If you are prepared and ready to make an offer to buy a house, you will need to carefully consider what to include in that offer, and you should be prepared to receive a counteroffer in return. While sellers do not always counter the offers they receive, there are times they do, and in some cases, their counteroffers can be discouraging. As you get ready to make an offer on a house, here are three things to understand about counteroffers.
You should expect one if you give a lowball offer
One thing you should always expect is to receive a counteroffer from the seller if you give a lowball offer. There are very few sellers who would instantly accept a lowball offer for their homes, and the only time a person really would is if he or she was completely desperate to sell. In most cases, though, a seller will either respond with a counteroffer to a lowball offer, or a seller may simply reject the offer received, as it could be viewed as an insult.
You should expect one if the market is hot
Secondly, you will also likely receive a counteroffer if the current real estate market is hot and homes are selling quickly, unless you give a full-price offer. If you offer less than the full price in a market like this, a seller is very likely to counter your offer with a full-price counteroffer. This occurs because sellers know that there is a good chance they will receive a full-price offer if they just wait a little while, and this might be worthwhile to the seller to wait just a few more days or weeks to receive a higher price.
You could counter the counteroffer
Another thing you should know is that you have the right to respond to the seller's counteroffer in several ways, and one option is to counter the counteroffer. When you do this, the seller again will have the chance to accept, counter, or reject the counteroffer you write up.
You should give your best offer if you love the house
If you found a house that you love and that is perfect for you, you should consider giving your best offer from the start. Many buyers will offer lower offers initially with the understanding that the seller will counter them, but this is not always the case. If you offer a great amount and few contingencies, the seller might instantly accept your offer instead of countering it.
You can learn more about offers and counteroffers on single-family homes by talking to your local real estate agent.