When it Works ” and When it Doesn’t; or,
“Good! Go Lowball Someone Else!”
Fear of loss can be a huge motivator in real estate sales.
For home Buyers, it means losing out on their dream home to a higher bidder.
So, what do home Sellers fear losing?
A good Buyer.
“The Runner-Up House”
Which is why it can be smart for a home Buyer whose offer is being rebuffed to let the Seller know that if they can’t come to terms, soon, they’re moving on to another home.
Of course, for that tactic to work, it helps if there really is a close substitute for home #1.
When a home is genuinely unique, that threat is less credible.
A Bird in the Hand (or at least 9/10)
The second part of the “moving on” equation is a strong (or at least decent) offer from a well-qualified Buyer.
In other words, the Seller actually stands to lose something.
Translation: lowballers who threaten to move on when they can’t get Sellers to budge are usually met with a heartfelt “Good riddance!”
See also, “The Single Best Negotiation Strategy for Home Buyers“; “Real Estate Trump Cards – Buyer’s Version”; and “Are There Other Interested Buyers?”
