W;hat Approach do You Use for the "Final Money Question"?

Question

After making contact with a seller, making conversation and turning to the matter at hand, how do you like to ask the all-important money question?

Here are some variations I"ve read here, and elsewhere:

"How much do you need to get for the property?"
"What do you think would be a fair price for the property?"
"If we pay cash with no realtors fees involved, close quickly, and take the property in its as-is condition, what is the least you will take"

It may also depend more on the specifics of the particular situation, but sooner or later this inquiry is usually made. It would certainly be helpful & educational to see what BP members have had success with.

Its said again and again that one makes their money when they buy, not when they sell.

PS Please pardon the typo in the title line - it can't be edited once posted.

Ned Carey · Answer

Do you  need any money for it or do you just want to get it out of your name?

How much will you pay me to take this turd off your hands?

I have used the first one very effectively.  Although I have been tempted, I never had the nerve to try the second one.    - Ned

Ned Carey · Answer

No Sam I think it's probably worth double or triple that  :-)

Sam W. · Answer

I too am hardly an expert - and I haven't stayed at a Holiday Inn Express lately.....

In my mind, he who names the price first SETS THE BAR...I'd rather begin negotiating from a position that I established rather than reacting to a value someone else placed on the property.

That's why car dealers put MSRP stickers in the windows.  They set the bar for negotiation.

Of course, this advice is worth exactly what everyone paid for it...

Dawn Anastasi · Answer

You may be in negotiations with someone and they are hoping to get, for example, $25K.  Then you lead off with "I know what similar properties are selling for in the area and I can offer you $30,000 for your property as it sits right now" and boom!  You've just lost $5K right out of the gate.

However, if you let them lead off, they may start at $30K and then you know that you might be able to nudge them down a bit.  Even if you only nudge them down $1,000, then you've just saved yourself $1,000.

Will Barnard · Answer

I am not a expert on this topic, but do consider myself we'll versed in negotiations. With that in mind, I am of the opinion that he who names the price first loses. I always have the seller quote a price first and work from there so I would not be one to go with Sam's verbiage.

Sam W. · Answer

"I know what similar properties are selling for in the area and I can offer you $xx,xxx for your property as it sits right now -- and we can close quickly if you'd like.  I think its a fair deal for both of us.  Is this something that would interest you?"

I'm not a fan of the back and forth of "what do you what for your property" type negotiation.  Be up-front.  Tell the seller what you want to pay for the property and go from there.

W;hat Approach do You Use for the "Final Money Question"?

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