List price fell, after I offered more! (insurance, real estate, property) - Mortgages -Lenders, loans, financing, rates, foreclosures, short-sales, brokers, credit score, deed, lien, refinancing, borrowers - City-Data Forum

nugget7803 · 06-17-2009, 01:08 PM

I'm a first-time home buyer and have a situation. I spotted a house listed for $109,000 and made an offer of 94,900, which was rejected. Next, I raised my offer to 101,000 and the offer was accepted. Great, except that the next day, I look online and see that the seller has dropped the listing price to 94,500: LOWER THAN MY FIRST OFFER! Do I have any options?

chet everett · 06-17-2009, 01:55 PM

Nope.

This happens the other way too, where another offer comes in HIGHER than the seller's agreed to price.

Timing is everything, some web sites are updated a lot less frequently than they should be.

Pragmaticus · 06-17-2009, 02:01 PM

I would use the inspection to get some money back. They are prepared for the lower price mentaly. Why not try it.

annerk · 06-17-2009, 02:42 PM

If the state you live in offers a contract review period, you can tell teh buyer that you'll walk away if they do'nt renogotiate. I'm sure your real estate attorney can find something "wrong" with the contract. What is your buyers agent saying?

chet everett · 06-17-2009, 04:30 PM

While I think what MeInDenudin is suggesting is at least a bit "weasely" I can at least rationalize it as no house is truly in "perfect" condition and if the inspection turns up some things that REALLY ought to be addressed that is a legitimate purpose of the inspection.

To suggest that the contract review period is an appropriate time to reopen price negotiations, however, is not something I would condone. The purpose of that period is to address REAL ISSUES that may exist, not use the attorney as some sort of "muscle" to get the seller to cry uncle. The VAST majority of offers and contracts in my neck of the woods use STANDARDIZED documents so that the lawyer's review is mostly for the buyer to go through a checklist of title companies, insurance carriers, inspection reports and other details that do need to be in place before closings can be discussed. If people ABUSE this period it is very likely that even sellers in a BUYERS market will balk and this period will be cut down to something that truly does not give people enough time to get everything lined up for closing.

Pragmaticus · 06-17-2009, 06:44 PM

Quote:

Originally Posted by chet everett

While I think what MeInDenudin is suggesting is at least a bit "weasely" I can at least rationalize it as no house is truly in "perfect" condition and if the inspection turns up some things that REALLY ought to be addressed that is a legitimate purpose of the inspection.

This people just reject his offer and cut the listing price to below offer. So, I don't see anything wrong in asking. With or without rationalization, inspection will bring a host of things. It is subjective what's "REALLY ought to be addressed" as you put it.

eric#1 · 06-17-2009, 07:57 PM

I have seen people do this in order to keep some activity on the property, and if the seller is lucky they may get a back up offer which keeps pressure on the potential buyer from nitpicking the inspection. If you like the property and you think it is a fair value I think you should move forward as usual.

nugget7803 · 06-18-2009, 07:24 AM

Thanks everyone for the input. I'm not sure what will come of what I did. I spoke with my agent and we decided to offer an amendment to the contract lowering my offer. Maybe it will save me some $$$, but if not I'm going to go ahead with my higher offer anyway. I think it's still a deal at the higher price, but it never hurts to try.

Thanks all!

chet everett · 06-18-2009, 09:33 AM

Quote:

Originally Posted by nugget7803

Thanks everyone for the input. I'm not sure what will come of what I did. I spoke with my agent and we decided to offer an amendment to the contract lowering my offer. Maybe it will save me some $$$, but if not I'm going to go ahead with my higher offer anyway. I think it's still a deal at the higher price, but it never hurts to try.

Thanks all!

I think you are looking at this with sanity and rationality: the price you offered was a fair value to you!

The knowledge that you got from the web that you "missed out" on a price cut is not a good feeling, but that reflects the FEAR and UNCERTAINTY of the seller, not necessarily anything else.

Good Luck!

nugget7803 · 06-18-2009, 09:50 AM

Thanks Chet