Advice on seller who “won’t entertain” anything but full price

[Conner Daniel]

I’m in search of some advice to answer a couple of my questions before I go forward with a duplex I am looking at. This place was listed on and off for almost 4 years at the same price and the listing has just been taken down again. I’ve contacted an agent who talked to the seller and they said “they wouldn’t entertain anything below full price.” Is that just a negotiation strategy to try and get full price? It seems that they haven’t gotten many offers at all considering they have had it listed on and off for almost 4 years. So my question is can I still make an offer lower than full price without turning the seller away completely?

[Joe Villeneuve]

You can offer whatever you want.  Just don't adjust your offer to what the seller wants if it takes you away from what you need...just to get the property.  Getting the property isn't the goal...getting the deal is.

Having said that, if I had to guess, the seller either can't take lower due to the existing loan payoff, or the seller has another reason that is important to the seller.  It doesn't matter what the reason.

Now, here's what I would do:

1 - Ask the agent if the seller has 100% equity.  DON'T ask if the seller has any debt on the property!  The seller probably won't answer that, but they will tell you if they have 100% equity...as in completely paid off.  

2 - If the answer is "yes" to the payoff, then I would offer seller financing where your offer price is lower that the AP, but the seller makes up the difference and more from the interest they would get from the seller financing.

3 - If the answer is "no" to the payoff, then move onto the next property, but...before you leave this deal, make whatever offer you wanted to make, IN WRITING, or the REA doesn't have to present it.  Be prepared to the seller saying "no".  If When they do, just move on without a counter.  Make sure you leave saying the last offer of yours still stands, if the seller changes their mind.  Don't counter, don't negotiate, just leave making one offer.  If the seller is ready to sell, they will contact you.  If the seller doesn't need to sell, then they won't come back to you...and you won't be wasting your time.