Advice needed on final house negotiations

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cdu7
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Advice needed on final house negotiations

Post by cdu7 » Wed Aug 08, 2018 7:01 am

Here is the situation, we agreed on a price for the house, which needed a few fixes in our inspection. This was a rehab house done by a development company, meaning their cost of labor theoretically should be fixed and all of our requests easy to do. During the legal review process, the seller was trying to nitpick and refuse to do many requests for work. The appraisal comes in at 20k under our agreed price. Well, of course our contract has a clause that the deal can be killed when this happens with no penalty. We demand they lower their price to the appraisal price. They come back saying they will agree to do every piece of work we had previously requested, but won't move on price. I demand that we see some kind of price drop, the price drops by a few k, then I find out that this is the agents agreeing to lower their commission to allow the deal to go through. In my mind this is unacceptable. I understand the seller is mad (the agent said he is very mad) at the low appraisal, but we are both in this situation. I don't believe other appraisals they are likely to get will be 20k higher, which means if they kill this deal, they will be in this situation all over again with the next buyer.

I want advice on what to do next, it sounds like the sellers are in an unreasonable mindset, what should be our next move? Shouldn't they at least meet us in the middle here?

Edit: Suggestions from my end: Should I demand they do extra bonus work on the house, apart from our inspection hit list? Like extra cabinets or a new fence in the yard? Should I demand they lower the price by certain amount from the seller (plus take the agent money?) and meet all of our requirements? Whatever demand I make now, it is looking like it is a "do this or walk" situation. I don't see why they won't so much as move a penny when this appraisal came in so much lower.

smitcat
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Re: Advice needed on final house negotiations

Post by smitcat » Wed Aug 08, 2018 7:18 am

"I don't believe other appraisals they are likely to get will be 20k higher, which means if they kill this deal, they will be in this situation all over again with the next buyer."

Buyers with differing amounts of loan requirements and cash buyers will not be affected by this at all. Additionally all appraisals do not come out the same.
Base your decision on how much you want the home at a fair price to you - this may mean that you agree to the purchase or walk away but the rest of this is more of a distraction than anything else.
You already have stated very clearly that the sellers are at their limits - the only remaining unkown is your next move.
Good luck with the new hone if you buy it and good luck with the search if you do not.

cdu7
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Re: Advice needed on final house negotiations

Post by cdu7 » Wed Aug 08, 2018 7:22 am

We are 30% down, so theoretically it doesn't effect us in financing, but psychologically it does. We don't live in an area in which house prices keep rising forever, it is entirely possible we could "lose" money on this house if we make this deal. I know the market here well enough that our price was the absolute best possible price they would get for that property, and lowering it a bit would still give them a healthy profit margin.

riverguy
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Re: Advice needed on final house negotiations

Post by riverguy » Wed Aug 08, 2018 7:23 am

I wouldn't be so sure that they would not get an appraisal for an extra $20k. Appraisals are a subjective joke anyways.

Why would you care if the agents lower their commission or if the seller takes the hit? That seemed to irk you.

cdu7
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Re: Advice needed on final house negotiations

Post by cdu7 » Wed Aug 08, 2018 7:26 am

riverguy wrote:
Wed Aug 08, 2018 7:23 am
I wouldn't be so sure that they would not get an appraisal for an extra $20k. Appraisals are a subjective joke anyways.

Why would you care if the agents lower their commission or if the seller takes the hit? That seemed to irk you.
I feel burned by the way the seller negotiated with the inspection requests earlier; they were trying to fight us on tiny details which would have cost literally 10s of dollars to fix. It left a bad taste, because theoretically this was a construction company and I thought I was paying a premium for the house and should expect them to provide a premium product. Also they had promised to do a particular thing verbally to us before we made an offer on the house, then were refusing to do that thing in the contract. Of course now they will do everything, but I'm getting the sense these people are very unreasonable and it is psychologically making me want to back out of the deal.

renue74
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Re: Advice needed on final house negotiations

Post by renue74 » Wed Aug 08, 2018 7:28 am

It's a sellers market most places in the US.

If I were the seller, I would let your offer to purchase agreement end and move on. There are plenty of other folks out there who would buy the house at this point. To me, you're a high maintenance buyer.

The appraisal coming in lower in the price may be a good thing, it shows you that the asking price and your agreed upon price was just too high for the home. It saves you from making a purchase mistake.

smitcat
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Re: Advice needed on final house negotiations

Post by smitcat » Wed Aug 08, 2018 7:29 am

cdu7 wrote:
Wed Aug 08, 2018 7:22 am
We are 30% down, so theoretically it doesn't effect us in financing, but psychologically it does. We don't live in an area in which house prices keep rising forever, it is entirely possible we could "lose" money on this house if we make this deal. I know the market here well enough that our price was the absolute best possible price they would get for that property, and lowering it a bit would still give them a healthy profit margin.

Another view of this situation....
"House just came in the market, fresh rehab, amazing, asking price is a bit high but not unreasonable. My fear is that in my area these kinds of homes go fast. (It’s not a sellers market exactly, kind of mixed, but sellers for certain homes like this one). How do you make an opening offer that can be accepted at once, and keep the seller from continuing to seek other offers."

If you like the home then buy it - if you are not willing to buy they home walk away now and get in with your life. Making judgement calls on the current owners profit margin is not related to your best choices at this time.

smitcat
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Re: Advice needed on final house negotiations

Post by smitcat » Wed Aug 08, 2018 7:32 am

cdu7 wrote:
Wed Aug 08, 2018 7:26 am
riverguy wrote:
Wed Aug 08, 2018 7:23 am
I wouldn't be so sure that they would not get an appraisal for an extra $20k. Appraisals are a subjective joke anyways.

Why would you care if the agents lower their commission or if the seller takes the hit? That seemed to irk you.
I feel burned by the way the seller negotiated with the inspection requests earlier; they were trying to fight us on tiny details which would have cost literally 10s of dollars to fix. It left a bad taste, because theoretically this was a construction company and I thought I was paying a premium for the house and should expect them to provide a premium product. Also they had promised to do a particular thing verbally to us before we made an offer on the house, then were refusing to do that thing in the contract. Of course now they will do everything, but I'm getting the sense these people are very unreasonable and it is psychologically making me want to back out of the deal.
"I feel burned by the way the seller negotiated with the inspection requests earlier; they were trying to fight us on tiny details which would have cost literally 10s of dollars to fix"

IMHO - base upon your inputs you are now willing to make a decision based upon a few 10's of dollars. Again, if this is accurate (you said it) then you are the unkown here and not the seller. You are dealing with a company that will just relist the home and/or move to the next buyer - it is what they do each and every day.

Jack FFR1846
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Re: Advice needed on final house negotiations

Post by Jack FFR1846 » Wed Aug 08, 2018 7:32 am

Walk

In 6 months, when the house is still on the market, make an offer that's 30% lower than what you had agreed upon and make it clear that you have no interest in a counter offer. Take it or keep the house on the market for years.
Bogle: Smart Beta is stupid

riverguy
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Re: Advice needed on final house negotiations

Post by riverguy » Wed Aug 08, 2018 7:38 am

cdu7 wrote:
Wed Aug 08, 2018 7:22 am
We are 30% down, so theoretically it doesn't effect us in financing, but psychologically it does. We don't live in an area in which house prices keep rising forever, it is entirely possible we could "lose" money on this house if we make this deal. I know the market here well enough that our price was the absolute best possible price they would get for that property, and lowering it a bit would still give them a healthy profit margin.
If you know the market well enough, why did you offer $20k over what the house is worth and utimately why are you complaining about it? Over 10s of dollars? When you are willing to pay $20k over what you "knew" was market?

Also, you don't get to dictate their profit margins. That shouldn't even matter to you. Just like where the price drop comes from, be it the agent or the seller. WHO CARES. Worry about yourself and what comes out of your wallet. You'll do a lot better.

JoeRetire
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Re: Advice needed on final house negotiations

Post by JoeRetire » Wed Aug 08, 2018 7:45 am

cdu7 wrote:
Wed Aug 08, 2018 7:01 am
I want advice on what to do next, it sounds like the sellers are in an unreasonable mindset, what should be our next move? Shouldn't they at least meet us in the middle here?
There is absolutely no requirement that they meet you in the middle or anywhere else.

You can walk away. They can walk away. Or you can determine what is your final offer, make it, then walk away if it isn't met.

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jharkin
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Re: Advice needed on final house negotiations

Post by jharkin » Wed Aug 08, 2018 7:46 am

cdu7 wrote:
Wed Aug 08, 2018 7:22 am
We are 30% down, so theoretically it doesn't effect us in financing, but psychologically it does. We don't live in an area in which house prices keep rising forever, it is entirely possible we could "lose" money on this house if we make this deal. I know the market here well enough that our price was the absolute best possible price they would get for that property, and lowering it a bit would still give them a healthy profit margin.
I think your gut instinct is telling you to walk away.
cdu7 wrote:
Wed Aug 08, 2018 7:26 am
I feel burned by the way the seller negotiated with the inspection requests earlier; they were trying to fight us on tiny details which would have cost literally 10s of dollars to fix. It left a bad taste, because theoretically this was a construction company and I thought I was paying a premium for the house and should expect them to provide a premium product. Also they had promised to do a particular thing verbally to us before we made an offer on the house, then were refusing to do that thing in the contract. Of course now they will do everything, but I'm getting the sense these people are very unreasonable and it is psychologically making me want to back out of the deal.
If the selling party is a builder, there is nothing that costs them " only 10s of dollars" to fix. Even the tiniest piece of work means they have to send an employee over to the house, on the clock. It might only be an hour to drive there, change a bulb and drive back - but that is an hour of the business time at whatever their fully loaded cost is, including the service techs wage, travel, hourly cost of the truck, etc. An hour not being devoted to another job that could be generating revenue.

A large home builder is only providing "premium" if you pay for premium. There are tons of horror stories of large modern homes built built with the least expensive materials possible and the bare minimum construction quality that will pass code. Slap up the latest trendy paint color and some granite countertops and the buyers don't notice that the foundation is cracked, the windows are plastic, and the roof is an overly complex maintenance nightmare just waiting to leak. Just watch any episode of Mike Holmes' show. Or go to your local Home Depot, stroll down the electrical isle and look at the parts in the "builder grade" bins.

In the construction biz, "builder grade" = cheapest possible.
Last edited by jharkin on Wed Aug 08, 2018 7:54 am, edited 1 time in total.

daheld
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Re: Advice needed on final house negotiations

Post by daheld » Wed Aug 08, 2018 7:54 am

First thing: Try as much as you can to separate emotion from the decision. There will be absolutely be other houses that meet your criteria. It's a hard thing to do; trust me--I know.

Secondly, as others have commented, appraisals are highly subjective and really kind of a joke. It is highly dependent on where you're located, what the market is like, and how much you're spending (i.e. $20k is a big deal if you're buying a $200,000 home; not so much if it's a $750,000 home). A lot of people here will immediately tell you to walk, but I would say there's the possibility you can get creative and find a mutually agreeable solution. If you can get them to lower the price by $10,000 and get $5,000 in extras, is the other $5,000 THAT big of a deal in the long run?

Thirdly, you're a little past this stage, but I would take extra caution in a home that's just been rehabbed. Sure all the finishings are brand new and currently in style, but the home has had zero time to "settle in". Often, the corners that the rehabbers cut will take a year or so to show up. Really take a hard look at the quality of workmanship.

Finally, I would recommend playing hard ball here. I would not capitulate completely and just let them fix a few piddly little things and agree to the same price. You have some leverage here. The market is strong for sellers, but they also have some interest in getting this deal done quickly. You don't indicate what housing market you're in, but most places in America aren't so insanely hot that if your sale falls through, they'll have six other buyers lined up ready to give the same price.

NightFall
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Re: Advice needed on final house negotiations

Post by NightFall » Wed Aug 08, 2018 9:58 am

I had this exact same situation happen to me... except I was the seller. From my perspective, the buyer agreed to the price of the house as listed. We had no appraisal clause in the contract, but anyone could walk away at any point (buyer might lose the earnest money though). The appraisal came in $10K under the agreed upon price. The buyer wanted us to drop the price $10K.

Imagine how the seller feels. You have a buyer that agreed to a particular price. You waited two months for inspections and loans to clear. Everything is ready. The appraisal (quite subjective) comes in lower. All of the sudden the buyer doesn't think the house is worth what they though it was yesterday. If the buyer knew you weren't going to pay the price you agreed to, they may not have agreed to sell you the house and found someone else.

Appraisals are for banks. They are not what the house is worth. The house is worth what the market is willing to pay. Unfortunately, you are an individual and not the market. If someone else is willing to buy the house for asking price, then you have to decide if that someone is you. If you walk away, both you and the buyer are out time (maybe money depending on the contract). Are you willing to lose the house for the possibility of saving 20K? If the answer is yes, push the seller, but know that there is a very real possibility that you will lose that house.

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vineviz
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Re: Advice needed on final house negotiations

Post by vineviz » Wed Aug 08, 2018 10:04 am

JoeRetire wrote:
Wed Aug 08, 2018 7:45 am
cdu7 wrote:
Wed Aug 08, 2018 7:01 am
I want advice on what to do next, it sounds like the sellers are in an unreasonable mindset, what should be our next move? Shouldn't they at least meet us in the middle here?
There is absolutely no requirement that they meet you in the middle or anywhere else.

You can walk away. They can walk away. Or you can determine what is your final offer, make it, then walk away if it isn't met.
I agree with this sentiment.

Forget about what "should" happen and set aside any emotional judgements about who is being reasonable or unreasonable. There is SOME dollar figure above which you are happier walking away from this deal than staying in it. I guarantee the seller is doing the same.

Find YOUR figure, negotiate to it if you can and walk away if you can't.
"Far more money has been lost by investors preparing for corrections than has been lost in corrections themselves." ~~ Peter Lynch

chevca
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Re: Advice needed on final house negotiations

Post by chevca » Wed Aug 08, 2018 10:12 am

Do you want to 'win', or do you want the house? I agree with someone earlier, get the emotions out of the negotiation part of it. But, look at the emotions of wanting this house... keeping logic in mind though.

As you said, OP, it's down to minor issues mostly and you're dealing with unreasonable people... per your side of this. Don't expect to win this battle. If you want the house, buy it. All this stuff will be forgotten soon enough if you like the house. If not, you feel you're getting the raw end of the deal, and it would bug you forever, walk away.

Yooper16
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Re: Advice needed on final house negotiations

Post by Yooper16 » Wed Aug 08, 2018 10:13 am

cdu7 wrote:
Wed Aug 08, 2018 7:26 am
riverguy wrote:
Wed Aug 08, 2018 7:23 am
I wouldn't be so sure that they would not get an appraisal for an extra $20k. Appraisals are a subjective joke anyways.

Why would you care if the agents lower their commission or if the seller takes the hit? That seemed to irk you.
I feel burned by the way the seller negotiated with the inspection requests earlier; they were trying to fight us on tiny details which would have cost literally 10s of dollars to fix. It left a bad taste, because theoretically this was a construction company and I thought I was paying a premium for the house and should expect them to provide a premium product. Also they had promised to do a particular thing verbally to us before we made an offer on the house, then were refusing to do that thing in the contract. Of course now they will do everything, but I'm getting the sense these people are very unreasonable and it is psychologically making me want to back out of the deal.
The way I read the posts was in the first--- that you demanded they do XXXX 4 times. The highlights part of the quote-- talks about leaving a bad taste.
You don't trust them ie- bad taste and they probably aren't thrilled with you DEMANDING

Save yourself the long term issues. Any little thing that comes up even as small as a drywall screw pop you will probably always resent how you feel you were treated/ripped off whether true or not.

Walk away.

toomuchRE
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Re: Advice needed on final house negotiations

Post by toomuchRE » Wed Aug 08, 2018 5:25 pm

Walkaway, because you are starting with a -ve equity....
if the bank think it's worth 20K less, more or less it is.. It also means that this market is going down..

Trust me, this is what happened to me in 2006. I walked away only to see the house prices going down for 6 7 more years.. Still below that price after 12 years.

I can't thank the appraiser enough for stopping me from making an emotional purchase..

Jags4186
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Re: Advice needed on final house negotiations

Post by Jags4186 » Wed Aug 08, 2018 5:51 pm

OP,

Either you want the house or you don’t. $20k is a lot of money but it also isn’t in the grand scheme of things. The second you buy the house you’ve lost money because it costs you 6% to list the home with a realtor, thousands in closing costs, and no matter who buys the house there will be things they want fixed.

If you are having second thoughts about the home back out of it. You’ve probably only sunk $1000 or so into the home for a survey/inspection/appraisal. There are other homes.

My only piece of advise is ask the sellers for credits instead of repairs. Then you can have the problems repaired to your standard or pocket the money if these “10s of dollars” of issues are really non issues. Personally, I wouldn’t ask for anything under $100 to be fixed. Renovated or not you’re buying a used home.

Clemblack
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Re: Advice needed on final house negotiations

Post by Clemblack » Wed Aug 08, 2018 6:44 pm

You're too emotional, OP. Calm down and analyze the deal.

Stormbringer
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Re: Advice needed on final house negotiations

Post by Stormbringer » Wed Aug 08, 2018 6:50 pm

Personally, I would seek a second appraisal from a company that is acceptable to the lender. You are correct that they are in a pickle if it comes back low as well.
"Compound interest is the most powerful force in the universe." - Albert Einstein

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Sandtrap
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Re: Advice needed on final house negotiations

Post by Sandtrap » Wed Aug 08, 2018 6:56 pm

cdu7 wrote:
Wed Aug 08, 2018 7:01 am
Here is the situation, we agreed on a price for the house, which needed a few fixes in our inspection. This was a rehab house done by a development company, meaning their cost of labor theoretically should be fixed and all of our requests easy to do. During the legal review process, the seller was trying to nitpick and refuse to do many requests for work. The appraisal comes in at 20k under our agreed price. Well, of course our contract has a clause that the deal can be killed when this happens with no penalty. We demand they lower their price to the appraisal price. They come back saying they will agree to do every piece of work we had previously requested, but won't move on price. I demand that we see some kind of price drop, the price drops by a few k, then I find out that this is the agents agreeing to lower their commission to allow the deal to go through. In my mind this is unacceptable. I understand the seller is mad (the agent said he is very mad) at the low appraisal, but we are both in this situation. I don't believe other appraisals they are likely to get will be 20k higher, which means if they kill this deal, they will be in this situation all over again with the next buyer.

I want advice on what to do next, it sounds like the sellers are in an unreasonable mindset, what should be our next move? Shouldn't they at least meet us in the middle here?

Edit: Suggestions from my end: Should I demand they do extra bonus work on the house, apart from our inspection hit list? Like extra cabinets or a new fence in the yard? Should I demand they lower the price by certain amount from the seller (plus take the agent money?) and meet all of our requirements? Whatever demand I make now, it is looking like it is a "do this or walk" situation. I don't see why they won't so much as move a penny when this appraisal came in so much lower.
1. If you feel that you would be forever dissatisfied paying 20k too much, then walk.
2. Demand a combination of bonus work and sales price reduction to either make up for the 20k or meet in the middle somewhere if you'd be comfortable with that.
3. It depends on how badly you want the property, if alternate properties at a better deal are available, and how long you plan to keep the property (forever or resale).
4. As for the emotionality of the seller. That has killed many a deal on either side. It's "business".
5. Is the realtor agent "your agent" or a dual agent or the sellers agent?
6. Is it possible to do a second appraisal from another party to further validate the first?

j

Bogle_Bro
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Re: Advice needed on final house negotiations

Post by Bogle_Bro » Wed Aug 08, 2018 8:44 pm

Appraisal reports are extremely subjective and are basically worthless for anything out side of determining the general ball park
Last edited by Bogle_Bro on Wed Aug 08, 2018 8:47 pm, edited 1 time in total.

Bogle_Bro
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Re: Advice needed on final house negotiations

Post by Bogle_Bro » Wed Aug 08, 2018 8:45 pm

JoeRetire wrote:
Wed Aug 08, 2018 7:45 am
cdu7 wrote:
Wed Aug 08, 2018 7:01 am
I want advice on what to do next, it sounds like the sellers are in an unreasonable mindset, what should be our next move? Shouldn't they at least meet us in the middle here?
There is absolutely no requirement that they meet you in the middle or anywhere else.

You can walk away. They can walk away. Or you can determine what is your final offer, make it, then walk away if it isn't met.
This.

cdu7
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Re: Advice needed on final house negotiations

Post by cdu7 » Wed Aug 08, 2018 8:51 pm

Final deal: 5k lower, all conditions agreed to.

chevca
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Re: Advice needed on final house negotiations

Post by chevca » Wed Aug 08, 2018 9:17 pm

Congrats!

simas
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Re: Advice needed on final house negotiations

Post by simas » Wed Aug 08, 2018 9:18 pm

daheld wrote:
Wed Aug 08, 2018 7:54 am
First thing: Try as much as you can to separate emotion from the decision. There will be absolutely be other houses that meet your criteria. It's a hard thing to do; trust me--I know.

Secondly, as others have commented, appraisals are highly subjective and really kind of a joke. It is highly dependent on where you're located, what the market is like, and how much you're spending (i.e. $20k is a big deal if you're buying a $200,000 home; not so much if it's a $750,000 home). A lot of people here will immediately tell you to walk, but I would say there's the possibility you can get creative and find a mutually agreeable solution. If you can get them to lower the price by $10,000 and get $5,000 in extras, is the other $5,000 THAT big of a deal in the long run?

Thirdly, you're a little past this stage, but I would take extra caution in a home that's just been rehabbed. Sure all the finishings are brand new and currently in style, but the home has had zero time to "settle in". Often, the corners that the rehabbers cut will take a year or so to show up. Really take a hard look at the quality of workmanship.

Finally, I would recommend playing hard ball here. I would not capitulate completely and just let them fix a few piddly little things and agree to the same price. You have some leverage here. The market is strong for sellers, but they also have some interest in getting this deal done quickly. You don't indicate what housing market you're in, but most places in America aren't so insanely hot that if your sale falls through, they'll have six other buyers lined up ready to give the same price.
all of the above in this post - please do read it
1. stop with emotions - they, seller, etc. there is a reason you are paying real estate professionals explicitly to take emotions out of this. humans get very irrational around emotions and you may get into situations where they will simply not sell to you for any price because they hate your guts by now. seller should know very little about buyer and the same for buyer.
2. is this your first house purchase? you using terms like 'fix' , seller never wants to 'fix' anything - they want to sell. if they wanted to 'fix' anything or do work on the house, they would not be selling
3. there are few things more annoying than nick picking list of dozens of demands usually coming out of hyper-active inspector report or 'aggressive' (stupid) attorney. as buyer it is reasonable to ask to fix things that are mandated by state up to a limit, no seller would ever deal with anyone delusional that they are buying a house X years old as new and expect it new - such deal is very likely to fail
4. determine what is the price you are willing to pay, if you get it - great , if you don't then walk away. similarly same is in the seller head, they dont give a ... about anything you say or want to say or want to prove - if it is below a certain amount, waiting few months and for new appraisals is much better and cheaper than dealing with you.
5. you local real estate market condition defines everything. your realtor should be the one helping you with this and guiding you. he/she wants to get paid and is very interested in seeing the deal go through.

in the last 18 months I was both the buyer and the seller and it was fun experience both ways with surprises and issues. I was similarly advised by attorney that should appraisal go lower buyer would ask for price to be lowered, and responded that it is unlikely for us to consider doing so since specifically we knew we have reach the price level already where opening it on the market gets us multiple offers in single showing day. market is in our favor as seller and my buyer can happily try again elsewhere with their negotiating strategy. similarly when I was buying, I knew of local market and offered 93 percent offer of the asking price with cash offer which was accepted within a day - the state of the market was not such where we could afford playing games and I now learned that many of my current new neighbors really wanted to get our house but it dropped off the market too fast before their scheduled showing could happen... your local real estate dictates what you would and would not be able to do..

simas
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Re: Advice needed on final house negotiations

Post by simas » Wed Aug 08, 2018 9:19 pm

cdu7 wrote:
Wed Aug 08, 2018 8:51 pm
Final deal: 5k lower, all conditions agreed to.
congratulations, now get it to the close- it is not done until it is done

cdu7
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Re: Advice needed on final house negotiations

Post by cdu7 » Thu Aug 09, 2018 6:25 pm

Shocking and unexpected development. During the last stages of attorney review, they sent us a list of everything they were willing to do, which was basically all we requested; then during an email exchange they removed one of the must have items on our list......... Our attorney failed to catch it, but then I caught it at the last minute. I just got an email from my attorney telling me "they have refused to give you it and we are done negotiating." Is he allowed to do that? I thought I had to sign off for negotiations to end. Then my agent calls me and says he will try and fix this, I don't know what is going on..........

cdu7
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Re: Advice needed on final house negotiations

Post by cdu7 » Thu Aug 09, 2018 6:28 pm

I almost feel like the other party is trying to kill the deal.

HornedToad
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Re: Advice needed on final house negotiations

Post by HornedToad » Thu Aug 09, 2018 6:46 pm

Of course he’s allowed to do that. You’ve asked for a lot, they’ve said we’ll do all but X. Decide whether to take it or not.

They probably also want a little bit or a win since have given in other scenarios. Looks like this is the final offer, so take out emotion and decide whether you want to buy the house at that price or not

Mike Scott
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Re: Advice needed on final house negotiations

Post by Mike Scott » Thu Aug 09, 2018 6:48 pm

You don't like the deal. Get out while you can.

cdu7
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Re: Advice needed on final house negotiations

Post by cdu7 » Thu Aug 09, 2018 7:02 pm

Agent called and said it was removed from the contract because they had already finished it. So great news? In any case I think we are moving forward

Nowizard
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Re: Advice needed on final house negotiations

Post by Nowizard » Fri Aug 10, 2018 11:46 am

Seems you definitely want the house. Time to cut to the chase, smile and send the sellers a small GC for something to celebrate the difficulty both sides experienced in the negotiations. If there are warranties on any of the rehabbing, the negotiations may not be finished until the warranty period ends, so it is best to finish this phase positively.

Tim

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wabbajack
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Re: Advice needed on final house negotiations

Post by wabbajack » Fri Aug 10, 2018 3:16 pm

cdu7 wrote:
Thu Aug 09, 2018 7:02 pm
Agent called and said it was removed from the contract because they had already finished it. So great news? In any case I think we are moving forward
Looks like you are moving in then! Congrats! I hope everything works out, because it did seem like emotionally you did want the house.

Thegame14
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Re: Advice needed on final house negotiations

Post by Thegame14 » Fri Aug 10, 2018 3:18 pm

ID tell them to split the 20K with you and get it over with.

cdu7
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Re: Advice needed on final house negotiations

Post by cdu7 » Fri Aug 24, 2018 8:56 pm

Just closed on the house today, it’s finally over! Thanks for all of the advice.

TOJ
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Re: Advice needed on final house negotiations

Post by TOJ » Fri Aug 24, 2018 9:21 pm

I've been the seller in this situation. I dropped price to appraisal and got rid of closing cost assistance to close the deal. This enraged me but I had another house to buy and needed to close. The appraisal being the very last step is terrible. The house is no longer staged, so the pressure is there to finish the deal in hand, and you are mentally already moved on. Now the bank says you need to take less on the house. Just a maddening experience all the way around.

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