Evaluate my real estate negotiation in real time!
 

So we got an offer on our house today. We're asking $349,000, the offer came in at $333,500, BUT they need us to pay $8,500 in closing costs, which effectively makes the offer $325,000.

I would like to get at least $335,000 net, which means countering with at least $343,000.

Other considerations:

- They are asking for our stove, fridge, washer and dryer, and expressed an interest in our patio furniture.

- Our porch needs between $1,000 and $2,000 in repairs.

I decided to counter with $345,000 + closing costs of $8500 + all the appliances they're asking for and the patio furniture. An effective offer of $336,500.

Seem like a reasonable counter?

Re: Evaluate my real estate negotiation in real time!
 

Where do you live?

Chances are your home is going down in value on a daily basis and time is money..........don't play games over a few dollars.

Re: Evaluate my real estate negotiation in real time!
 

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Where do you live?

Chances are your home is going down in value on a daily basis and time is money..........don't play games over a few dollars.

[/ QUOTE ]

Our home is not going down in value on a daily basis. If we can't get the price we want, we will probably end up renting it out for the year while we're gone instead of selling.

Re: Evaluate my real estate negotiation in real time!
 

Update: They countered with $340,000 and our realtor agreed to kick back $1,000 of the commission. So, $332,500 net.

We accepted.

Ship it holla

Re: Evaluate my real estate negotiation in real time!
 

Where is your house located that it is not going down in value?

Re: Evaluate my real estate negotiation in real time!
 

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Where is your house located that it is not going down in value?

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Are you suggesting right now that every home in every location is decreasing in value every moment?

Re: Evaluate my real estate negotiation in real time!
 

DOOM AND GLOOM.


Just remember that just because real estate in America is taking a hit in general doesn't mean the sky is falling over its head and the entire economy is going through a massive recession and every homeowner in America is going through troubles selling their properties.

Re: Evaluate my real estate negotiation in real time!
 

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Are you suggesting right now that every home in every location is decreasing in value every moment?

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Just by his first post, it's pretty clear this is not what he meant.

[ QUOTE ]
Chances are your home is going down in value on a daily basis and time is money..........don't play games over a few dollars.

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While I agree with the first half of his statement, the second part is just garbage advice.

Re: Evaluate my real estate negotiation in real time!
 

[ QUOTE ]

[ QUOTE ]
Chances are your home is going down in value on a daily basis and time is money..........don't play games over a few dollars.

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While I agree with the first half of his statement, the second part is just garbage advice.

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are you referring to "dont play games over a few dollars"?

that is the best advice fishhead has ever given on this site.

Re: Evaluate my real estate negotiation in real time!
 

Playing games over a few dollars just got the OP $7500 more for his home. Do you think the better play is to just accept their offer? I hope I buy my home from someone with that mentality.

Re: Evaluate my real estate negotiation in real time!
 

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our realtor agreed to kick back $1,000 of the commission.

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This could be illegal. I'm not entirely certain off the top of my head. But pretty sure.

Re: Evaluate my real estate negotiation in real time!
 

Kickback of a real estate brokers commission to the selling party is NOT illegal at all. Many companies advertise that in fact even as an incentive. Its just him giving you a discount on his fee. Only thing that would be illegal is if you didn't claim it on your taxes. It would be illegal if the broker took/gave kickbacks on items like title insurance and the like.

SteveOMS

Re: Evaluate my real estate negotiation in real time!
 

Not only is it legal, but in the current environment of slowing real estate sales, you should ask your realtor for a rebate. They need your business right now and will deal in order to keep you from using another agent.

Re: Evaluate my real estate negotiation in real time!
 

[ QUOTE ]
Playing games over a few dollars just got the OP $7500 more for his home. Do you think the better play is to just accept their offer? I hope I buy my home from someone with that mentality.

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I believe he was referring to the current market environment. Everyone wants to sell and little or no buyers. Also, it is very difficult to get a loan these days, especially a jumbo loan. I would be hitting the bid if I wanted out of real estate. I think it would be foolish to chase away a potential buyer for such a small amount like 7500. In the real estate game, that is peanuts.

Re: Evaluate my real estate negotiation in real time!
 

gonebroke2---Thank you......exactly my point.

Do you realize how many individuals have lost tens of thousands in the last year trying to sell their house at a certain price...........only to see it drop in value by well over 10%.

If their house was 300,000, thats a 30,000+ loss they are staring at.......and more importantly, many are still in a place they don't really want to be.

Re: Evaluate my real estate negotiation in real time!
 

[ QUOTE ]
gonebroke2---Thank you......exactly my point.

Do you realize how many individuals have lost tens of thousands in the last year trying to sell their house at a certain price...........only to see it drop in value by well over 10%.

If their house was 300,000, thats a 30,000+ loss they are staring at.......and more importantly, many are still in a place they don't really want to be.

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I understand your point, but it's no big deal if we couldn't have gotten the price we wanted. We would have just rented it out and ridden out the market downswing.

We like the house, our mortgage is very reasonable and we could have lived here longer.

But we ended up getting an offer that I'm pretty happy with so it all worked out.

We live in Portland Oregon, FWIW. We're in a desireable neighborhood that's close-in, in a unique house with a lot of charm. If it does dip in value somewhat while the market is stagnant, it won't be a whole ton IMO.

Re: Evaluate my real estate negotiation in real time!
 

Nice area, lived in Beaverton for 13 days.

Re: Evaluate my real estate negotiation in real time!
 

Its most likely is not a kickback, just a reduction in the commission. Nothing close to illegal about that.

Re: Evaluate my real estate negotiation in real time!
 

OP, congrats on the sell. did the buyer include a 'point' in the closing costs or was their some property tax figured in? $8500 seems high

Re: Evaluate my real estate negotiation in real time!
 

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OP, congrats on the sell. did the buyer include a 'point' in the closing costs or was their some property tax figured in? $8500 seems high

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I'm not sure, but it doesn't matter to me. All that matters is our net.

Also, someone mentioned that the $1k we're getting from our realtor is taxable. Pretty sure that's not true since the profit on our house isn't taxable (we've been here longer than 2 years), and the $1k is a reduction of a fee we're paying, not some sort of other credit.

Re: Evaluate my real estate negotiation in real time!
 

Well I was still technically right. The 1k is a taxable event that has to be claimed on your returns (with the rest of the sales price), but your allowable deduction claimed on the house will also increase by the same amount.

Steve