THE MILLION DOLLAR QUESTION TO ASK A SELLER!!! - Posted by A Miller


#1

Posted by Ben on December 16, 1998 at 18:59:01:

I always thought it was “Why are you selling it?”.
I never thought they would ask this question, trips me
up every time.


#2

THE MILLION DOLLAR QUESTION TO ASK A SELLER!!! - Posted by A Miller

Posted by A Miller on December 16, 1998 at 11:31:13:

The first time I asked this simple question the Seller
came off his price $90,000. He had already been way
below market but came down even more.
The situation was this. My wife and I were looking for
an ocean front home in So. Cal. and we saw a FSBO sign.
I knocked on the door and the owner came out and we
talked. I really wanted the house @ his asking price
because I knew the area extremely well and we were
about to take off pricewise-real estate was moving.
But I asked the Magic Question-I LIKE THE HOUSE EVEN
THOUGH IT SEEMS AWFULLY PRICEY-WITHOUT NEGOTIATING
BACK AND FORTH WHATS YOUR BOTTOM LINE? At that moment he came down $90,000. I almost fainted. We went to the house and he wrote the deal on a scratch pad. I gave him a deposit check and we opened escrow. The result was $215,000 profit 20 months later. When looking for deals the MOST IMPORTANT PART IS TO UNDERSTAND HOW THEY COME ABOUT. After sighning the deal-the most important part. I asked him how he bought the property and how he came up with the price. He said he bought the house from a little old lady who he knew. It wast on the market
and he got a job transfer and had to sell. His motivation
was to get his down back plus 10% on his down. Wow!
This simple question has made me more money over the
years. It works with Realtors as well as FSBOS.
Theres something in human nature with a lot of us that doesnt like to negotiate. We have our secret bottom
line figure that we`ll accept.

up with


#3

Re: THE MILLION DOLLAR QUESTION TO ASK A SELLER!!! - Posted by Doug

Posted by Doug on December 17, 1998 at 02:05:15:

Yes Rob’s input to this is similar to mine… I know the Realtors are bound by ethics to get the highest price possible for their listing… Unless they are buyer agents, but I have also seen Realtors come to me and say Doug I know the seller will take this… But the property you described sounds like a piece of property that would of had no problem finding a buyer at close to full market value… Lakefront property is choice realty… Especially in California…Wondering why someone would drop their price to such an extreme low on the first offer…Is it Haunted???
Douglas Timko
notes4sale@yahoo.com


#4

Re: THE MILLION DOLLAR QUESTION TO ASK A SELLER!!! - Posted by Rob FL

Posted by Rob FL on December 16, 1998 at 19:52:05:

Very impressive, I like that.

One question, when you say it works with Realtors, I assume you don’t mean asking the Realtor what is the lowest the seller will take. I know from a Realtor’s point of view this would be considered unethical. Explain a little further.


#5

Re: THE MILLION DOLLAR QUESTION TO ASK A SELLER!!! - Posted by hk CA

Posted by hk CA on December 16, 1998 at 13:02:03:

Goes back to the old adage, “The first person to name a price loses.”

Sounds like you made a great deal!


#6

Re: THE MILLION DOLLAR QUESTION TO ASK A SELLER!!! - Posted by Matt B

Posted by Matt B on December 16, 1998 at 12:34:38:

I like Ron LeGrand’s million dollar question, too…

If I could pay all cash and close quickly, what is the least that you would accept?


#7

Re: THE MILLION DOLLAR QUESTION TO ASK A SELLER!!! - Posted by A Miller

Posted by A Miller on December 17, 1998 at 11:40:03:

This was an Ocean Front home in Sunset Beach and the

owner was just not aware of the history of the area

and the power of the market in the area when the real

estate market took off.

Across the way in Huntington Harbour waterfront homes

would jump up $200,000 @ a crack.

I have found many FSBOS will ask too much or not enough.

This process has worked many times especially with apartment buildings.

My last deal was a 9 unit apartment building the owner

lived in and had the rents very low. I gave him what he

wanted-$425,000 and raised rents to market losing 6

tenants and re-renting them and sold the building for

$640,000 7 months later.

I always call on FSBO property.


#8

Re: THE MILLION DOLLAR QUESTION TO ASK A SELLER!!! - Posted by Redline

Posted by Redline on December 17, 1998 at 14:17:37:

Not only that but, the realtor usually has NO idea what the lowest price is either!!