Definition of Lowball Offer
A lowball offer refers to an offer that is far less than the seller’s asking price or is deliberately too low, as a means of starting negotiations.
Origin of the Term "Lowball Offer"
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The origin of the term “lowball offer” can be traced back to the game of poker, where a lowball hand refers to a hand with the lowest possible value. This analogy emphasizes the intentional undervaluing of the property in question.
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In the world of baseball, a lowball pitch is a type of pitch thrown by a pitcher that is intentionally placed low in order to deceive the batter. Similarly, a lowball offer in real estate is an attempt to deceive the seller by making an unrealistically low bid.
Strategies for Dealing with Lowball Offers
Winning Strategies for Lowball Offers
- Find out the Seller’s Motivation.
- Write a Clean Offer.
- Always Counter the Counteroffer.
- Divert Attention Away From Price.
- Give a Logical Reason Why Your Lowball Offer Is Fair.
Acceptable Lowball Offers
What is an acceptable lowball offer?
- The seller may think any price below the asking price a lowball offer if the listed price is already at the bottom of what they want.
- It’s generally accepted that asking over 15% off the sale price is lowballing.
- A lowball offer is typically considered to be an offer that is more than 20% below the asking price for a particular property.
Negotiating Lowball Offers
How to Respectfully Make a Lowball Offer
- Make a List of Necessary Improvements.
- Explain Any Issues with the Location.
Responding to Lowball Job Offers
Responding to a Lowball Salary Offer Email
- Simply say thank you for the offer, but that you need some time to think about it.
- Make sure you give a timeframe for when you will have your official answer, and ask for the offer in writing if you don’t already have it.
Market Trends and Lowball Offers
Is it Rude to Offer Less on a House?
- With a lowball job offer, the best move may be to use the very powerful negotiation technique you’ll learn in this article.
- You can sometimes turn a lowball job offer into a more reasonable job offer by giving the company a chance to reset the salary negotiation without making a counter offer.
Dealing with Lowball Offers
Do you know how to deal with a lowball offer on your home?
- The fact that someone wants to buy your home is good, and you should deal with every offer – unless it is entirely ridiculous.
- Most real estate professionals and home sellers have their sights set on a price that’s considered reasonable.