Short Answer
Stay calm and professional when you receive a lowball offer. You have three options: reject it outright, make a counteroffer, or ignore it. The best approach is usually to make a reasonable counteroffer that signals your willingness to negotiate without giving away too much. Consider the buyer's motivation and whether they have strong financing. A lowball offer can be a starting point for a productive negotiation.
A lowball offer is an offer significantly below market value. It can be insulting, but it is also an opportunity. The buyer may be testing the waters, or they may have a legitimate reason for offering less, such as the home needing repairs or the buyer having limited financing. Before responding, evaluate the offer. Is the buyer pre-approved with a strong lender? Do they have the ability to close? Are they asking for unreasonable contingencies? If the offer has potential, make a counteroffer that brings the price closer to your target. This shows you are willing to negotiate and keeps the conversation going. If the offer is too far from your expectations and the buyer does not seem serious, you can reject it or simply not respond. Do not take a lowball offer personally. Real estate is a business transaction. Keep your emotions in check and focus on your goals. Your agent can help you craft a response that protects your position while leaving the door open for a better offer.
Bob's Advice
Redfin Senior Agent · AI Certified Agent
I have received plenty of lowball offers over the years, and I have seen many of them turn into solid deals. The key is not to react emotionally. Let me handle the negotiation for you. I will evaluate the buyer's position, advise you on the best response, and negotiate on your behalf. You might be surprised how often a lowball offer becomes a reasonable deal once both sides start talking.
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