pennelope Posted – 25/08/2004 : 14:15:13
Hi there
am reasonably new to this game and one thing I would like to become more confident in is the negotiation process. Is there a fixed proceedure or standard offer ie say offer 10000K less or does it depend on the individual property.
thanks penne
______________________________$10,000 less or 10000K ($10,000,000) less
? sorry am in a silly moodneg depends on the property, common questions asked by buyers are:
How long has it been on the market?
Have you had much interest?
Why are the owners selling?
Have you had any offers?
Have many homes been selling in this price range?These will all give you an idea of the situation with that particular property. REA are required to tell the truth in all matters relating to property (although some will bend or not diclose the whole truth) another way is to sepak to the neighbours, they’ll have the best idea of what is happening as far as how many inspections have been held, how the OFI’s have gone and why the owners are selling.
As to your final offer, generally the longer the property has been on the market the more motivated the vendor will be and the more receptive they are to offers. Thus offering $10,000 less than the listed price during the first week the home is on the market mightn’t be as well recieved then if the home had been on the market 6 weeks. But it IS a buyers market out there and you can afford to be more discerning with your offers because there’s less of you competing for the homes.
Hope this helps,
cheers,
e xanother way is to sepak to the neighbours,He is a black rapper guy I think [upsidedown]
Also in a silly mood
David J
Licenced Agent/Sales ManagerTouché,
e xTalking about offers,
what is the general feeling on “low-balling”? I am in the process of finalising the purchase on my home and I offered $16k under the asking price. Fortunately for me, the valuation came in at $15k under the asking price.
As a vendor I’d hate to be ‘low-balled’, but I am looking at this from a business point of view and buying an IP at discount is offten the difference between +ve and -ve cashflow.Your thoughts (my appologies to the REA’s up front)
Cheers
C@34
https://www.propertyinvesting.com/forum/topic/12465.html
hope this link works. Just found it – others opinion on ‘low-balling’.
Cheers
C@34
Your thoughts (my appologies to the REA’s up front)I have buyers try to lowball, they just don’t get away with it [grad]
Many years and hundreds of sales give me a wee bit more negotiating experience than most buyers, BUT (taking off RE hat) how else can a buyer flush out the best price apart from trying it on. The trick is to get it low enough to get them talking but not too low to insult them. Plus always keeping in mind it may well be on the market at THE right price. Do your searching, compare properties and go for it. Most of the fun is in the negotiating, its what I live for [thumbsupanim]
David J
Licenced Agent/Sales ManagerHi all, we always have subject to; building and pest inspection and finance date. Although I do like tennants @ $$$/wk.
Also when looking to buy we look at the list price, research etc and offer a price that leaves our top limit the middle ground between our offer and the list price. (seems like double dutch)
eg house listed @ $200000. We reckon $190000 so we offer $180000 and negotiate our way to $190000!!! worked so far.
Also some years ago my dad found a divorce settlement sale and offered about $65000 on a list price of $85000(I think) and got it!!!
No negotiation, no hesitation.If only they were that simple.[cigar]
Matt
? sorry am in a silly mood
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