Bargaining is an art, particularly when the buyer wants to make a rock-bottom bid without insulting the seller.

"The offer has to be palatable and show you've done your homework," says Deb Greene, president of the Minneapolis Area Association of REALTORS®.

Sheri Fine, an associate with Edina Realty in Minneapolis, agrees. "Sometimes an unreasonably lowball offer can make a seller so angry they won't make a counter offer or deal with a buyer."

Here are their suggestions for coming up with a number that is competitive and compelling.
  • That an offer that is more than 10 percent off the list price isn’t customary and is likely to be rejected.
  • Realizes that there are other attractive homes on the market and won’t be shattered if the sellers reject their lowball offer.
  • Recognize the home’s strengths as well as its weakness.
  • Make a list of reasons to share with the seller for offering less than list price.
  • Instead of asking for the price to be lowered, negotiate other tangibles such as repairs, closing dates, and closing costs.
  • And lastly be respectful whenever you are around the seller.

Source: Star-Tribune, Lynn Underwood (11/17/07)