4-plex Offer

[Reese Thompson]

My partner and I are in the process of putting an offer in on a 4-plex.  Our agent wasn't too happy with what we wanted to offer, but we thought it was a good place to start.  We offered about 80% of the asking price which is the same as what the seller paid 10 years ago.  Our agent is worried that we're low-balling it and may not get a good response from the seller.  What are some of your strategies on how you begin offers for 4-plexes?  

I apologize for the lack of details because I don't want to put too much information out there while we're trying to purchase.

[Daniel Sprague]

I suppose it depends on the demand in your market for a four plex along with other factors like condition etc

The last four plex i purchased my final offer was 22 k over asking because they are very rare in the community it came up in and it was placed on the market under value.

My best advice is to not let the list price determine your offer. Run your numbers and offer what meets your parameters whether that is at 80% of asking or 20 k over.

In general if you offer 80% of list just because you don't want to offer what it is listed at you will lose good deals.

Take what they listed it at out of the equation and figure out what it is worth to you. Then offer that.

Good lucj

Good