How to Handle Low-Ball Offers as a For Sale By Owner

27 January 2025

Selling your home on your own is no small task. You’re wearing multiple hats—marketer, negotiator, and salesperson—all while juggling your everyday life. But then it happens. You get an offer on your property, and excitement turns into frustration when you see the numbers. That’s right, it’s a low-ball offer. A shockingly low one. Now what? Do you outright reject it? Do you fire back with a counteroffer? Or do you just grin and bear it?

If you’re new to the "For Sale By Owner" (FSBO) game, low-ball offers can feel like a punch to the gut. But don’t worry—I’ve got you covered. This guide will walk you through how to handle those pesky low-ball offers with grace, strategy, and maybe even a bit of humor.

What Is a Low-Ball Offer?

Before we dive into the nitty-gritty of handling them, let’s make sure we’re on the same page. A low-ball offer is an offer from a buyer that’s significantly below your asking price. We’re not talking about a few thousand dollars less; we’re talking about offers so low it makes you wonder if the buyer is joking or if they accidentally left a zero off the check.

But here’s the thing—low-ball offers are just part of the game. Especially if you’re selling without an agent, buyers may assume you’re desperate, uninformed, or willing to take whatever you can get. And while it may sting at first, low-ball offers don’t have to derail your sale.

Why Do Buyers Make Low-Ball Offers?

Understanding why buyers submit low-ball offers can help you handle them more effectively. Here are a few common reasons:

1. They're Testing the Waters

Some buyers want to see how much wiggle room you have, so they throw out a low number just to see your reaction.

2. They're Bottom-Line Shoppers

Certain buyers are laser-focused on staying within their budget, no matter how unreasonable their expectations may be.

3. They Think You’re in a Bind

When buyers see a home listed as FSBO, they may assume you’re looking for a quick sale. And quick sales, in their eyes, mean discounts.

4. They’re Playing the Negotiation Game

For some folks, negotiation is a sport. They start low and expect a counteroffer. To them, it’s all part of the process.

1. Don’t Take It Personally

Alright, let’s get this out of the way first—don’t take low-ball offers personally. I know, I know. It’s easier said than done. Your home is more than just walls and a roof. It holds memories, milestones, and probably a lot of sweat equity.

But here’s the truth: Buyers don’t care about your emotional attachment to the house. Their low-ball offer isn’t a jab at you; it’s just business. If you let emotions cloud your judgment, you’ll wind up making decisions you might regret later. So take a deep breath, step back, and approach the situation with a clear head.

2. Stay Professional (Even If You’re Annoyed)

Yes, a ridiculously low offer can feel insulting. But resist the urge to respond with sarcasm, anger, or outright rejection. Remember, every offer—no matter how low—means someone is interested in buying your home. That’s a starting point.

Instead of firing back with a snippy response, keep things professional. Thank the buyer for their interest and let them know you’re open to negotiating. This keeps the door open for communication and shows the buyer that you’re serious about selling.

3. Evaluate the Offer with an Open Mind

Here’s the tricky part: Some low-ball offers aren’t as bad as they seem at first glance. Before you decide to toss an offer in the trash, take a closer look.

- Assess Your Asking Price
First, double-check that your asking price aligns with the market. Are other homes in your area selling for the price you’re asking? If not, the buyer’s offer might not be as low as you think.

- Consider Their Terms
Sometimes, buyers make up for a low offer with other favorable terms, like an all-cash deal or a quick closing. These perks could make their offer more attractive.

- Look for Opportunities to Negotiate
Does their offer leave room for middle ground? If so, it might be worth making a counteroffer.

4. Craft a Smart Counteroffer

Ah, the counteroffer. This is where the real magic happens. Think of it like a game of chess. Your counteroffer is your next move, and it should be strategic.

- Stick to Your Bottom Line
Before you respond, decide on the lowest price you’re willing to accept. This keeps you focused and prevents you from caving under pressure.

- Be Realistic
Your counteroffer should be reasonable, not outrageous. If you counter with a price that’s way too high, you risk scaring the buyer off completely.

- Add Value
If you’re not willing to budge on price, consider offering other incentives, like covering closing costs or including appliances.

5. Know When to Walk Away

Not every buyer is worth negotiating with. If someone’s offer is so low it’s laughable and they’re unwilling to budge, it’s okay to walk away. After all, you’ve got a property to sell, not a charity to run.

Walking away doesn’t mean you’ve lost. It just means you’re holding out for a buyer who sees the value in what you’re offering.

6. Set the Stage to Avoid Low-Ball Offers

Now that you know how to handle low-ball offers, let’s talk about how to avoid them in the first place.

- Price Your Home Correctly
Do your homework. Research comparable listings in your area, and price your home accordingly. A well-priced home is less likely to attract low-ballers.

- Market Your Home Like a Pro
The better your listing looks, the more serious buyers you’ll attract. Invest in professional photos, write a compelling description, and highlight your property’s key features.

- Be Clear About Your Expectations
In your listing or during showings, let buyers know that you’re open to negotiation but not interested in unreasonable offers.

7. Keep the Bigger Picture in Mind

At the end of the day, selling your home is a process. Low-ball offers are just a small part of the journey. Instead of letting them get under your skin, use them as an opportunity to sharpen your negotiation skills and get closer to closing the deal.

Remember, every offer—no matter how low—is a chance to move toward your goal of selling your home. Keep your emotions in check, stay professional, and negotiate like the savvy FSBO seller you are. You’ve got this!