Providing high quality real estate services in the City of Charlottesville and the surrounding counties of Albemarle, Fluvanna, Greene, Louisa, Nelson, Madison & Orange.
You should always have background research available to support your monetary offer on a property. Knowing what comparable homes or homes in that neighborhood sold for in the last 12 months is a good indicator of market value, which is the price a seller is likely to receive for the property. It does help to know the seller's motivation of selling. Should the seller be relocating or other reason for a quick sale (30 days or less), you know that a lower offering price may be reasonable. If a property has been on the market a while, meaning 100+ days, then a lower offering price may also be reasonable. A property needing a substantial amount of interior and exterior maintenance may also be reasonable for a lower offering price.
Approaching the seller with a "low-ball offer" without background research can be insulting to the seller and result in no negotation on his part. Unless the house is very overpriced, the offer will probably be rejected.
As the buyer, you should also take into consideration the contingencies you're putting in your offer to purchase.
* Is the offer contingent upon the sale of your current home? If so, a low offer may not be as attractive as an offer without that condition.
* Is the offer made on the house "as is" or do you plan on performing a home inspection in which you expect the seller to make repairs? The seller may not be willing to perform repairs if a low-ball offer has been presented.
* Is the offer all cash? If so, then an offer at less than the asking price may be more attractive to the seller than a full-price offer with a financing contingency.
Back to the question, "can I offer the seller a really low offer to await their counteroffer?" The real question is, "how bad do you want the house?" In the midst of your low-ball offer, another offer could come along and the seller accept it immediately, leaving you without the home you were dreaming about.
Start shopping online! Email LindaWiller@remax.net for property listings in your price range