Originally Posted by rebelpoet
My question is: how do you all negotiate or throw out offers that are so much lower than buyer expectation. Like I can't just laugh at them and say you are asking too much here's what I can do, can I?
Take away the laughing bit and this is basically what I do. It helps if you have some comparables for much less that you can throw out.
Often the people that have a ridiculous asking price either (1) don't actually expect to get it, and are starting high to find the true market value (2) are asking more with the expectation of some haggling and settling somewhere in the middle (3) are trying to 'anchor' or 'frame' the negotiations at a high price point.
Offer what you think its worth (and try not to be manipulated by an unrealistic 'anchor' price), worst they can do is say no. If you are polite, respectful, explain in a sentence or two the reasoning behind your offer, and don't waste their time or give them false impressions, I see no issue.
Some people get offended by what they see as a lowball offer, I think that's silly to get offended. Say no, make a counter offer, or ignore it. A marketplace is about matching the right buyer and the right seller, and finding a price that works for both parties. Making an offer high or low is always acceptable in my eyes.
I usually cast a wide net, don't over commit, and wish the seller well if we don't work out a deal, and tell them to get in touch if they come down in price. From a negotiating standpoint, its good not to appear too desperate or focused on just their bus.
On the other hand, their are occasions where you are desperate, or do fall in love with one specific bus, in which case you can try not to telegraph that too much, but you may be willing to pay a little more than market value for it. Maybe even a lot more.
In a marketplace, I always think in terms of "what is it worth to me," rather than "what is it worth," sometimes this means I'm willing to go above market value, sometimes this means I wouldn't pay more than 50% of market value.
Sometimes sellers are inflexible, sometimes they negotiate a bit, occasionally I've made purchases (not bus purchases) at 1/4 to 1/3 of the asking price just by making an offer (no haggling involved).
Dealerships have more overhead and are in it only for the money, so I imagine it would be different dealing with them. I have no experience, and prefer to keep it that way if possible.