Let’s talk about everyone’s favorite real estate strategy: the lowball offer. You know, that move where a buyer decides to test the waters with an offer so far below asking price that it makes the seller question if you’ve ever seen the house or if you’re just bored and trolling MLS listings for sport. In theory, it sounds fun—who doesn’t love the idea of scoring a deal? But in practice, if you don’t do it right, you risk being “that buyer.” And trust me, nobody wants to be that buyer.
First, What Exactly Is a Lowball Offer?
A lowball offer is essentially offering significantly less than the asking price of a property, often in the hopes of snagging a bargain. Now, there’s a difference between making a reasonable offer based on market data and coming in so low it’s insulting. If a home is listed at $600,000 and you come in at $450,000 without any justification, that’s not negotiation—that’s a comedy routine.
Why Buyers Try It
Some buyers are naturally deal hunters. They’ve been raised on coupons, BOGO deals, and negotiating at garage sales, so they think real estate works the same way. Others think the market is always in favor of the buyer, forgetting that in places like Okotoks right now, the balance can swing either way. And then there are the HGTV dreamers, convinced that every house is overpriced by at least $100K. Spoiler: it’s not.
When a Lowball Might Make Sense
There are situations where coming in lower than asking isn’t just okay, it’s smart. If the house has been sitting on the market for months with no offers, the sellers might be more motivated. If the property has major flaws—like a roof that looks like it’s survived the dinosaur era or a basement that could double as a swimming pool—you’ve got room to negotiate. Market conditions matter too. If inventory is high and sellers are competing for buyers, your bargaining power goes up.
How to Do It Without Being “That Buyer”
Here’s the key: it’s not just what you offer, it’s how you offer it. A good lowball isn’t a random number—it’s backed by data. Want to offer less? Show the seller recent comparable sales that justify your price. Point out the updates needed, the repairs required, and the costs you’ll have to take on. When you make your offer logical, it’s harder for the seller to dismiss you as a tire-kicker.
Tone matters too. A lowball offer presented respectfully with a solid rationale stands a chance. A lowball delivered with arrogance—like you’re doing the seller a favor by gracing them with your presence—just shuts doors. Remember, sellers are people too. They love their homes, they’ve put sweat equity into them, and they want to feel respected.
The Risks of Going Too Low
Here’s the danger zone: if your offer is so low it insults the seller, you might not get a counteroffer at all. They could just ignore you. Worse, they’ll remember you when you come back with a “serious” offer later. Real estate isn’t just about money—it’s about relationships, and nobody wants to deal with a buyer who starts negotiations with a sucker punch.
You also risk missing out in a competitive market. If there are multiple buyers circling a property, and you decide to throw in a lowball, congratulations—you’ve taken yourself right out of the running. While you’re patting yourself on the back for being clever, someone else is moving into the house you wanted.
The Smarter Play
Negotiation is an art, not a stunt. If you’re serious about a property, work with your agent (hi, that’s me) to strategize based on real market conditions. Sometimes a full-price or close-to-asking offer makes sense because the value is there and competition is high. Other times, a thoughtful, slightly lower offer can open the door to savings. The goal isn’t to win the award for “cheapest buyer in town.” The goal is to buy the right house at a fair price.
Lowball offers can work, but only when they’re done with finesse, timing, and data. Otherwise, you’re just the buyer version of that person who asks a restaurant if they can get half-off because they “weren’t that hungry.” Don’t be that buyer. Play it smart, respect the process, and you might just walk away with a great deal without burning bridges—or your chances.
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