negotiating a disstressed sale

[de nero]

Ok, so I found a property and it looks like the owners are pretty desperate to sell. Should I play dumb with the agent to get more information out of him, or should I let on that I think the owners are desperate and play it this way.

Another option is to just make a low ball offer and find out.

Any thoughts?

 

[BayView]

What more info do you need?

You know they need to sell, so make a low offer. 20% lower?

Be prepared to back up a low offer with either unconditional, or a very short settlement, or both.

 

[GordonGekko]

This world is just sooo nice ... oohh so you need to sell?? .. well let me take advantage of that by offering you 20% less than you could have gotten..... ahhh no wonder this earth is heading for destruction.....

you have to eat or be eaten i guess...

 

[BayView]

you have to eat or be eaten i guess...

It's just the way it is unfortunately.

I'd love to be offered full price for everything I've ever tried to sell; houses, cars, furniture, golf equipment, stuff at garage sales.

Never happens.

I once had a garage sale (clear out before coming here). There was a brand new queen sized doona cover with matching pillow slips. It was worth at least $80.

Price was $5.00 at the sale. This annoying witch offered me $4.50.

We still have the doona set.

 

[grossreal]

hi all
couple of things.
I have three projects on my desk one I am not going with at this stage,another I am going to settle on and the last I am considering buts it alot of units so have to get a few people involved in and all are properties that the vendor has to sell.
and here is one of the deal.
my price 1.55 mil valuation 1.7mil
vendor finance for 30% of the purchase price for two years
vendor to pay me 8% of the 1.55 mil up front 124k per year.
after the two years if the val goes below the 1.7 mil current val the drop is taken pro rata to the vendor finance.
rthe vendor finance is a signed but not registered second mortgage
and I can get a cash flow mortgage at 6.5% interest rate.
and the suburb next to where this property is just did 52% increase via harron white report.
I have another that is 75% of val they have there val if I get mine they will accept 75% of that val as the purchase price this is the bit big for me one. these two are both groups of resi properties.
commercial is getting a bit hard to drop the price with a vendor but you can drop the price with the lenders.
and this not eat or be eaten its simply supply and demand if someone wants to sell or has to sell
then they meet the market or they wait.

 

[willair]

Should I play dumb with the agent to get more information out of him, or should I let on that I think the owners are desperate and play it this way.

denero,I do that all the time, and after a while the agents just thinks here comes another Tosser,and plays the game backwards on you,the best and only way i know is work out the value,what can be done to the property that no one else can see,then make one offer and i mean one after all the agent is working for the vendor,but most times they play both people the seller and the buyer, she or he justs wants the commission that is the prime objective of any agency to sell property,and make people make one minute decisions then find 4 weeks after settlement that you have paided too much,and the rental return is 50 bucks less then the agent told you..
IMHO..willair..