Ever think as something is coming out of your mouth, “Oh, no, get back in there! Why did I say that?” Well, that doesn’t happen in real estate. When someone is asking for $75,000 for a home and you want to offer $45,000, don’t be afraid to do so. Make sure that you have merit and justification for that low of an offer. Don’t worry if someone has owned the home for 20 years and they’re in love with it. The fact that this was their primary residence and they made many memories while raising their children here has no bearing on your business decision. You won’t be having Sunday dinners with the owners on a regular basis, so their feelings might get hurt momentarily, but you can’t afford to make a bad investment based on their reaction to what you’ve offered.
A bad investment can turn the meaning of investment totally upside down. Your new rental property could start costing you money instead of making you money. This is a crucial part of the process and you can’t worry about offending the owner of the property. To be frank, if the tables were turned, they probably wouldn’t worry about offending you.
If you are a person who knows you probably still worry about offending the seller, then ask to see the property when they are not there. That way you won’t meet them, and they will be imaginary to you, and you can be as objective as possible about the price you think is fair to pay, despite the asking price. This will make it easier to make a low offer to someone you’ve never met or don’t have a relationship with.
Lastly, remember that making an offer doesn’t always mean the seller is going to accept it. So go ahead, make that offer. My Italian husband says it’s like throwing pasta against the wall and seeing what sticks. Your offer may get accepted and it may not. Either way, what do you have to lose?
This is a business transaction, so you have to separate yourself from it. Be fair, be ethical, be all of the things that make us High Heels Landlords, but don’t be afraid to offend others with low offers.