have to find them a home that is priced in their low-ball price range...even if its a year later!
