Home Selling in 62216>Question Details

Kelly, Both Buyer and Seller in Illinois

selling house with a contingency to one couple, just got a second offer from another couple. The second offer

Asked by Kelly, Illinois Sun Aug 3, 2008

was extremely low and they wanted to try again. What do we come back with a starting point for them.
We listed for 165,000. Contingency sale of 158,000. 2nd offer of 140,000.

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Answers

6
Kelly,

KNOW YOUR MARKET!! this is the most important thing. Get sold comps in your area within a mile of your home, sold in the last 6 months, that is a simliar style to your house (1 story, 2 story, on a busy road, pool, updated, etc) . This information will help you decide if your house is priced right and whether a low offer is something you want to consider.
7 votes Thank Flag Link Sun Aug 3, 2008
Kelly,

I'm going to assume if you are asking these questions here, that you do not have your home listed with a Realtor.

First, you should not be posting the agreed upon price at all! That price should only be revealed after the property closes. Second, why didn't you just counter offer the second offer? Does the second offer have a contingency? If not, I would try and come to an agreement with them even if it is for a little less money. What happens if the first offer can't sell their home and prices continue to fall?
2 votes Thank Flag Link Sun Aug 3, 2008
Kelly,

First of all, you might want to be careful disclosing the prices that you accepted.

I'm not sure if you have a Real Estate agent working for you or not and I'm wondering if you just flat out rejected the 2nd offer. You mentioned that they want to "try again". Did you make counter offer? What type of contingency is the first offer? How much time does the first offer have if you accept a second offer?

If their offer comes in you have the ability to make a counter offer. If they presented you with a written contract then you have the ability to scratch out any price, write in your counter offer price and initial it. Give it back to them and continue negotiating. You can also verbally negotiate after receiving their offer and once a verbal agreement is made you can then intitial the final agreements and sign it up.

There are many things that need to be known in order to give a better answer.
1 vote Thank Flag Link Mon Aug 4, 2008
Kely
This question is best answered by you Realtor.
We do not know
1. Your property
2. Your market
3. Your personal situation and needs.

In particular, we don't know how long your home has been on the market, what other homes like yours have been selling for.

The first offer with the contingency, did your accept ?
Does the other offer have a contingency?

I think the best advice is based on a professional knowing the entire picture. One of the dangers of a forum like this is sometimes we offer advice without knowing the complete facts, and this could actually make things worse.

I would be tempted to accept the first offer as a Right of First Refusal, then try to get the second couple to come up. Ask your Realtor to ask the buyer's agents what they based their price on/
1 vote Thank Flag Link Sun Aug 3, 2008
Keith Sorem, Real Estate Pro in Glendale, CA
MVP'08
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Hi Kelly-
You are listed for 165,00. If you choose to take anything below that, it's your choice. But, my question to you is, why would you consider another offer, especially one that is lower. Just because of the contingency? What's the contingency? Is it a home sale or a home close? Is it financing? It depends on what the contingency is. Also, the second offer, if acceptable, must go through Home Inspection, attorney approval and financing contingency before the attorney will convey that you are accepting the other offer. Usually, there will be a clause in the contract that will allow the first buyer to remove their contingency within a certain amount of time, if they so choose.
Hope that helps!
0 votes Thank Flag Link Tue Aug 5, 2008
What does your Realtor say and the reason behind his/her advise? It's important to consider what s/he said.

I agree, get a realistic comp to decide the price and you strategy - are there many properties like yours that are on market? How long have they been on for what price? However, the fact that you are able to get a contingent offer that's really close to your asking price, so that maybe a sign that you are not too far off.

What is the contingency sale for? What kind of contingency How difficult is it to remove that contingency? .

For the second offer, you need to counter back to the price you are comfortable with and be willing to sell. Again, look at comps.

I'd be more careful with people who comes in with really low offer, they either don't think your house is worth that price, or they want to get a bargain. Which means even if you countered back, they accepted that, they might end up backing out. Watch how and if they meet those deadlines closely.

Have a backup offer is a nice fall back.

Sylvia
0 votes Thank Flag Link Mon Aug 4, 2008
Sylvia Barry,…, Real Estate Pro in Marin, CA
MVP'08
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