There can be consequences for sellers that reject offers from buyers. Depending on the reason behind the denial, there might be ramifications beyond just that one buyer. The finality of rejection in this case means both parties have to move in different directions, with this viable buyer shifting to another property and the seller scrambling for a second prospect. This is especially true when there are alternatives that might have increased the chances of an agreement. The misfortune of losing this buyer is amplified if this is the first offer, it’s been proven the first proposal will normally be the best.
Real estate professionals harp on pricing homes at fair market value and for those owners that do, losing a buyer is not worrisome. For those families that have not heeded that advice, then rejecting an offer can be catastrophic. Price it to sell and it won’t sit. Even in today’s market, there are still owners that have incorrectly priced their home and then receive an offer that’s not in their imaginary opinion of value, that’s guaranteed to be rebuffed by the seller. Every offer should be considered legitimate, until proven otherwise. A seller can’t prove this legitimacy with a rejection. The appropriate response would be countering the proposal, identifying the differences and work on compromises that can cement an agreement.
In real estate, word of mouth is powerful and buyers occasionally chat with other buyers. If sellers begin eliminating offers without the slightest effort to negotiate, word gets out quickly, this is an owner that’s not reasonable and not willing to engage. There are a surplus of prospects on the market searching for a home, but none are willing to overpay for a property. Every now and then we have a buyer that will make an offer with no chance of seller approval. It’s understandable for a seller to decline those type of buyers, but only after presenting a counter proposal. If a buyer makes an offer on any home with a pre approval letter verifying their ability to financially purchase that property, the seller should consider this to be a genuine buyer with the intent of hashing out any disagreements. There are many times when a hopeless situation can turn into a win-win for both parties. but only after mutual dialogue between buyer and seller. Please visit my website at www.JohnnyBrooksHomes.com for helpful tips on buying or selling a home, scan my informative blogs, join my professional networks at Twitter and LinkedIn and easy access to view local area homes for sale in Davis, California and the surrounding communities.