MLS "deals" and negotiating

[Matthew Rollo]

Rejected, no counter, no answer or email returns... While some deals have been done, many are lost due to low ball or calculated offers... Would you accept an offer 100k under your asking? More then likely not so how do you hurdle the obstacle in getting listing agents or homeowners to agree to these prices?  

Also, has anyone ever tried actually offering a full or close to full price on a rehab with X day inspection period and hiring a GC to get a legitimate quote then renegotiating price reductions due to repairs? Actually showing the LA or homeowner what needs to be done and then getting it for the right price?

Is the X amount of dollars to get a GC quote and expense worth it if it will get a deal done?

How does the BP Community go about this other then using the 70% rule of thumb?

[Corby Goade]

I suppose all of this depends upon your goals and what the market is like in your area. Obviously, if inventory is low and the market is hot, lowball offers will be ignored. We generally do BRRRs in our area, and I try to find something that generally needs lipstick. I make low, but reasonable offers that will at least get the sellers attention- usually with an earnest amount that I know is higher than others would offer. I'm pretty good at identifying what repairs need to be done, but I find that getting a professional inspection and having that contingency can lock the property up and give you a second chance at negotiations, which sways things in my favor. Typically, the house is pending, agents stop showing the property and the seller has been banking on you to close the deal. When the inspection comes back, I can use all of the items that the inspector finds as new leverage- I use even the smallest issues- a dripping sink, hole in the drywall, etc. Most buyers and sellers would stress out about that stuff, but BP users know those are easy fixes, but they can give you leverage when you are the only one that the seller is talking to.