How to handle low-ball offers
Receiving an offer well below your asking price can be frustrating for any home seller but it is important to remember that negotiating is all part of the process.With the right approach – and the guidance of an experienced real estate agent – you can turn a lowball offer into a successful sale.
“A low offer does not have to be a deal breaker,” says Adrian Goslett, Regional Director and CEO of RE/MAX of Southern Africa. “Buyers may simply be testing the waters, so it’s important to remain open to negotiation rather than rejecting an offer outright.”
Lowball offers – those significantly below market value – are common, especially in a buyer’s market. While these offers can feel discouraging, sellers should avoid taking them personally. Instead, Goslett encourages sellers to consider why the buyer may be offering less.
“It could be due to a perception of market conditions, the property’s condition, or simply a negotiating tactic,” he states.
“A professional agent knows how to gauge the seriousness of a buyer and can negotiate on your behalf to secure a better offer. They understand market trends, can justify your asking price with data, and ultimately ensure you get the best possible deal,” explains Goslett.
When presented with a lowball offer, RE/MAX of Southern Africa shares the following tips for how best to proceed next:
1. Stay calm and assess – Consider the offer objectively. Ask your agent how the offer compares to local market conditions, recent sales and your home’s value before responding.
2. Counteroffer strategically – Rather than outright rejecting the offer, work with your agent to present a reasonable counteroffer.
3. Know when to walk away – If an offer is unreasonably low and the buyer is unwilling to budge, or if the market is hot and another offer is sure to come your way soon, your agent can guide you on whether it’s best to move on and wait for a better opportunity.
“Negotiation is a process. Sometimes, a low offer is just the starting point for a fair deal. An agent can help bridge the gap between buyer and seller expectations and can let you know when it’s best to move on. If you want to sell your home for the best possible price, partnering with an experienced real estate professional truly is your best move,” concludes Goslett.