A lowball offer is generally defined as an offer that is 10% or more lower than the asking price.
In our market, over 97% of lowball offers are rejected without a counter-offer. Fewer than 1% of lowball offers are negotiated and result in an accepted contract.
Buyers must also remember that sellers incur fees. Lowball offers often put sellers into negative or loss positions. These offers are most commonly rejected without even a counter-offer.
The real estate professional's job is to help you buy the best house for you at a reasonable price. In a seller's market, a reasonable offer is close to the asking price. In a very competitive market, a reasonable offer may be the asking price or greater.
Often, a lowball offer is made when the potential buyer has problems obtaining a loan or does not have enough cash to buy the property. Generally, we solve this problem at the beginning of the home buying journey with a proper pre-qualification process.
The research and preparation of a proper offer takes from 4 to 8 hours to complete depending on the property. By law, all offers must be in writing and comply with the requirements of the NC Real Estate Commission and The NC State Bar Association, as well as other state and federal rules and statutes.
Our professional team will only write a low offer if we feel that the property is over-priced or that there is a reasonable expectation that such a tactic would succeed. Proof of Funds or Pre-Approval Letter must be on file before we begin to prepare the necessary documents.
We may ask for a $250-$500 non-refundable retainer fee made payable to Weichert, Realtors-Unlimited. This fee will be rebated to the buyer upon closing and settlement.
About Making Lowball Offers