Make An Offer Now Is A Good Idea

     Have you ever had this experience?  You go look at something that you want to buy, a used lawn mower.  The seller is asking $1000 for the mower.  You know it is not worth $1000.  You would be willing to buy it for $700.  You also know that it is very unlikely that the seller will  sell it for $1000.  You know what is going to happen.  The seller will have it for sale for three or four weeks.  He will lower the price and lower the price.  When the price gets to $800, someone will offer him $700.  They will buy it for $700. 

     In the meantime, you are out wasting your time looking for a good buy on a used lawn mower.  Here is my question.  Why did you not make the seller an offer when you first went to look at his mower?  Most people don't.  My wife, Kathy, and I have a cliche that we use a lot.  When we go look at an antique or widget or whatever we want to buy, we almost always make an offer before we leave.  Our cliche is,"We have already done the hard part."   The hard part is driving twenty miles to look at this overpriced widget or house or lot or whatever it is.  We have already done the hard part.  We know we are not going to buy their $700 lawn mower for $1000.  We also are pretty certain that the owner is not going to sell it for $1000.  We know what is going to happen.  Sooner or later, the owner is going to sell their item for what it will sell for.  The bad news is Ron and Kathy are long gone and forgotten by then.  How can we avoid this?  Here is the answer.

     Make them an offer in writing.  If I know I would buy the item (lawn mower) ,  for $700, I make them an offer.  I don't just talk.  I put it in writing.  I take my business card or a scrap of paper.  I write $700 on the back.  I tell the seller," If the price gets to $700, call me.  In real estate this could mean signing a contract offer to purchase.  The owner is asking $300,000.  You would buy this house for $225,000.  Make them an offer.  Sign a contract at $225,000.  In real estate contracts, there is a paragraph that states that this offer is valid until a certain date.  That date is usually a week or less from the offer.  You could make that date six months from now if you wanted to.  Five months later, after a few price reductions, Mr. Seller gets an offer of $199,000.  His listing agent will probably be calling you.  I am certain I would if I were the listing agent.  A normal buyer may not be able to do this.  An investor type can.  You can always cancel the offer.  If you are willing to pay $225,000 today, you will probably be willing to pay $225,000 six months from now. 

     Back to Ron and Kathy looking at the used lawn mower for $1000.  Take your business card.  Write $700 on the back.  Ask the seller to call you before he sells it for $700.  This works even better if the owner is in some sort of time trap. He is moving to a condominium at the end of the month.  If you don't make the offer in writing, the seller can not find you when he mellows out.  If his merchandise is overpriced, he will mellow out before he sells it.  He can always put the mower in a storage shed for fifty bucks a month or he can call you.  Which choice makes more sense?

Ron Climer, If you have a house for sale in Hendersonville, N.C.

     This article is just one tip, make an offer.  Learning to negotiate better is something that everyone is almost forced to do when they sell things like real estate , used motorcycles, antiques, used cars etc.  Learning to negotiate is learning to speed up the mellowing out process that sellers of stuff have to go through. Learning to negotiate is a life long process.   This is just one little tip.  It is a good tip. The next time you are trying to buy something, make the seller a written offer. 

     Ron Climer is a Realtor in Hendersonville, North Carolina.  His wife buys and sells antiques.  If you have a house you need to get sold, contact Ron at 828 755 6996. 

     www.ronclimer.com     www.northcarolinaexamreview.com