Lawana Posted October 4, 2011 Share Posted October 4, 2011 Recently, my mother moved very near us into a house that dh and I purchased on her behalf. 3 weeks ago, we put her house in Salt Lake City on the market. The house is 115 years old, with issues, but is in a very favorable location. We knew how much money we needed to get out of the house in order to pay off her house here, so, prioritizing a quick sale and not wanting to get into protracted negotiations, we listed the house at a priced to sell amount, in an "as is" condition. Within a week of listing, we had 3 offers, all for above the asking price. We accepted on offer for $10k above the listing price, with no contingencies for selling other property, etc. Now, based on a home inspection, the buyers are wanting a price consession, based on some of the extant issues. So here is the dilemma: on the one hand, we are willing to give some, due soley to the fact that we were willing to accept less to begin with. On the other hand, we really didn't expect the number of offers we received *above* the asking price, indicating that we had seriously underpriced the property to begin with. We would give $2k back in a heartbeat, if we thought that would satisfy the buyers and move the sale forward. But the number suggested by the buyer's agent is $8k+, essentially getting us back to the asking price. Our agent has had a verbal offer for $1k more than the current offer, as well as the other written offers received. Worst case, the current buyers opt out, and we put the house back on the market. If we did that, we would relist at $10k above the first listing. So do we enter into negotiation with the current buyers, with the understanding that we will probably end up at the original list price for the sake of moving this particular sale along, or hold firm, knowing that we could potentially get a better price, but delaying the process by a month or more? Quote Link to comment Share on other sites More sharing options...
amy g. Posted October 4, 2011 Share Posted October 4, 2011 I would not negotiate with them. Tell them what you want, and if they walk, move on to another buyer. Quote Link to comment Share on other sites More sharing options...
amydavis Posted October 4, 2011 Share Posted October 4, 2011 I would not negotiate with them. Tell them what you want, and if they walk, move on to another buyer. :iagree: Quote Link to comment Share on other sites More sharing options...
gaillardia Posted October 4, 2011 Share Posted October 4, 2011 Knowing you have other interested buyers makes it a hot buy. I would hold firm, if they want it that much they will buy it at the asking price. Quote Link to comment Share on other sites More sharing options...
She Reads a Lot Posted October 4, 2011 Share Posted October 4, 2011 I agree with the other two posters. Ditch the picky buyer. When you list a house "as is" it's exactly that--they buy the house as it is and deal with any issues themselves. It seems odd to me that they would make an offer knowing it was "as is" and then go back to you asking for so much less. Since you seem to have the potential for many offers, then ditch the greedy buyers and go with someone who understands what "as is" means! Best of luck, christina Quote Link to comment Share on other sites More sharing options...
Liza Lee Posted October 4, 2011 Share Posted October 4, 2011 When you list a house "as is" it's exactly that--they buy the house as it is and deal with any issues themselves. It seems odd to me that they would make an offer knowing it was "as is" and then go back to you asking for so much less. :iagree: Quote Link to comment Share on other sites More sharing options...
Lawana Posted October 4, 2011 Author Share Posted October 4, 2011 So it's looking unanimous so far. We really didn't have any idea that it would turn out to be a "hot" property, even though the location is very good, given the current market conditions. Much better than the reverse. Quote Link to comment Share on other sites More sharing options...
Margo out of lurking Posted October 4, 2011 Share Posted October 4, 2011 I would not negotiate with them. Tell them what you want, and if they walk, move on to another buyer. And I would be sure that your realtor tells them about the other interest in your home. Sounds like they are willing to take quite the risk, surprising after making a higher offer. :001_huh: Quote Link to comment Share on other sites More sharing options...
gardenmom5 Posted October 4, 2011 Share Posted October 4, 2011 I would not negotiate with them. Tell them what you want, and if they walk, move on to another buyer. :iagree: and give them a date/time by which they must get back to you. Quote Link to comment Share on other sites More sharing options...
Lawana Posted October 4, 2011 Author Share Posted October 4, 2011 And I would be sure that your realtor tells them about the other interest in your home. Sounds like they are willing to take quite the risk, surprising after making a higher offer. :001_huh: Not quite so surprising. Mother and (adult) daughter made the initial offer. Dad entered the picture and things changed. I'm thinking they are testing the waters, seeing what we, the sellers, are ready to concede. Dh expected as much. I don't have a good business sense─ready to give the farm away. That's why I need outside verification. Quote Link to comment Share on other sites More sharing options...
WishboneDawn Posted October 4, 2011 Share Posted October 4, 2011 I would not negotiate with them. Tell them what you want, and if they walk, move on to another buyer. Ditto. Tell them the market price recognized the fact that some work was needed and you are not negotiating on price (or offer just the $2k). Quote Link to comment Share on other sites More sharing options...
nono Posted October 4, 2011 Share Posted October 4, 2011 Not disagreeing with what's been posted, but there's nothing to stop the next two with offers from also asking for concessions after an inspection too...or withdrawing their offers entirely. Without an inspection, one really can't know what "as is" is, right? That seems to be the thinking these days, vs. in the old days, where it meant, "Here's the money. Give me the keys!" :) Also, if these are not cash offers, the mortgage holder will have a say in this too. Good luck deciding! Quote Link to comment Share on other sites More sharing options...
cdrumm4448 Posted October 4, 2011 Share Posted October 4, 2011 Not disagreeing with what's been posted, but there's nothing to stop the next two with offers from also asking for concessions after an inspection too...or withdrawing their offers entirely. Without an inspection, one really can't know what "as is" is, right? That seems to be the thinking these days, vs. in the old days, where it meant, "Here's the money. Give me the keys!" :) Also, if these are not cash offers, the mortgage holder will have a say in this too. Good luck deciding! :iagree:Also, please keep in mind that verbal offers are useless. Quote Link to comment Share on other sites More sharing options...
JFSinIL Posted October 4, 2011 Share Posted October 4, 2011 Ditto. Tell them the market price recognized the fact that some work was needed and you are not negotiating on price (or offer just the $2k). Ditto this ditto. Quote Link to comment Share on other sites More sharing options...
SweetPea Posted October 4, 2011 Share Posted October 4, 2011 I would try and work something out with your buyer. Typically your 1st offer will be your best offer. Friends that live in a very desirable part of Sandy, UT didn't even try to negotiate with the buyer back in April because they had an offer so quickly (lower than wanted) and so many other interested parties. Their house has been a rental for 6 months and now the market price of their house is less than the offer they received. If the house is in Sugar House/The Avenues I can see the draw. I also know that "as is" still means buyers will be asking for things once they have an inspection. It still is a buyers market. Quote Link to comment Share on other sites More sharing options...
Shelly in IL Posted October 4, 2011 Share Posted October 4, 2011 I think i would consider making the $2k in concessions and re-emphasize that it was listed as is. And have your realtor emphasize the Other interest in the home. Quote Link to comment Share on other sites More sharing options...
elegantlion Posted October 4, 2011 Share Posted October 4, 2011 I think i would consider making the $2k in concessions and re-emphasize that it was listed as is. And have your realtor emphasize the Other interest in the home. :iagree: We generally purchase our houses as-is. The only reason I would consider price concessions would be if there was major damage discovered on an inspection. Otherwise, you get what is listed. I wouldn't consider 2k a breaking point, but 18k would be. Quote Link to comment Share on other sites More sharing options...
Ottakee Posted October 4, 2011 Share Posted October 4, 2011 I agree with offering them the $2000 and go from there. You don't want to give too much but on the other hand, you don't want to lose a sale. My sister did this and has regretted it. They had an offer that was OK, not great, but OK. They turned it down and it took them another 2 years to sell the house (during which they paid taxes, insurance, mortgage, etc) and then sold it for quite a bit less than the 1st offer. We just bought a house. We had one in mind we were GOING to buy. We had cash in hand for the total price but the lady decided that our very fair offer (really more than the realtor said it would appraise for) was not enough and she wanted $20,000. We almost did it but decided to sleep on it and the next morning a house hit the market for less money, more house, nicer location, etc. and we bought that one less than 6 hours later. You do risk having other potential buyers find something else, etc. Quote Link to comment Share on other sites More sharing options...
LittleIzumi Posted October 4, 2011 Share Posted October 4, 2011 I would offer the $2K as a final offer with a reminder that it was listed "as-is." :) Quote Link to comment Share on other sites More sharing options...
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