I’ve been studying since Jan. and sent out my first mailers mid May. My focus has been Tennessee, and the county I picked apparently has a lot of price differences within the county. After talking with a local realtor and looking at sold comps, I overpriced 2 properties form sellers I’m in contact with. I’m going to contact the owners again to discuss a significantly lower price from what is on my offer letter. I’m open to any suggestions how to go about this. Thanks!
Hi Veronica. This happens sometimes. First, just wait for a few more calls and accepted offers. Some of them should be acceptable if the values vary in that area. Pick off the good ones that you know will be profitable. Then you can contact some of the others and see if they will go for a lower price. Conversation can go something like this: Hi Mr. Seller. I offered you $1000 but now I realize that the property:
Is in a flood zone
Has no access
Is in a remote area
Has no utilities available
It just isn’t worth it to me at that price. Will you accept $500 for the property? (This is the actual sentence I use the most because it is true and they can’t really argue with it.) They will either say yes or no.
Take my word for it – these calls can be quick and painless in most cases. You will be able to convert some of these high offers into more profitable low offers.