This is a buyer’s market, right? What happens when a buyer has read and listened to all the media reports about how the buyer is king now? The buyer may feel empowered to offer considerably less than the asking price and considerably less than all recent sold comps. Some sellers are so insulted that they won’t even counter the offer. Here is an idea for those considering Palos Verdes real estate.
A recent New York Times article suggests a spin on the “Dear Seller” letter which was popular when it was a seller’s market. At that time, the buyer wrote a letter to the seller describing their family and how much they loved the house hoping to get an edge in the multiple offer game. The New York Times actually printed a very unemotional sample letter to the seller (from the buyer) explaining why they are submitting such a low offer and includes market statistics.
The article even contains a sample letter for the seller to write back to the buyer explaining why he hopes the buyer will reconsider his low offer otherwise the seller wants to wait for a higher offer. It is all very unemotional and business like. It would be hard for either party to be insulted. It is a very interesting strategy.
