Today’s market is changing. Though the majority of professional investors most likely will not bid on real estate unless a safe 15-20% discount is assured, that lowball type offer is too general to remain as the rule of thumb.

Here are some tips that you might want to use if you happen to make or receive a lowball offer.

To the Sellers:

While as a home seller it is to have a personal affection towards your homes, try not to feel insulted when someone gives a low offer. Look at it optimistically in that they are interested in your property.

To begin with, you should try to understand why the homebuyer’s offer is so low. In several occasions it is their misunderstanding of the condition of the house. One dislikable aspect might cause them to think that several other things need changing when they actually don’t. Also try to make sure they know all the positive facts about your house.

Even if the offer is far below a price that you can permit, still make a fair counteroffer instead of your lowest acceptable price. Homebuyers often make lowball offers in anticipation of further negotiation.

Another important tip is to ask your homebuyers or their agent if there are any other factors of the deal that are of importance such as closing costs, move-in date, or owner financing.

Try to find other services that you can offer to keep the asking price. Such services could include furnishings or other things that you no longer need. Try different lures, anything that might work as long as you make money from doing it.

Making low cost fixes and upgrades to your property can also increase the price of your house. Homebuyers are often impressed by home improvements and could cause them to offer more.

If you continue to get lowball prices then perhaps it is time to study the facts and ask yourself a question. Is your home higher in price that other similar homes? If so then it is time to take it off the market and let things cool down for a bit. Perhaps go on and fix a few of the grievances that the potential homebuyers have expressed. When you are complete and re-list, be sure that the quality of the house can explain its price.

To the Buyers:

When looking at a real estate, always compare it to similar houses to ensure a fair asking price. Asking prices decently higher than other houses provide you with more negotiation room.

Also check the history of the house and how long it’s been on the market, as well as the changes in price if there are any. If it has a long history of price cuts then perhaps it is as low as the home sellers are willing to go.

View the public records that can be found online using sites such as RealEstateABC.com and Trulia.com. Public records will reveal how much the owner originally paid for it. Home sellers who have owned the property for a number of years will have the most negotiation ability, while those who have only owned it for a short amount of time might actually owe more than the worth of the house.

Try to understand the home seller and figure out the reason of the sale. Often times, home sellers are more willing to accept a low offer when they have a good reason or need to get rid of the house. You also might find ads that express their willingness to sell the house.

Keep in mind that the majority of sellers believe that their home is better than others. By making a low offer, they can get the idea that it is not necessarily true, especially if you or your agent justifies your offer by making claims that extra amounts need to be spent to make the house worthy of the asking price. Such claims could include needed remodeling or fixing.