Investor · Sarasota, FL · Member since 2008 · 17k+ posts · 17k+ votes
12y
Verbally counter back at $1000 higher than his offer. Let him get all excited and have his agent write up a formal counter at the new price. Then tell him you changed your mind, but you'll do it for $3000 more than that. Let him have his agent write up a new counter. Then tell him you changed your mind again. See how many offers you can get him to write before he gets pissed and walks away...
Real Estate Investor · Desoto, TX · Member since 2013 · 560 posts · 528 votes
12y
@James Wise I write my own offers (I am a licensed agent) and I get where you are coming from. I agree, I would never work with anyone where I was submitting a bunch of outrageous low ball offers. However, we are assuming the agent felt disrespected in this situation. The agent and buyer may have been successful in the past with the low ball method. Also, the agent is making a choice to do this (I assume no gun to the head). Honestly, we all waist someone's time. For example, when we get 3 quotes for repairs, most of the time we know 2 vendors are not getting the job and are quoting for comparison sake.
Springfield, MO · Member since 2014 · 252 posts · 117 votes
12y
There are several posts here that had me cracking up.
I think the point here is really integrity. We have an agent in my town who did the very thing that started this thread several years ago. He simply sent paper flying all over town with offers 0.30 on the $1. He did this for years and sure he did pick up some homes that way. But the reputation he has because of it stills resides with him today. I have found in life that a win-win for both sides is what makes a transaction a success.
Just because you could take advantage of a person/situation doesn't mean you should. Unfortunately in this situation this would be investor doesn't really care about helping someone out, just finding a deal.
Love the discussion though. As investors we do have to buy deals right, otherwise most the time they won't work.
While that is funny & I like we're your going with it. Just like Rob's comment I'm not offended by his ridiculous offer.
I'm never offended by an offer -- business is business, and good for him for trying.
But, at the same time, I'm going to do my best to dissuade him (or that agent) from being ridiculous and wasting people's time (at least wasting my time)in the future. Typically, the types of investors who do this are the ones who are new and just doing what they've been told by their "coach"...perhaps dealing with my obnoxiousness will make them actually think about what they're doing instead of just blindly listening...
@Pat Martin@John H. Are both of you licensed yourself? Writing your own offers?
I do not take issue with someone who's licensed shot gunning crazy offers all around town. I think it's prolly a waste of time but if you can pull in a deal every now and again more power to ya.
I take issue with this person wasting the time of his Realtor. Treating her as tho her time is worthless.
People running around making multiple low ball offers on everything is a drag. It's interesting that there are agents willing to help investor buyers do that.
But I think it goes both ways. I once had some sellers call me from my marketing. The asking price was $65K, and the property was listed. I said that was more than I would pay and that I don't usually work with listed properties. They begged for an offer, ANY offer they said. So I call the agent and offer $25K. The sellers call a week later having reduced the price to $58K and are wondering if now I'll consider making an offer. I said their agent has my offer and it was $25K. They had no idea I had made an offer (she didn't submit it) and said they couldn't do $25K but could I come up to $30K.
So lots going on there. A property priced too high, motivated sellers that will to take .50 cents on the dollar, and an agent not submitting offers. I can't know the sellers will take $30K without making the offer. Am I wasting the agents time by making an offer her clients asked for?
@Pat Martin@John H. Are both of you licensed yourself? Writing your own offers?
I do not take issue with someone who's licensed shot gunning crazy offers all around town. I think it's prolly a waste of time but if you can pull in a deal every now and again more power to ya.
I take issue with this person wasting the time of his Realtor. Treating her as tho her time is worthless.
People running around making multiple low ball offers on everything is a drag. It's interesting that there are agents willing to help investor buyers do that.
But I think it goes both ways. I once had some sellers call me from my marketing. The asking price was $65K, and the property was listed. I said that was more than I would pay and that I don't usually work with listed properties. They begged for an offer, ANY offer they said. So I call the agent and offer $25K. The sellers call a week later having reduced the price to $58K and are wondering if now I'll consider making an offer. I said their agent has my offer and it was $25K. They had no idea I had made an offer (she didn't submit it) and said they couldn't do $25K but could I come up to $30K.
So lots going on there. A property priced too high, motivated sellers that will to take .50 cents on the dollar, and an agent not submitting offers. I can't know the sellers will take $30K without making the offer. Am I wasting the agents time by making an offer her clients asked for?
Apples to Oranges.
I do not see the correlation between the story you described & this guy dragging this seemingly unknowing Realtor around all day.
Investor · Central Valley, CA · Member since 2012 · 6k+ posts · 3k+ votes
12y
Originally posted by @James Wise:
Originally posted by @K. Marie Poe:
So lots going on there. A property priced too high, motivated sellers that will to take .50 cents on the dollar, and an agent not submitting offers. I can't know the sellers will take $30K without making the offer. Am I wasting the agents time by making an offer her clients asked for?
Apples to Oranges.
I do not see the correlation between the story you described & this guy dragging this seemingly unknowing Realtor around all day.
To me it's similar. The agent here felt as you did. That it was a waste of her time to write up and submit my offer. However, she misgauged her client's motivation and the value (IMO). That's positive reinforcement for me to ignore the asking price and make more lowball offers.
How do we know that the agent submitting the offer to you today didn't write 20 lowball offers for that client and some were accepted?
Real Estate Broker · MA · Member since 2013 · 361 posts · 297 votes
12y
I wouldn't lump the agent in the with buyer as being an "idiot" or at fault, as some have suggested, since the agent has to present the offer, as you all know, even if they advise their client that it's a ridiculous offer. If the agent goes out again with the buyer, well then they're idiots :)
Rental Property Investor · Lockport, NY · Member since 2014 · 119 posts · 109 votes
12y
The asking price on a four unit was 92k. I told the Realtor to put in a 75k offer. She said she didn't want to put in a low ball offer. I got another Realtor and bought the place for 80k. At closing I realized that the sellers husband was a guy I knew in school. He told me that his wife inherited the property and HATED being a landlord and was so glad to get my offer.
Flipper/Rehabber · Elkhart, IN · Member since 2014 · 197 posts · 41 votes
12y
I agree with @Pat Martin to make money on offers we should try low offer to get the property for what we want. Also with the playing of the offer as @J Scott if you have the time.
The asking price on a four unit was 92k. I told the Realtor to put in a 75k offer. She said she didn't want to put in a low ball offer. I got another Realtor and bought the place for 80k. At closing I realized that the sellers husband was a guy I knew in school. He told me that his wife inherited the property and HATED being a landlord and was so glad to get my offer.
Did I low ball?
Too bad you didn't know he hated being a landlord prior to making the offer. You may have been able to buy it for a $75 applebee's gift card & an Ipad. ; )
The very first property I bought was listed for $70k and I offered $20k and after some back and forth, the offer was accepted at $22.5k. My initial offer was similar to what you have received. I didn't come out of a guru seminar when I made that offer. I had spent time on BP and my thought process was "I will never get a low offer accepted unless I ask for it"
I don't know about this investor, but that might be all the money he has and he might be trying his luck submitting multiple offers to see if one sticks and who knows that the buyer's agent is the one suggesting him to make the low offer.
You never know what the seller's motivation is. It is strictly business and we should never get upset about it or make an emotional decision. All you have to do is say no or do what @J Scott does.
The very first property I bought was listed for $70k and I offered $20k and after some back and forth, the offer was accepted at $22.5k. My initial offer was similar to what you have received. I didn't come out of a guru seminar when I made that offer. I had spent time on BP and my thought process was "I will never get a low offer accepted unless I ask for it"
I don't know about this investor, but that might be all the money he has and he might be trying his luck submitting multiple offers to see if one sticks and who knows that the buyer's agent is the one suggesting him to make the low offer.
You never know what the seller's motivation is. It is strictly business and we should never get upset about it or make an emotional decision. All you have to do is say no or do what @J Scott does.
It is strictly business for the realtor also. And if you waste the time of a realtor having her truck you all over town, she can (and should, and will) make the strictly business decision to tell you to pee up a rope next time you call.
The very first property I bought was listed for $70k and I offered $20k and after some back and forth, the offer was accepted at $22.5k. My initial offer was similar to what you have received. I didn't come out of a guru seminar when I made that offer. I had spent time on BP and my thought process was "I will never get a low offer accepted unless I ask for it"
I don't know about this investor, but that might be all the money he has and he might be trying his luck submitting multiple offers to see if one sticks and who knows that the buyer's agent is the one suggesting him to make the low offer.
You never know what the seller's motivation is. It is strictly business and we should never get upset about it or make an emotional decision. All you have to do is say no or do what @J Scott does.
It is strictly business for the realtor also. And if you waste the time of a realtor having her truck you all over town, she can (and should, and will) make the strictly business decision to tell you to pee up a rope next time you call.
Richard, I agree with you 100 percent. If the realtor thinks that the investor is a waste of time, then no point continuing doing business with the investor, but the fact that the agent actually made an offer, indicates otherwise. I doubt the agent was forced to submit the offer.
We are all assuming that the property is fairly priced and the investor or the buyer's agent doesn't see anything that the listing agent missed. Who is to say that it wasn't close to a fair offer.
Listing price is what a seller thinks the house is worth and the buyer's offer price is what the buyer thinks the house is worth to HIM.
The very first property I bought was listed for $70k and I offered $20k and after some back and forth, the offer was accepted at $22.5k. My initial offer was similar to what you have received. I didn't come out of a guru seminar when I made that offer. I had spent time on BP and my thought process was "I will never get a low offer accepted unless I ask for it"
I don't know about this investor, but that might be all the money he has and he might be trying his luck submitting multiple offers to see if one sticks and who knows that the buyer's agent is the one suggesting him to make the low offer.
You never know what the seller's motivation is. It is strictly business and we should never get upset about it or make an emotional decision. All you have to do is say no or do what @J Scott does.
It is strictly business for the realtor also. And if you waste the time of a realtor having her truck you all over town, she can (and should, and will) make the strictly business decision to tell you to pee up a rope next time you call.
Richard, I agree with you 100 percent. If the realtor thinks that the investor is a waste of time, then no point continuing doing business with the investor, but the fact that the agent actually made an offer, indicates otherwise. I doubt the agent was forced to submit the offer.
We are all assuming that the property is fairly priced and the investor or the buyer's agent doesn't see anything that the listing agent missed. Who is to say that it wasn't close to a fair offer.
Listing price is what a seller thinks the house is worth and the buyer's offer price is what the buyer thinks the house is worth to HIM.
I don't know what the law is in Ohio, but here the agent is in fact required to submit the offer.
@James Wise, I would contend the realtard wasted her own time. If she doesn't have a way to screen (screen out) her clients that is her own fault. Yes, the guy is a jerk but it should have been fairly easy to determine that without wasting much time.
The very first property I bought was listed for $70k and I offered $20k and after some back and forth, the offer was accepted at $22.5k. My initial offer was similar to what you have received. I didn't come out of a guru seminar when I made that offer. I had spent time on BP and my thought process was "I will never get a low offer accepted unless I ask for it"
I don't know about this investor, but that might be all the money he has and he might be trying his luck submitting multiple offers to see if one sticks and who knows that the buyer's agent is the one suggesting him to make the low offer.
You never know what the seller's motivation is. It is strictly business and we should never get upset about it or make an emotional decision. All you have to do is say no or do what @J Scott does.
It is strictly business for the realtor also. And if you waste the time of a realtor having her truck you all over town, she can (and should, and will) make the strictly business decision to tell you to pee up a rope next time you call.
Richard, I agree with you 100 percent. If the realtor thinks that the investor is a waste of time, then no point continuing doing business with the investor, but the fact that the agent actually made an offer, indicates otherwise. I doubt the agent was forced to submit the offer.
We are all assuming that the property is fairly priced and the investor or the buyer's agent doesn't see anything that the listing agent missed. Who is to say that it wasn't close to a fair offer.
Listing price is what a seller thinks the house is worth and the buyer's offer price is what the buyer thinks the house is worth to HIM.
I don't know what the law is in Ohio, but here the agent is in fact required to submit the offer.
The listing agent is required to submit all offers to their seller, but I am not so sure a buyer's agent has any obligation to submit an offer.