Offered 10k for a 35k property (winston salem nc)

1 Reply

This is my 3rd offer... i have a family that wanted to go back to California and had a 35k property which they said was worth 45k.  I have not seen the inside but the comps was about 35k... so i offered a soft pass of 10k they called me crazy, so i offered 15k and they said if i cant offer 35k dont call them back and hung up on me...  when i was talking to the son i was trying to build rapport but i was kind of talking to many people cause i was on speaker...  what could i have done better?

First question...why did you make an offer without seeing the property?

Second question...did you at least ask them what condition they believed the interior & exterior were in, after they told you what they thought it was worth? 

Third question...did you ask them on what they were basing their belief regarding the property's value?

If they were pressuring you for an offer, before you had a chance to look at the property, then I understand the $10k offer.  However, I would have placed that offer in context by saying something like, "If you force me to give you an offer right now, without seeing the house, that's the best I can do.  There are simply too many unknowns about the condition of the property and what it would cost to bring it up to market standards for me to do any better.  However, if you will let me come out and inspect the property, I can get you an estimate which reflects the true value of the house."

If you ask them to objectively evaluate the condition of the house - say on a scale of 1 to 10 - your start creating doubt in their mind about the value of the house and set the stage for you telling them why you can only offer $X on the property, because there are $20k in repairs that are needed.

By asking them where they came up with the number they are using as the value, you set the stage for challenging that belief, without it sounding like you are challenging them.

Language is a powerful tool.  You can say the same thing multiple ways and get entirely different results.  I recommend you create a script you can follow, when you speak with sellers.  That way you are ready to handle their objections in advance and don't have to wing it.

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