Sellers: Don't dismiss that lowball offer just yet.

Don't get discouraged if you just received a "lowball" offer on your home.  Always try and maintain a postive attitude, even when your home isn't getting shown as much as you would like, and those very low offers come in. Although you might be angry or disappointed at what an initial offer comes in at, remember, it's just an initial offer. Everyone has different negotiating styles, and they may not mirror yours.

I certainly know how frustrating and disappointing it can be to finally receive an offer, and then to realize it is far below what you would even consider. Sometimes, an offer can come in so low that you might be angry that the buyers had even put it in writing, and wonder how they even had the nerve to submit such an offer. Then you might think, why would my agent even tell me about this offer? I

There are a few things that you should know, and think about if and when you receive  one of those lowball offers

1. That buyer really likes your house-even if they submitted a lowball offer. They took the time to write up a bid, sign paperwork, disclosures, get a pre-approved, AND write a check for an initial deposit. Would you do that if you really didn't want to buy a home?.... I think not- so try and hold back the emotions,  it's just their negotiating style.

2. Your agent must inform you of all offers, period, no matter what they are. They should never force you to accept an offer, but they absolutely must tell you about any offer that comes in, verbal or written- so don't shoot the messenger.

3. Some buyers just need to "try" and submit a low offer for their own peace of mind. It has nothing to do with your home, and it's not intended to be an affront to you. In the buyer's mind, they can say to themselves, "Well, I tried, and I wanted to see what they would say. A response from you, no matter how bg or small, is all they need to go forward, and to negotiate further. You may be surprised how many lowball offers can turn into a negotiated deal, as long as it's handled well. So don't give up before the ink is dry on that initial offer.

4. The buyer may have a list price to sales price percentage in their head, and they figure that if they start the bidding at a particular number, they will fall right in line with those averages. For example, the average sales price to list price ratio hovers around 94 to 95 percent of the list price.So some buyers want to come in at 90 percent or less of the asking price just to make sure that they don't exceed that "average" number. It's not a smart idea on the buyers part to negotiate that way, as some homes are overpriced by a significant amount, and even 90 percent of the asking price is way too much to purchase the home for, but they still do it. (Buyers, if you are reading this article, take a look at the article that discusses the importance of a market analysis when you are purchasing your home.)

5. And yes, there are those lowballs that won't go anywhere. Still, it is very important that you treat EVERY offer like it's going to result in a sale. Maintain a good attitude, and don't "get your back up" .

Right now, we are NOT in a sellers market, and if you have an offer on your home, your agent should "work that offer" to get it to be the very best deal that they can get for you. THEN decide whether or not you want to accept it.

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