Real estate offer question for the pros...

KFC911 · 02-06-2014, 05:35 AM

Something I've always thought was just a psychological ploy on behalf of the RE agents (not a buyer's agent...fiduciary responsibility is to maximize offer to the seller). When working with the buyer...having them "write a letter to the seller" describing their situation, etc. and attempting to elicit empathy along with their offer. And I'm talking about an offer "above asking price" in a competitive market. I've always figured it was just a ploy to make the buyer "feel good" about their offer. I know as a seller, it wouldn't mean squat to me (if I ever even saw the letter)....what say ye?

Jim Bremner · 02-06-2014, 07:08 AM

We met the sellers when we bought our prior home. We got along with the 80 year old couple that liked the fact that we where going to raise our 4 sons there.

They took our offer that was less money from this really nasty woman of another ethnicity to the sellers

She was very pushy and they didn't like her.

KFC911 · 02-06-2014, 07:20 AM

Thanks Jim! I've had minimal experience in this...just thought it a bit "curious" from my perspective for the particular situation I was referring too. It was a "wham bam", two day visit to a "very hot market" (job relocation) and I just found it a bit strange. Appreciate your perspective...

look 171 · 02-06-2014, 07:43 AM

It becoming the norm out here. The last two homes we sold came with a nice letter stating that they need or like the schools, and they are going raise kids. No one will tell you that they want to buy and hold as investment. What's wrong with that and what they do with the piece should not have any concern to the seller IMO. But, that's the way things are going. I have lost deals because the seller know it will not be my primary home. Silly.

HardDrive · 02-06-2014, 07:46 AM

I think it matters. You talking about taking over a persons home. They've got an an emotional attachment to their home. Regardless of why they are selling, they are losing that home, and it helps to have a feeling of control over who will be living there after you.

look 171 · 02-06-2014, 07:53 AM

Quote:

Originally Posted by Jim Bremner

We met the sellers when we bought our prior home. We got along with the 80 year old couple that liked the fact that we where going to raise our 4 sons there.

They took our offer that was less money from this really nasty woman of another ethnicity to the sellers

She was very pushy and they didn't like her.

A pushy buyer or pushy saleswoman? If its a buyer, she has no business talking to the seller.

I dealt with eastern Europeans or Russian buyers that were extremely pushy with cash in hand. They walk right onto your property (sometimes near the end of construction) and start this crap without any respect to the owner, this case, me. Money rules where they come from and they often forget that money isn't always the driving factor here. I tell them to talk to my agent. Her number is listed out front. Cultural thing or not, just get the F off my lawn and they don't often leave when told several times and keep insisting the same them thing.

stomachmonkey · 02-06-2014, 07:54 AM

I liked my old neighbors.

Given the choice I'd rather sell to someone that had a higher probability of getting along with them than not.

Dantilla · 02-06-2014, 07:56 AM

I've bought and sold several homes. Not an emotional decision for me, but that's just me.

Early on, had a potential buyer looking at my house with a couple friends when the power went out. We got a few candles, and hung out in the living room, feeling pretty cozy. I think that helped the buyer fall in love with the house- Enjoying good conversation with friends at candlelight sealed the deal. Full price offer came shortly after.

look 171 · 02-06-2014, 08:04 AM

Quote:

Originally Posted by HardDrive

I think it matters. You talking about taking over a persons home. They've got an an emotional attachment to their home. Regardless of why they are selling, they are losing that home, and it helps to have a feeling of control over who will be living there after you.

Then they shouldn't sell the house.

What is so wrong selling to a buyer that's going to rent to his little sister who's going to med school that need a safe place close by, or what ever the reason. different if they use it to sell drugs out of it.

look 171 · 02-06-2014, 08:11 AM

Quote:

Originally Posted by stomachmonkey

I liked my old neighbors.

Given the choice I'd rather sell to someone that had a higher probability of getting along with them than not.

only if you own the house next door.

I sold the house up the street, so I try to sell to a marry couple. If you are young, single, work like a dog and save to achieve the American dream, only to find out you are at a disadvantage because you are a single man, that would not be fair. Most people think young single guys party all day and night. I am sure there's some truth to that. Sell the house already, move to FL and enjoy driving the Buick.

I never met them, but talking to the neighbors, they keep to themselves. Quiet, so I suppose I did the neighborhood some good.

Rusty914s · 02-06-2014, 08:29 AM

Quote:

Originally Posted by Jim Bremner

We met the sellers when we bought our prior home. We got along with the 80 year old couple that liked the fact that we where going to raise our 4 sons there.

They took our offer that was less money from this really nasty woman of another ethnicity to the sellers

She was very pushy and they didn't like her.

What does that mean? Also, if decision was based on "ethnicity" to sell to you instead is grounds for a lawsuit...clouded title, etc.

Why would sellers sell property for less when it's worth more? When you sale your house, will you send original sellers a check for the difference in "worth" or place it in your bank account? Fairly sure that you won't be writing a check to the sellers.

And to the OP: I don't care for letters from buyers. In the real estate game "Buyers are Liars". I like to add "Sellers are too."

JavaBrewer · JavaBrewer's Garage

We had several interactions with the seller of our 'new' home. When we officially tendered an offer that was $70K below her asking we did include a personal letter (schools, kids, dream home, etc...). Worked out well for us and honestly I know the seller was heart sick to lose the home (divorce) and relieved to know it was going to someone who would call it home.

Now if only she could see all the things we demo'd and have since replaced

Bill Douglas · 02-06-2014, 11:59 AM

Don't believe the letters.

When I sold a farm I had it marked out for dividing into 10 acre lots. The guy that bought it spent a lot of time telling me how he was going to farm it. I said I didn't care what he did with it as after he had paid for it, it was his, and that I thought subdividing it was a good idea. About a month after he bought it he had new fences up and had started on a big road going through the middle.

Dantilla · 02-06-2014, 05:03 PM

A building inspector I know was sent to inspect a very old waterfront home with a stunning view of the Seattle skyline and mountains beyond.

Met the buyer and seller, seller being an elderly woman who turned down some buyers because they planned on making serious updates to the house. She was so happy to find a buyer that appreciated the house as is. They had apparently had some nice, long conversations of the home's history.

Seller left, and buyer quickly told the inspector that he was no longer needed, because as soon as the deal closes, he's tearing the entire house down.

aigel · aigel's Garage

It can help. It is stupid, but I have done it in the past to get rental homes that were competitively priced. There of course it is more important, as you will live in the home of the landlord and they are interested in who you are. Especially if you have pets, it is always good to explain why you have them, what you do with them, how you keep them and attach a picture, so they see it isn't a couple of monsters.

Later,

G

Jim Bremner · 02-06-2014, 06:05 PM

Yes, the pushy woman was from another country and offered more.. Yes I know that the elder couple could be sued for it if race was the issue. Flat out they didn't like her. They liked seeing my 4 sons afe 4-11 running around the back yard.

look 171 · 08:42 PM

The house up the street from me I told you guys about had 3 broken sections on its foundation, sagging and falling down the hill but had stunning views of the city. It was way over price and sat on the market for 4 months. "Good" houses don't normally sit more then 4 days if they are at market price. Women lived in it for more then 30 years, kids are grown and they live in London and Germany, so they don't need the money. The request to come back to LA and met me before they close the deal. So, one fine Saturday morning, we finally bathe the kids (4 and 6) after 3 weeks of not doing so, my wife and I started walking toward the old house. First question was what we were planning to do with the house. what changes are in the plans, and what I did for a living. I had to lie through the skin of my teeth and told them there were going to be no changes but paint. fix the foundation and move up due to the fantastic view and that I was an ER nurse. The signed the deal right there and then and even played with the kids a little. I ended up gutted that house open up the floor plan and rebuilt 90 % of that house. Crazy how people want to dictate how other people live. Can you imagine moving next to these people?

Oh I forgot to tell you guys that they warned us to not enlarge the home because they, or their mother would not approve of it and that it should remain a large back yard.