Is it normal to get a rejection on a first house offer? They didn’t counter at all.

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Does the property need maintenance? Or repairs that will keep a mortgage company from underwriting the loan, like foundation or roof need major repairs or replacement before the mortgage goes through? Those major imperative repairs can warrant a lowball offer... Maintenance of landscaping or painting some areas, even tile updates to a bathroom, are cosmetic issues that may affect how much your willing to pay, but don't truly lower the value of the property, not would they warrant dropping $133,000 from the asking price. You tried to drop 17% out the gate, I would have ignored the offer too. Make a real offer, close to FMV with contingencies to repair what needs to be fixed and negotiate as to wether the seller pays, out of the fair market offer, for repairs before closing... or if they prefer you can pay them less to leave the repairs to you after closing. Sellers expect to get fair market for their investment... And their broker advised them on the listing price to ensure they get the value of the home when they sell... Can't expect them to take an offer 17% under market seriously unless you indicate in the short offer what you are using as a reason to devalue their home. If there are $133,000 worth of repairs needed then itemize them with multiple quotes to justify your belief that amount is justified and maybe they will come back with something. Without all that in the offer, you're just an asshole that is trying to steal their home.

likesmart

How long ago did you submit the offer?

Last weekend. They rejected within a day lol

Got it, I had misread as if you were still waiting for a response. Agree with the below they either have a better offer or didn't think your offer was worth countering. Your agent should be able to figure out which one and, if the latter, whether it is worth trying again.

If an offer gets rejected that fast it means either (I) your offer was so far below market they didn’t even consider it, or (II) someone else came in way above market (which you can’t control).

Either way, discuss with your broker what you can do to make your offers more attractive moving forward. If it happens again, probably time to switch brokers.

100% market dependent. I live in an area where sellers are getting full asking with no contingencies. Anything else is rejected.

Was it at list price? Were there multiple offers? Any unusual terms?

It was listed for $800k and it’s been on the market since August 2023 (according to the realtor, no one even put a contingent offer to it)! It does require some maintenance so I offer $667k which is my lowest offer. I thought this would open the door to negotiate but clearly it didn’t. I’m thinking to offer $700k now with all the repairs up to discussion with seller. Any thoughts? There were no other offers, there hasn’t been an offer since August 2023.

They’re probably “losing” 5%-6% on top in realtor fees, which makes a lowball offer (10% below ask) even less likely to be accepted.

smart

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