offering 30 to 40 grand under the asking price. Working for u?

[Lee Cruz]

After using the brrrr and rental calculators. Most of the time the asking price and the numbers(coc, roi) doesnt work. Even 10-20 thousand the numbers dont work. Only when i put in 30-40k under the asking price do the numbers start to look good. Ex $150-200 per unit, 12-15% cash on cash.

My question is, how often do you get deals from offering waaay under the asking price? Do they get insulted? Do they say "i dont wanna hear from this person again" etc. Thank you.

[JD Martin]

What @Linda S. said. We do the same. Also, there's no blanket answer to this question. 40k under asking price of $400k is a 10% reduction, which is pretty normal. 40k under asking price of $100k is a 40% reduction, meaning you should either have rationale and cash for making such an offer.

Find the right deal and have the right resources in place and it's not really that uncommon. We recently paid $50k on a house listed at $110k. The listing price was too pie-in-the-sky and the house needed work. We paid what I consider a fair price. The sellers agree, because they signed the contract.  

The only time I'm usually paying list or close to list is if it was already priced aggressively. Aggressive pricing usually means a foreclosure, HUD, tired landlord, estate sale, short sale, or basket case.