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Nancy, how do you know your offer to buy a house was not accepted?
Sure, they may have said 'No' initially, but if you just walk away from the deal they may come back later and say they accept.
That is how it works for us when we buy a car. We make an offer, the sales person does not accept it, we walk out of the dealership and start to get in our car, and they run out to tell us our offer has been accepted. That has happened many times.
I think you should give them a week or more. If they haven't contacted you in that time, maybe then you can assume your offer was too low,
Nancy, how do you know your offer to buy a house was not accepted?
Sure, they may have said 'No' initially, but if you just walk away from the deal they may come back later and say they accept.
That is how it works for us when we buy a car. We make an offer, the sales person does not accept it, we walk out of the dealership and start to get in our car, and they run out to tell us our offer has been accepted. That has happened many times.
I think you should give them a week or more. If they haven't contacted you in that time, maybe then you can assume your offer was too low,
I don't want to go off-topic, but thanks for your suggestion. I only meant my first offer was refused but I got a counteroffer. I've been stalling, but I also was thinking about the tax savings if I get into a house by the end of the year. I'm also wasting money on rent. On Friday I was told "it's a busy holiday weekend. It won't be there on Monday." On Wed I was told "Make another offer, since they have another buyer." Yesterday I worked out another deal, but I don't like the games. Funny that you mentioned cars. I never did that to anyone because I felt I'd lose my integrity if I kept changing my story.
I just read an article about buying houses in a down market. It says it's actually better to rent until prices start to rise because of the costs of owning a home and the uncertainty of the economy.
there is so much involved in buyer a house and the mind games of trying to create a sense of urgency on behalf of the buyer is always a conflict.
The funny thing is thanksgiving is notoriously a super slow weekend for homesales not busy. If there wasn't another buyer the realtor shouldn't have said there was. In florida if there are multiple offers isn't there some type of disclosure that is supposed to be signed? (I've never taking the florida real estate licensing course so I don't know for sure) .
I'm so glad you know what you want and are willing to wait to get it on your terms. even with all the short sales at non acceptable prices and the pieces of crap that no one would want to live in there are still a lot of homes to chose from, and in swfl most homes are not unique. Even if the house sells there will be another one right behind it to take it's place.
I can't even remember how many offers I put on houses before I actually closed on one. I always figured what I was willing to pay would make in offer say it is only good for 24 hrs then void, not even interested in hearing a counter offer this is my highest best if you try to give me a counteroffer i will not use you as a realtor again so make sure you communicate this to the listing realtor. I'd make an offer wait a day and be told "they declined your offer" I heard this a couple times a week.
Just like Hiker has said one lender came back 100 days later and accepted my offer. (it just so happens it was the one I liked the best).
one thing trulia is actually good for is you can track houses that have sold in the area you're looking Not listing prices, and then you can cross reference whether they were actual sales or a bank reposession. then you'll have a good idea if your offers are realistic. Bank owned properties last month were selling at 32% lower than a non distressed sale
I tell realtors that I only negotiate when I am the only buyer - as soon as another buyer appears (virtual or otherwise), I fold my tent.
I also like working with the listing agent, so that the agent is looking at both ends of the commission if the sale goes through...which super motivates the agent to pressure the seller to accept my offer.
I have also used the technique of working up a complicated looking spreadsheet that calculates the fair value of the property, I show that to the agent and say this is my one offer, no counters, and let that sit with the buyer for a week or so.
It just takes one weak moment of fear for them to push the button.
The week after particularly bad headlines are are great time to be buying when there is a lot of fear in the market.
This may seem like nasty stuff, but some of it is push back on seller and realtor games, and some of it is you providing cold and calculating liquidity on the demand side of a market.
When I am a seller in a rush, I look around the neighbourhood for realtor signs for who is active in the area, and signed up with the brokerage known for high volume take no prisoners agents (ie. Remax). Last time I did this I invited a few agents to meet with me to interview for the listing, and tell them I am interviewing other agents.
I then jump in with an aggressive price, with the Realtor on a short contract, terms like # of open houses and advertising negotiated up front.
Thanks, everyone. I started this thread to discuss how people are coping, so I feel a little selfish talking about this other subject. I can't possibly compare what someone like Hik is going through with my problems.
One reason I've held back buying is because I need joint surgery (problem toe) and that will keep me from working on my feet even longer, but I need to find out if it will work. So far prayer hasn't done the trick! My pelvis seems to be healing on its own, although I'm using a cane for balance.
I'm renting from a nice person who is also a real estate agent. In fact, I found this house through her associate who was showing me houses in April. Then I got hurt in May and had to put everything on hold. I began looking again in Aug or Sept, but I'm just getting to know this area. I'm very familiar with most areas of Lee & Collier, but Charlotte is fairly new to me. I admit he's shown me a lot of homes, but I was feeling out the neighborhoods. I looked at a couple of places in Burnt Store Lakes, a few in Deep Creek and now I'm concentrating in this area.
BTW, a home I saw in Deep Creek just a few months ago has been reduced by more than $25,000. Another house I saw in Port Charlotte was over is $20,000 lower.
So all of these "buy it now or it will be gone" routines aren't new to me. I just feel stuck with this agency because, if I buy from someone else, they'll hate me, and rightfully so. However, he just got very irritated because the builder offered to "give me" a screened lanai at the full list price, and my answer was "If he agreed to build a lanai, then it's because nobody else made a reasonable offer." Builders don't just "throw in" something.
I have no idea. Now I'm very confused. AFAIK, it doesn't matter how many offers there are until one is accepted. However, I'm not a real estate agent. I took the FL R.E. salesperson course and got my license, but it was a long time ago, before fire, so I forget. Heck, it's getting to the point where I can't even remember why I drove to the supermarket when I get there.
Quote:
Originally Posted by kroeran
I also like working with the listing agent, so that the agent is looking at both ends of the commission if the sale goes through...which super motivates the agent to pressure the seller to accept my offer.
Well, this is something I do remember. (I have moments of clarity!) Back when I took the course, we were told that being a "dual agent" was frowned upon my FREC because you can't serve 2 masters. Since then, I understand real estate companies use the term "transaction broker" which means the broker or agent is supposed to work as a mediator and not negotiate on the buyer's or seller's behalf.
I know for a fact, because it happened to me, that some listing brokers will offer the buyer a rebate at closing. In other words, if a contract is 6% then the listing agency usually pays 3% to the agent representing the seller. So, since there is no other agency involved, the broker only has to pay his/her own salesperson. Let's say I was buying a home for $125,000 from the listing broker. The broker might offer $2,500 as a rebate at closing. It's perfectly legal.
Last edited by justNancy; 12-03-2010 at 06:24 PM..
Thanks Nancy, in thinking of me. In all of the horrors I have experienced in my life, this is probably going to be the last straw. I am at the point where I am barely functioning.
Some state allow dual agency, such as Tennessee. However, the listing agent is legally and morally bound to represent the seller at all times. If you, the buyer, say something that you probably shouldn't to him or her, they have to go back to the seller and tell them that information. It's a very dangerous game. In Tennessee, the listing agent has to sign a disclosure letter stating that although you don't have a buyer's agent, at the end of the day, their obligation is to the seller.
Florida no longer allows dual agency. Yes, there are transaction brokers out there, even in states that allow dual agency like Tennessee, but I don't know how effective they are. A seller really does want an agent that has their best interests at heart, and buyers want their buyer's agent to do the same for them, as it should be.
And a smart listing agent is going to encourage the sale, if it is a good offer. A sale is a sale is a sale. As long as it is not ridiculous. Ultimately, you presents your facts and the client decides. It's their house and their life.
I hate those sort of pressure tactics. I think it makes for bad business practice and it is a bit like the little boy - or gal - that cried "wolf." At some point they may be telling the truth but who is to believe them. Sort of like the agent that told Nancy, three years ago, that prices were no longer going down. Dreadful.
I can't explain enough the importance of integrity in business transactions and how that can make a salesperson wildly successful in the long run. As we get older, we want to pound the pavement less and less and running an above board business will start to bring in business when you are not even looking for it.
By the way, the listing agent decides what they are willing to give the buyer's agent in advance. Most commissions are 6 percent for the listing agent, and the common standard, right now, is 2.4 percent to the buyer's agent out of that 6 percent commission. That is not set in stone but has been the rule of thumb, lately. A tough selling home often sees 3 percent right from the jump and sometimes a bonus if closing is within a certain time frame. That usually occurs with sellers that need to get the property sold, like, yesterday.
The commission split is put into the MLS sheet so there will be no surprises and it is scrupulously watch by the local MLS. Any changes must be put in writing before the offer is presented. I've noticed that sometimes listing agents that disagree with their clients listing price will put in a very small commission split; something like 6 percent, with 4 percent going to the listing agent and 2 percent to the buyer's agent. They know that a lot of buyer's agents won't bother with that listing until the commission is more evenly distributed. I think it is a mean way of discouraging movement to teach their seller to price more aggressively and listen to them more.
Thanks, Hik. I guess there's some confusion here. I realize that the commissions are stated on the listing. However, I wasn't talking about commissions at all. I know in Florida it's illegal to split commissions with an unlicensed person. I remember back in '94 when I was told I couldn't even buy someone lunch for referring a client!
I was talking about something entirely different. Most real estate people will say it doesn't matter, but there is often a little more wiggle room on price if you use the listing agent. It has nothing to do with the contract between the seller and the listing broker.
Think about this. A home is $250,000. The seller agrees to pay 6% to the listing broker or $15,000. Let's call the broker John at ABC Realty. A buyer sees an ad and goes directly to ABC Realty. Sally, a real estate salesperson (agent) who works for John, sells the house. The $15,000 goes to John, since he's the broker at ABC Realty. Then it's up to him to pay the commission to Sally. Often when the home is an office listing, the real estate salesperson gets a higher percentage of the commission. In any case, if there is no other office involved, it's obviously better for the listing office. So if the broker doesn't have to pay another broker his share (in this case $7,500) why not offer the buyer an incentive to close the deal? It's called a rebate and it's legal in many states. It has nothing to do with the seller, the price of the home or what the seller receives.
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