Not in NSDCC – most listing agents just want to whip you into shape.
Rather than go to the trouble of having my clients sign lower offers, I’ll check with listing agents to see if they might be open to making a sale.
These are actual responses this week:
1. Will you entertain an offer of $1,500,000 on a house listed for 3 months at $1.7 to $2.0 million?
2. Will the seller consider an offer at 20% below list price on house listed for five months:
No, They have turned down a much higher offer.
3. A house priced at $1.9 million, on market for 3+ months:
I am sure you have seen the television show “Deal or no Deal”….At $1,500,000 it is “No Deal” If they are serious make an offer that is market related and we will work seriously to make a “Deal”.
4. A short-sale on the market for one year. We’ve made the same offer three times since June:
I did speak with the seller and he is willing to work with your clients but they have to come up over the $750k. He wants to sell the house but he also wants to be realistic and work with a serious buyer. Have them come up a few thousand dollars and he will sign it.
Notice how they mention that if you are a serious buyer, then you will pay their price.
Some listing agents make other demands just to consider your offer. They’ll require approval letters with FICO scores, require bank statements, or how about this one – requiring that the good-faith deposit be a cashier’s check made out to his escrow company – JUST TO MAKE AN OFFER!
There are commenters here that think someday sellers will be giving away properties left and right.
But once you get in the game, you quickly realize how the listing agents are a major barrier. They think it is their job to defend their price, and wait until “the right buyer” comes along. In the meantime, they try to blow off everyone they can.
You can say that it’s their job, but realize that listing agents are a major hurdle to price discovery.
For it to be different someday, we’d need a major push of REO listings to change the status quo. As long as the banks aren’t foreclosing, the short-sellers list high and have no reason to cooperate. The elective sellers will only consider offers that aren’t insulting – which means ‘really close to list price’ – and their agents back them up.
We’d need to be hit by the REO tsunami to knock any sense into the agents & sellers.