Telephone Offers

Comments(14)

• 
  ray_higdon19th August, 2004

  You should try to not make an offer until he gives you his lowest amount he can accept. If you can get him to do that over the phone then I would make him an offer (obviously lower than his price)
  
  GL

• 
  JRODD19th August, 2004

  Are you saying that before I even make an offer, I should ask him on the phone what is the lowest amount he will take?

• 
  pushcart19th August, 2004

  You really need to do a thorough walk through of the house first to see potential issues you will need to fix. If you have had a chance to do this then yes over the phone is fine. You will need to get an offer signed to bind it though otherwise they can take an offer from someone else.

• 
  ray_higdon19th August, 2004

  JRODD, absolutely! He who mentions the price first typically loses. He may come back with a number much lower than you were thinking (I've had it happen), if he does, try to get him even lower, if you throw the number out first it is very difficult to go down from there. Make sure anything you actually sign says pending inspection and appraisal.

• 
  johnbriscoe19th August, 2004

  Ray
  If a house is listed or advertised at a certain price do you still ask what their lowest price is or are you just talking about when there is no set price.
  Thanks

• 
  ray_higdon19th August, 2004

  Hi John,
  
  In person or on the phone, listed or unlisted, if I am talking with the owner and not a realtor, I will ask them three times what the lowest amount they could accept for the property (in three different ways), this act alone has saved me thousands, even if I would've bought it at the first price they mentioned. I try like hell to not be the first one to mention a price. Once they tell me that lowest price the third time I ask, if it is a good deal I will offer them less than that and explain that I'm an investor and have to make a certain amount per deal, etc. You don't win them all but if you do you are offering too much.

• 
  johnbriscoe19th August, 2004

  Ray,
  Thanks for the info.

• 
  AndrewKT20th August, 2004

  Quote:On 2004-08-19 16:58, ray_higdon wrote:
  Hi John,
  
  In person or on the phone, listed or unlisted, if I am talking with the owner and not a realtor, I will ask them three times what the lowest amount they could accept for the property (in three different ways), this act alone has saved me thousands, even if I would've bought it at the first price they mentioned. I try like hell to not be the first one to mention a price. Once they tell me that lowest price the third time I ask, if it is a good deal I will offer them less than that and explain that I'm an investor and have to make a certain amount per deal, etc. You don't win them all but if you do you are offering too much.
  
  
  Would you give us examples of your three different questions?

• 
  Stockpro9920th August, 2004

  I would like to add a thought to the "lowest price scenario" IT is O.K. to tell them your an investor. Instead of asking "what is the least amount you would take?" how about firs asking them "what do you think is a fair price for the property" If the say nothing then say "how about a dollar" to break the ice etc. THen you can ask the least amount question or a variation such as "so if I were to offer you 80K cash you wouldn't be interested?" (this after they mentioned 90K as their idea of the fair value)... and so on.
  PS all doctors have faxes
  [addsig]

• 
  ray_higdon20th August, 2004

  Pretty much like what stockpro said, Ron Legrand has some good input on how to word these questions, his book, quick-turn millionaire is pretty good although I haven't finished it yet.
  [addsig]

• 
  Murphyj200020th August, 2004

  Do you guys do deals through the mail(faxing or fed-exing contracts). If so, could one of you explain how it takes place?
  
  Murphy

• 
  ray_higdon20th August, 2004

  I don't. I send postcards to prospects but not contracts, I would rather talk with them and get them to say their price first. it may be lower than my lowball figure.
  
  Interested to hear from the people that do and their success rate, maybe it will change my mind.

• 
  Murphyj200020th August, 2004

  Ray, sorry for the confusion.
  
  I meant once you have agreed on a price, would you consider getting the contract signed via fed ex?

• 
  ray_higdon20th August, 2004

  Sure, what is your concern there?