Seller vs. Buyer or vice versa

| Monday, February 28th, 2011 | 1 Comment »

It’s a long standing tradition for sellers and buyers to take opposing sides on any transaction. Duh. Otherwise, why would we have invented real estate agents? A listing agent’s job is to get the most amount of money for a seller and a buyer’s agent’s job is to get the best home for the least amount of money.  Then it goes a little something like this: the seller sets a price that is realistic enough to entice a buyer into seeing their home but once a buyer considers making an offer, they find something wrong with the price. I know I’m not telling you anything new and I know this isn’t always the case but I would like to blog a little about my recent experience.

Here’s the scenario:  A seller has their home on the market for awhile (I consider “awhile” to be anything over 3 months). They have already lowered the price thus putting this particular home into my buyer’s price range. It’s a lovely home, better than its competition yet it isn’t selling. Naturally, a buyer’s first thought is to offer a lower price given the above circumstances. We offer lower than the asking price but not a low ball offer by any means (I consider “low ball” to be more than 3% off the purchase price) and the seller flat out rejects it. We are stunned. The listing agent tells me the sellers actually think their house is worth more and they don’t want to just give it away. They are able to make the current payment and are in no hurry to sell despite the fact they have already bought another home. I’m stunned. Like my clients, I thought it was a good offer based on the home’s circumstances and also the recent sales in the area. However, I did tell my buyer’s that even at the current asking price the home seemed like a good deal. So I did the whole song and dance with the listing agent telling him that there is no such thing as “worth” and that a home will sell for whatever a buyer is willing to pay…blah, blah, blah. We ended up meeting in the middle but my point is, you never know what a seller’s motivation is.  Just because a home has been sitting on the market doesn’t make the sellers desperate. Each seller is different and as long as you know the area and what the current values in the area are, hopefully you can find a solution that works for both parties.

Bottom line: sellers should set a realistic price for selling their home. If it’s within reason it will attract serious buyers and should end up selling for a price that’s close to the asking price. Buyers: just because you’ve heard over and over again that it’s a buyers market, doesn’t mean all sellers are desperate. Some can afford to wait for the right offer so when you find a house you like, put your best foot forward. In the end, both parties should walk away happy.

If you are a buyer or seller who wants to walk away happy, let me help you with your real estate needs!

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One Comment

  1. Lisa Kyles says:

    Great post and easy to relate to! And so very true. Good explanation and reminder how every transaction is different along with every buyer and seller.

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