Cash? In my opinion, a counter at full price isn't wise. Counter at a price to let the buyers know you're willing to negotiate. They can bolt and buy any one of the thousands of other houses that are out there if you aren't willing to negotiate.

220,000 sounds fine.

I don't think that is such a low offer ecsepcially since you have no realtor to pay. I'd take it. You dont have to be bothered again to clean it, advertise it or show it again. JMO. Good luck.

We are paying the selling realtor 3%. Remember it went on the market today.

We aren't desperate, there is no morgage and the insurance is paid through June. All we have are property taxes and utilities which are about $400.00 a month.

How is the market in your area? If it is a neutral or seller's market, I'd only drop a bit, maybe split the difference between brother and realtor at $222,500, if brother agrees. If brother isn't ready to drop the price (and who could blame him), counter at full price.
If it is a buyer's market, I'd want drop a little more to get a deal done.

Lowball offer at 93%? Is your market a strong seller's market that this would be considered a lowball offer?

Cash offers don't come all that often. I think of a duplex that I looked at for $155,000 two years ago. The price had been lowered twice. It had started at $175,000. I offered $150,000. It was an estate sale and the children couldn't agree and turned down my 150 offer. It sat there for 9 more months and they sold it for $95,000. I think the buyers got a steal, but then again, the market had really died.

When you came up with your $225,000, did you discuss how low you would go? As a buyer, here anyway, people usually put the home up for a little more than what they will settle for, giving $5,000 to $10,000 to play with. A counter of $220,000 sounds reasonable. They may then meet you in the middle at $215,000. If you don't like it, you can either try to get them a little higher or tell them you want to consider other offers 1st since it's new on the market.

Sounds like your brother is falling into a common seller's mindset that is often a fallacy: a quick offer means you have a house that is going to command full price or even a premium so hold out.

But it's a real estate cliche based on truth that the first offer is often the best offer. As others have pointed out this is a cash deal so no contingencies or worry to you about the seller's financing, or selling their current home etc. It's within 10% of your asking price. You will be done with the aggravation of marketing/showing/negotiating.

If you pass on this I think you are VERY likely to be saying months later to your brother 'why didn't we take that first offer?'.

Good luck with the decision.

Ask your friend the realtor what the average DOM (days on market) is in your area. If its a sellers market, counter with $220,000. If its a buyer market, counter the offer and see the if the buyer will come up a little. If they do, take it. Most buyers dont put in one offer and expect the seller to take it, most like to play the game. The other thing to consider is, you have a realtor who is working for free, even though your friend is doing you a favor and I wonder how she/he can do this unless its her company, the work still has to be done. I wouldnt take advantage of playing with offers when someone has to pay for the advertising and marketing of this property.

When you go FSBO you have to often times expect the buyers want a deal... or a steal. That's why many people only look at FSBO resales. If you're not really sure what the value of the home is and don't really care to make a huge profit then if I were you, I would not be greedy. Counter with $5+ and give the warranty and wash your hands of this house.

Thanks for all your suggestions and advice. I sure don't want to turn it down and then have it sit forever!

My friend is doing this for me because my husband and I have down a lot for her over the years. She doesn't work for a real estate company, she is independent. It has a lock box and sign, it isn't FSBO.

My friend told me these people have been looking for six months and really love the house. I asked her if it would be okay to wait through the weekend and see what else is offered, we have another showing today and one tomorrow. She thought that would be okay.

The average days on the market for a one story is about 30 days. Another house with the same floor plan sold for full asking price, $208,000 last month in 21 days. That house had pets, though, and the carpet was bad and it needed painting. It also didn't have the front porch and bricked floored covered patio.

My friend isn't surprised that we got an offer so fast. She says there aren't many one story homes on the market in Flower Mound and mine has a three car garage which is hard to find. With no basements in this area, a large garage is a big selling point.

Isn't there a saying that the first offer is usually the best? I don't know how true it is statistically, but you have a cash offer that has no financing contingency. THAT in itself is a huge plus. The only other contingency is home warranty, no inspection? Take the money and run!

If you counter at full asking price, you just may lose the deal. I think $220K is fine. I'm with the others who said that you may very well regret letting this one go.

We got two more offers on the house today. Both looks good, one is for $225,000 and the other is for $225,500. The people who put in the first offer for $210,000 are putting in another offer tomorrow morning. They were told there were two other offers on the house.

We have decided to say we are excepting offers until Sunday evening and see what happens over the weekend.

Good for you, sounds like all your work at cleaning and staging has really paid off. Congratulations on handling the loss of your mom in such a constructive manner!