Paying Cash - Discount?

**XgamerM** · 01-25-2008, 01:38 PM

I am dealing with a bit of a situation here in the Boston area.

We have been looking at a bunch of houses on the market, but there is one we like and here is the history.

I am looking for some validation if this is surprising seller behavior or not. I would expect in this market that a cash buyer on a property like this is rare, even if it is not...with Jumbos the way they are...someone with perfect credit would still need to drop $300-500k down to get a jumbo mortgage.

- House priced at $1,050,000 in Spring 2007
- Bought house in 2003 for $895,000
- He is carrying ~ $800,000 mortgage on the property
- No offers in 6+ months
- Reduced to $950,000 in October (still over priced by market comparison)
- Offered a cash payment of $825,000 (no house sale contingency)
- Offer was rejected
- Two weeks later they came back and asked if they could counter, they did with $920,000
- We did not engage as the gap seemed to large to close
- Seller was given an offer by a relocation company and rejected it
- Seller moved out and reduced price to $925,000
- We re-engaged and offered $840,000
- They countered with $900,000
- We offered $855,000 and they stayed at $900,000
- Talks have broken down since then.

Is this guy nuts or is it just me?

**Codythebest** · 01-25-2008, 01:42 PM

He's selling his house at the level of his motivation. He's not nuts, neither are you. It's just the nme of the game...
I don't see anything unusual here...