I had something happen today that's never happened to me before. A buyer called about one of the properties I have listed for sale. That's happened before, I'm referring to something else.
He was standing in front of the property and asked for information. I went into my usual informative speech about the property and asked if he wanted to schedule an appointment to see it. He asked how firm the seller was about the asking price. I replied that my seller is willing to consider all serious offers. It is listed at $365,000 and I believe it is priced well.
Without further ado, the gentleman tells me, "OK, tell them I'm offering $300,000."
He took me by surprise but I quickly overcame that. "Sir, in order for an offer to be considered a serious offer, I need to have it in writing. Should you wish to submit a written offer I'd be happy to meet you at my office and we can get one written up." I did not laugh at the offer, although I wanted to.
He kept insisting that I take his verbal offer back to my client and get back to him. I held my ground and insisted on having it in writing (a nice big good faith deposit to go along with that paper would be nice too.)
He ended the conversation by telling me he'd get back to me if he was interested in pursuing this further.
I take great care in pricing my clients' properties. I knew this lowball offer was just that. The man had not even been inside the property! Who makes a serious offer without first seeing what they're buying? However, I also have a legal obligation to submit all offers to my sellers, and submit them in a timely fashion regardless of what I think of them personally. It is not for me to decide if an offer is acceptable or not. That's a job for my client and I gladly offer my advice to help them out. Ah, but wait. My obligation is specifically for written offers. The listing agreement says so. There's a box for verbal offers on the contract but it's never checked. I discuss this with my sellers. I don't consider a verbal offer to be serious so why waste anyone's time? It is too easy for these bottom feeders to go around making ridiculously low verbal offers and see if anyone takes them up on it. In the event anyone did consider such an offer it's just as easy for the buyer to claim he never made it if he's moved on to greener pastures. A BIG waste of time for all involved.
I actually did call my seller and filled her in. She asked for his number so she could call him herself and have a word or two with him. Of course I didn't provide it and we both had a good laugh about it.
Bargain hunters you're on notice. If you want a piece of Miami real estate that's being sold by this agent, put it in writing.
Maggie Dokic, SFR is a licensed real estate broker in the state of Florida selling residential real estate in Miami, Palmetto Bay, Pinecrest, Coral Gables, Gables by the Sea, High Pines, the Redland and other select areas of SW Miami-Dade County.
Maggie has earned her SFR certification to be able to better serve the needs of her customers in today's non-traditional real estate market. SFR is a Short Sale, Foreclosure Resource Specialist. Designees have been trained to understand the highly specialized options available to Sellers facing short sales & foreclosures and Buyers looking to buy them.
For more information on our local real estate market, or to see or sell a home in Miami, Palmetto Bay, Pinecrest, Coral Gables or the Redland, visit my Miami Real Estate blog or contact me at Maggie (at) TheBlogThatAteMiami (dot) com.
The opinions expressed herein, are those of the author, and not necessarily of Keller Williams Realty.
None of this information is to be deemed legal or financial advice. Please contact your attorney or accountant for same.
Maggie...
Boy did you tell 'em and tell 'em good :)
We don't do verbals either. Like you said it is a complete waste of time not to mention the energy go back and forth with a Buyer who simply does not want to commit themselves.
Look out bottom feeders...Maggie is just a waitin on ya :)
TLW...ROAR!
TLW - I barely have enough minutes in the day for whatever else is going on. Who has time for this nonsense? By the way, you're looking lovely tonight!
Christina - and in triplicate! lol I still don't get the folks who try this anyway. When I was looking to buy my first house many, many moons ago I thought it was normal to do that. Then my lovely REALTOR explained why it wasn't. It made sense to me. Ah, maybe I was actually listening and paying attention :-) Thanks for stopping by.
Marchel - yes, 99.99999999999% of the time it is the same as nothing. However, as Ines shows, .000000000001% of the time, it can turn into something! Thank goodness for caller id. :-)
Ines - congratulations. You certainly got lucky with that one! When I told my seller she cracked up. She was not interested in countering with this one, even if I had been able to drag him to my office to put it in writing.
Hmmm...I suppose that "buyer" has never heard: "Talk is cheap"! & "Put your money where your mouth is"!
Good laugh! : )
Mag, way to stick to your guns.
Maggie... I agree.... good job at sticking to your guns. Some people just amaze me.... lol
And here is some back up....
Maggie,
I am relatively new to the industry. I appreciate learning from the experiences of others. Good Job!
John - the was my intent the whole time but inside my head this kept repeating, "I cannot believe this. I cannot believe this." Thankfully he finally got it and hung up.
Jeff - thanks for the back up. My very own arsenal even. lol
George - thanks. I agree with you on his intent. I bet he called every single agent in that subdivision. There's plenty listed right now. That probably had something to do with his approach too; seeing so many homes available he figured somebody's got to be desperate already.
Roger - Welcome to this great industry. It sounds like you have the right attitude. Benefit from listening to others and what's working for them. Don't get caught up with the nay-sayers however. There will always be folks complaining. Gee, could their attitude have something to do with their lack of results? You're going to love it here at Active Rain, too. This is a great place to network and learn.
Teri - thank you. I try to take the "me" out of it and just behave as the professional I am licensed to be. It's not always easy, considering the flaky things we come across, but then, I'm preaching to the choir, no?
Margaret - great line. With your permission, I'd like to add that one to my collection. Thanks.
Maggie,
Good Job. I think here in South Florida way too much is done with Verbal Offers. It is bad for business. I also think that it is great that you believe any offer is presentable. What's the worst case? Your seller counters at full price?
Lowballing isn't something personal or degrading to the property - it is just haggling.
I went in to look at a car w/a lease special last week. The listed car was the base model but I was getting this for my wife and so I had to have leather and a few other things for the baby. They said what would you like to pay - I quoted them the lease rate on the base model! It was a starting point! They worked hard...but maybe not hard enough as I'm still thinking about it.
So long as the deadlines are set and communicated, it is all just par for the course in business!
Good blog!
Hello Maggie,
Excellent job dealing with the bottom feeder. It's also my policy to accept only written offers from both clients and agents, establishes commitment and reduces confusion.
Hope your listing realizes a quick sale at asking (or over!)! :)
The calls that come in wanting to submit verbal offers have been surprising in my career as well.
Maggie - good posturing on your part - Way to go !
Billie - I forgot to add "you always do, of course." and it's true!
David - I dread car shopping. Sounds like I could use your help next time around!
Antoinette - "establishes commitment and reduces confusion." Well said! I like it.
Virginia - that's also a good way to save some time. Wouldn't it be nice if we all learned to play along nicely and help each other out that way?
Danny - I agree with you. I actually bought a home myself in another state sight unseen, except for 4 pictures. The power of the internet at work again.
John - it does seem to happen a bit around here as well. My surprise came at the fact that he had not seen the inside (and could easily do so) and how low he went with the offer. Oh well, nothing but a few minutes lost (both time and on the phone plan!)
Sarah - you're back :-) Thanks for your sweet words. Rah Rah!! Gooooooooo Sarah!
Renee - lol, maybe that is what's going on? So, did you sell it? <wink, wink>
Hi Maggie.. verbal, sherbal, gerbil. I normally handle this on autopilot with little variances. 'Mr How-d-do, the sellers will only consider written offers. We can meet at the office to write up an offer, since verbal offers are only as good as the paper they are written on.. Please don't forget your checkbook, as a serious offer normally includes a
deposit. what time would you like to meet?'.
btw, 'the verbal offers are only as good as...' comment is my 'fun' side breaking through. :))
Nick... did you do your graphic in pencil??
talk about lowballing!
Maggie - I hate car shopping... the big reason is that the car sales people try to dazzle you with some new math. If you deconstruct it, it makes NO sense. Challenge one of them on one tiny point and watch the eyes glaze over
But... I guess it is better than the seller's fury when they get a lowball offer! haha
As long as we're professionals, it should just be something to laugh off... and if we can get that lowballer up to something that is acceptable, then we really show our skill!
"Challenge one of them on one tiny point and watch the eyes glaze over"...
Now THAT was funny :)
I've seen that happen on more than one occasion and it's not limited to just the used car guys. SVW.
TLW...ROAR!