What's the lowest you will take?

[Ben G.]

I've been using that question in a lot of my phone calls lately. Keep in mind I'm new still, and am going to look at my first few houses this week. I'm going to look at these homes because the lowest they say they will take gives me hope that it could be a great deal, but for the deal to truly pan out it's going to have to be lower (it's close) then what they say they will take. These people owe much less than what they say they will take. Do those experienced at wholesaling find that when it comes down to it they will actually take lower? Are there any good articles or resources out there on negotiation and getting your offers accepted?

[Chris Feltus]

@Ben G. Back up a moment. In my opinion you should never filter calls based upon initial motivation you detect on the phone. This will result in potential properties falling through your fingers. For instance, read this indepth case study I wrote for @Sharon Vornholt on her blog. If there is equity, and I have no appointments for the day, I am going its as simple as that.

I never grill people on the phone or in person for that matter. The phone call is all about building a relationship with the seller. Not "hey whats the lowest you will take for the house". If we are not on the same page regarding price, I educate them through the process. I bring a separate stack of comps that show recent cash sales in the area, and let them know in addition to that they will have to pay 6% Realtor commissions & closing costs. Add to that the house can sit on the market for 45 days or more.

Instead, I will BUY the house for them, and close in 2-3 weeks. No listings, no hassles, clear cut they get the money and they can leave what they want at the house and take what they need. To get a number from them, I just ask what a ball park range they are looking for, and go from there.

I wrote another indepth case study on @Ned Carey blog here.