I just did this Monday… - Posted by HR
Posted by HR on June 16, 2000 at 07:43:10:
I agree with your comments 100%. I just did this process this past Sunday and Monday, and it worked like a charm.
I’m selling a duplex with a list price of $114,500. My wife is a realtor (but buys and sells only for us), we had it on lockbox, and we got lots of traffic last weekend. It’s a nice house; fmv is probably around 110k and I want to sell for around 107-110k.
Preapproved couple comes thru and loves it. Offers 100k Sunday at like 9am. Realtor tells my wife she tried to get them to make a higher offer, but they are first time buyers and (her words exactly) “they expect a counter offer.” Ahhhh, that tells me they want to negotiate a little. All right!; bring it on!
My wife informs them that there are multiple parties looking at the house (not multiple offers yet, but we made it sound that way), and that we needed a 24 hour time frame to think about it. This would take us to 1pm Monday. Come noon on Monday, my wife called the other realtor back and said the other parties won’t be able to look at it till after work at 5pm, I’m giving them till 6pm to make an offer, and we will get back to all interested groups by 7pm. If this cancels their offer, so be it, because “It’s my husbands house, he’s the one really negotiating here, I’m just on title and list and sell it for him (man I love that good cop, bad cop stuff), yada yada, and my husband says that if this kills your offer because it expires, he says so be it because he is confident one of these other offers will be much higher and is also preapproved.”
That other realtor went ballistic on my poor wife. “That’s no way to handle a legitimate offer!” Yada yada (why not?). Well, within the hour, they call back with a revised offer of 110k, we haggle a bit more, and I sell 110k, no stove or window ac units in one side, preapproved buyers, done deal. Now it’s just a matter of passing inspections.
I anticipate someone asking… Is this legal, saying there are multiple offers if there are not? Sure. I had multiple offers. I could call about 100 re friends and I’d have 100 offers in my fax machine in 10 minutes. Get real.
I’ve never told my preaproved buyer to walk before, but it worked so well this time that I may try it again! I wanted to ask for them to pay seller’s closing costs, too, but since they are buying FHA, this would have been impractical. My wife talked me out of that one, thank goodness. Sometimes the old negotiating adreline gets going and it’s hard to stop… anyway, I agree 100%.
Ps. Particulars on the deal: purchase price 34k, rehabbed 35k, rented for a year 5k rental income profit, selling 110k. Next!