Low balling

[J G]

How do you handle low balling a seller for their property? A seller is warming up to a lease/purchase deal, but I think he's overvaluing his home. Here are the facts: he paid 92k in 2005, took out a 73k mortgage, offering the home at 119k. The house next door to seller sold for 110k ,4 months ago. The way i see it the seller has 20 to 40k equity in his home. Seller has stated that he's motivated, but is he really? What kind of offer should i make?