Sometimes, it does make sense to take a lowball offer on your home, or an offer that comes in noticeably below your asking price or what similar homes are selling for. However, it really depends on why the offer is low and what position you’re in as the seller. 

In this blog post, we’ll help you decide whether it makes more sense to negotiate, wait, or move forward with a lowball offer.

Is It Really a Lowball Offer or a Sign Your Home Is Overpriced?

The first thing to look at is whether the offer is actually unreasonable or whether it reflects how buyers are seeing your home right now. It’s easy to view any number below asking as a lowball offer, but that doesn’t always mean the buyer is completely out of line.

For example, if your home has been sitting on the market longer than expected, or if similar homes nearby are selling for less, that lower offer may be pointing to a pricing issue. In this case, the gap between your asking price and the offer may just be the market, not the buyer trying to take advantage of you. 

On the other hand, if your home is newly listed, priced in line with comparable properties, and in a market where homes are moving, it may not be a case of overpricing at all. The buyer may just consider their offer as a starting point for negotiation, so it’s worth a little back and forth.

Have Other Buyers Shown Real Interest in Your Home?

The next thing you’ll want to pay attention to is the level of real interest in your listing. If buyers are actually coming to showings and putting in offers here and there, you may be in a better position to treat a low offer as just another attempt rather than something you need to seriously consider right away.

However, if interest has died down or was never really there to begin with, an offer that comes in below the asking price may deserve a closer look. A lower number is still a lower number, sure, but it also may be the only offer. And for some sellers, that changes the conversation a bit.

So, at this point, the question is whether other buyers are showing signs that a better offer may just be on the way. If not, it may make more sense to respond, negotiate, and see whether the buyer is willing to budge from their lowball offer rather than dismiss it entirely.

Does the Lower Offer Still Work for You?

A low offer is never ideal, but that doesn’t automatically mean it’s the wrong move. Sometimes the better question is whether the number still works well enough for your plans. If it does, it may make more sense to continue the conversation rather than getting stuck on the price.

Here are a few things to consider when deciding whether a lowball offer will work for your needs:

• How soon you need to sell. If you’re on a tight timeline, taking a lower offer may make more sense than waiting things out.
• Whether waiting for a better offer is realistic. Holding out only works if there is a good chance something stronger will actually come along.
• What it costs you to keep the home on the market. Mortgage payments, utilities, taxes, and upkeep can add up the longer you stay listed.
• How close the offer is to the amount you actually need. Even if the number feels low, it may still be close enough to work for your situation.
• Whether the buyer might be flexible on price or terms. A buyer may be willing to come up on price or make the deal more appealing in other ways.
• Whether accepting less now still helps you move forward. Sometimes taking a little less is still worth it if it gets you to your next step without more stress or delay.

Sometimes a lower offer is still workable. And if it is, it may be worth negotiating instead of writing it off right away.

Need Help Deciding Whether to Take a Lowball Offer on Your Home?

Figuring out if a lowball offer makes sense for your situation isn’t always straightforward, especially when you are trying to balance the market, your timeline, and your next move. And that’s where having the right real estate agent can make a real difference. 

Contact Hawkins Real Estate Group today to work with a team that can help you evaluate the offer, understand your options, and decide whether it makes more sense to negotiate, wait, or move forward. We look forward to working with you!