All Forum Posts by: Jon Graham

Great thread to read!

I love this site to gain onsite and knowledge.

Maybe it was in your comments, if you have debt you have a carrying costs, along with R/E taxes, insurance.

I'm a cash guy.

Option one: 3% down FHA
Option two: 100 % down cash

Great problem to have.

Short sale sucks!

In this business you have two options, fast and quick, take what is offered or negotiate the absolute highest price in a hot market. Fast and quick is for those risk adverse having no negotiating skills. The rest of us work every deal to realise the bigger returns. No offer is final except mine.

The advantage in selling a personal home is you are dealing with a emotional decision on the part of a buyer. Emotions are something which can easily be taken advantage of and manipulated. When you know they want the place you take advantage of their weakness. It means some risk and some work but that is what makes it fun.

@Jon Graham Wow I'm surprised at some of the comments here. Have you all dealt with banks and borrowers before? Take the cash offer and close it. It's worth $2k to not go through the BS of an FHA borrower.

Good suggestions all ... it all comes down to how likely you think each are to close and adjusting according to that, which is always easier said than done. Once you've made the mental risk adjustments, then yes you can certainly counter any offers on price or terms. Any additional due diligence you and/or your agent could do to qualify the buyers may help ... what is(are) the source(s) of funds? Do you know and have you talked with the prequal lenders? Do their buyer's agent seem competent? Some additional research may help, but there will always be some educated guesswork and you'll need to recognize when you've hit the point of diminishing returns. Do you personally prefer a bird in the hand or go for two in the bush? I unfortunately learned this the hard way when I sold my rental, and had to sell it something like 7 times because none of the FHA buyers could close, but this was way lower end than your property (which looks great btw), so your mileage may vary. Good luck!

@Jon Graham   Some do, some don't.  I do have experience with people trying to make me lose other potential buyers and then cutting the price.

I never put up with that. 

 It kind of depends on how much you are gonna net, what your income and other resources are. $5k I'd take the highest offer, but $3k or less I'd probably take the sure thing.

It depends too on what I can get the home to appraise for. Ive been doing this long enough that I know what the house will appraise for and whether it's going to be hard to get a certain price past an appraiser.

@Jon Graham   I would go with the cash offer unless they want to take longer than the financed options.  I would also make sure they knew going in, there would be ZERO price reductions based on inspections.

I'd take the cash offer. 

Since you are in a strong market I would go back to number one with a counter. Accept his offer with him paying all closing costs. If he refuses go to # 2 with the same offer then #3.