“Best and highest” — If I had a nickel for every time I’ve heard that recently, well, I’d have a couple of dollars. I’ve discussed our negotiation strategy in at least one prior blog post, but we always offer our best and highest. When a bank or other lender is the seller, that is just about always their response to an offer, even if the offer is exactly the listing price, or even higher. So, what do you do when you hear those three dreaded words?
- Reiterate the offer
That was our best and highest. This does not mean you’re out of the running. They are not implying that you lowballed (please excuse the indelicate word) or that you insulted them. So if you’re comfortable with your offer, stick with it.
- Bid against yourself
In any negotiations I’ve been involved in, and I’ve been involved in hundreds, if not thousands, I have never done this. It just goes against everything I believe in. In this type of scenario, for all I know, I am the high bidder, and I could be increasing an offer for no reason. Maybe someone who didn’t already present their best and highest might be persuaded to go a little higher.
- Withdraw the offer
I don’t really see any point in this, but it’s an option, so I’m including it. Not a good one strategically, whether you really want the property or not, but an option nonetheless. Maybe you’re offended that the lender is implying you didn’t already present your best and highest. Don’t be. It isn’t personal. They say it to anyone who submitted an offer. And whereas the chances of your offer being accepted aren’t great (but then again, when are they?), they are zero if you withdraw. I say, wait it out. The worst thing that can happen is you don’t get it.
Good luck out there. And feel free to contact us at McCoy Wyman, 813-489-9600. We offer fast cash for properties in any condition.