Hard to give you a complete answer without more knowledge about your specific property and the metrics of sales in the surrounding area. What I can tell you is the old cliche "your first offer is always your best offer" is true more often than not.
If this property is in Marco Island I am guessing it is a second home and that the property is encumbered by an association of some sort. You have to weigh your carrying costs including those association fees and property taxes and make a decision based on your particular situation. Without knowing the buyer or their agent it is difficult for me to know if "firm" is really FIRM or a negotiation tactic.
I am further assuming that you have the home listed with a RealtorÂ® and must either not trust them or are looking for second opinions, You really need to have them carefully review with you the recent sales of similar homes; don't look out further than 90 days and see what the market dynamics are. Here in Palm Beach County inventories are at lear long lows and we are seeing some upward pricing pressure in some market segments (but not all) but your market on Marco is different.
Also explore your agents relationship with the buyer's agent and I hope the same party is not representing both parties. How well do they know that agent and their negotiation tactics?
So many questions, but based on what you have provided I hope this information is helpful. Don't turn down a deal for a few grand as in the end you may wish you had that offer back, Three years ago I had a good friend visiting from out of state and he had just put his house on the market. When he was here with us he received his first offer. Knowing more about his circumstances, the house, the market, the offer details and list price he asked me what I thought. I told him if it was me I would not counter I would accept the offer as is and get it sold and used the "your first offer is always your best offer" line.
Guess what, he didn't listen and thought it would be better to try and squeeze a few grand out of the deal. Now three years later the house sits unsold with a list price now 20% below the offer he had and another 3 years of carrying costs. Be careful and make sure you are receiving the proper guidance from someone who can show you the facts about the current Marco Island market and the very best of luck.
I hope this information is helpful but if you need anything additional please do not hesitate to give me a call.
Always at Your Service,
Tom Priester e-PRO
"Results Driven Real Estate"
Keller Williams Realty
The guy who lost his 4 mil buyer was a person buying a home and assessed value was his method of determining what he was going to pay. He offered a few % over assessed value and the seller nickeled and dimed him so he bought elsewhere from someone selling at or close to assessed value. Best of luck
John the Marco observer
The other side of this coin is that in April 2008, a friend with a 4 million dollar home at the time got a 3.8 offer and tried to nickel and dime the guy for the 200K or 100K. He lost that buyer and needless to say, that home price now is cut right in half. Think about it. Also, is it a cash no contingency deal? this 4 mil guy was going to pay cash. The seller made a huge mistake not taking that as he had another few homes anyway. Now he's in some trouble with things like short sales and foreclosures as he had big mortgages. Take everything into consideration
***** I am not a broker, lawyer or expert but I am an observer. I've seen so much happen with real estate. These are different times. Never forget that. Banks are tougher than ever. Good luck and I see a lot of good advice from the trulia experts here. don't write any of it off but make your own decision based on these many factors mentioned. I wish I knew more about your home, where it is and such and I could maybe give you a better answer. A 599K home right now on Marco is more than a modest home. That must be a very nice house in a nice area. I know Marco like the back of my hand. Thanks for listening and good luck. I hope for the best for you. I've seen a lot more bad deals than good ones in the past 30 years on the sell and buy sides. Be careful and don't get pressured to do this if youre not comfortable with it
That's the bottom line.
How'd I end up there? Your house has been on the market for 6 months. I'm guessing this is the first offer. Or at least the first halfway serious offer. That suggests that the market price of your home is closer to $525,000 than $599,000. The market is the market. Wishing or hoping that your home really is worth more isn't going to change that.
Could you receive an offer tomorrow for a higher amount--say $565,000? Yes, it could happen. But it's not likely. And looking at the more likely scenario, if you turn this one down, you won't receive another offer any time soon. In a few months you'll drop the price again to, say, $569,000 and hope that stirs up some interest. And maybe it will. So, perhaps in 6 months you might actually be able to sell the property for, say, $550,000. Does the slightly higher sales price offset months of waiting and uncertainty? You've already been trying to sell it for 6 months. It's time to move on.
Since you posed the question, I'm assuming you financially could afford to accept $525,000. If you can't--if it'd cause complications like a short sale, damaged credit, inability to buy something else you want to--then maybe you could try holding on and waiting for a near-miracle. But if you can afford to sell and move in, it'd make sense to do so.
Is the offer firm? Maybe yes, maybe no. In a real slow real estate market, buyers tend to be telling the truth (or coming a lot closer to it) when they say that the price is firm. You could counter. But the upside would be what? Maybe $10,000-$15,000 more in the sale price. The downside: You lose this buyer and you're back to square one.
Only you--in consultation with your Realtor--ultimately can make the decision of whether to take the offer. So definitely talk with your Realtor. And I'm sure there are facts and issues you haven't put into your question here.
But, based on what you have presented, my response is: Take the offer.
Hope that helps.
Can you afford to not sell for several more months, to not sell at all, or to continue lowering the price?
Is the idea of not selling it (now or later) not causing you anxiety.
Then keep it.
Will accepting $525 allow you to move on with your life?
Will selling this home give you some freedom you have been waiting on?
Will you be happier once this home is in your past?
Charles Rutenberg Realty
What is your motivation for selling? Are you wanting/needing to get on with the next chapter of your life? Your second offer to purchase may come in December of 2011 for $499,000. Use exceptional negotation strategy to add value and get the deal closed. Then get on with your life. Pride is expensive.
Eli Givoni, Director
Short Sale Department, LLC
Serving all 50 states
MARS Disclosure for General Commercial Communications
Short Sale Department, LLC is not associated with the government, and our service is not approved by the government or your lender. Even if you accept this offer and use our service, your lender may not agree to change your loan. If you stop paying your mortgage, you could lose your home and damage your credit.
Debbie Albert, PA
Keller Williams Treasure Coast
best of luck
Have your Realtor do a current Comparative Market Analysis (CMA) using Sold comps within a 1 mile radius of your property (the closer, the better) that have sold in the last 3 months (up to 6 months). This will give you current market value and that is what you should base your decision on. If the current market value is lower than $599K, but higher than $525K, you might want to consider lowering your list price but not necessarily accepting the %525K price (if buyer won't go over the %525K on a counteroffer, then just lower the list price and leave Active on the market).
Where are the Comp's, particularly on a dolloar per square foot basis?
Is the $525 more than you owe on it; are you going to have cash left over to do what you want?
People say that it is FIRM, but.....
My gut tells me to take it, be happy and move on.
Good luck and God bless