When A Seller Asks "Are You Tying Up My Property?"

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Transcript

Why Sellers Fear Being Trapped

SPEAKER_00 0:00

When a seller asks what stops you from tying up my property and renegotiating later, they are not just asking about price. They're asking about control. They're asking, Am I about to sign something and lose leverage? Are you gonna lock me in and then change the deal? Am I gonna be stuck with you if I do not like what happens next? And honestly, that's a fair concern. Because there are wholesalers who do exactly that. They throw out a number, they cannot justify, get the property under contract, start doing their due diligence, realize they were wrong, and then come back trying to beat the seller up on price. But here's the part sellers need to understand renegotiation is not a wholesaling thing. Renegotiation can happen in any real estate transaction. What's up, everybody? RJ Basin Third here. And in today's episode of Overcoming Objections, we're talking about when a seller says, What stops you from tying up my property and renegotiating later? Now that is a strong objection because it is based on the fear of the unknown. The seller does not know what happens after they sign the contract. They don't know if their number is real. They don't know if you're going to inspect the property and suddenly change everything. They don't know if you're going to disappear, shop the deal around, and come back with a lower offer. So our job is not to dismiss that concern. Our job is to explain the process clearly. Because when the seller understands the process, well, the fear goes down. The first thing we need to explain is this price changes can happen in any real estate transaction. If a seller lists with a real estate agent and accepts a retail buyer's offer, that does not mean the deal is automatically

Renegotiation Is Normal In Real Estate

SPEAKER_00 1:57

done. The buyer may have an inspection period. The inspection may uncover issues. The buyer may ask for repairs or may ask for credits. The appraisal may came in low. The lender may require something to be fixed. The buyer may come back and try to renegotiate. That is normal real estate. The reason sellers are usually less afraid of that in a retail transaction is because they have an agent representing them. They feel protected by the authority of that professional. So when a buyer asks for repairs or a price reduction, the seller does not usually say, This buyer is scamming me. They look to their agent and ask, What should we do? But when a seller is dealing directly with an investor, they do not always feel that same layer of protection. So the fear becomes louder.

Transparency Beats The Wholesaler Reputation

SPEAKER_00 2:51

And that is why transparency matters. The seller is not really afraid of due diligence. They're afraid of being trapped. They're afraid you are going to use the contract as leverage against them. And again, some wholesalers have earned that reputation. They make offers too quickly, they don't explain the math, they don't ask enough questions, they don't understand the repairs, they don't know the market. And then they get the contract signed and try to figure everything out later. That's not professional. That's guessing with paperwork. Professional does it differently. Explains how the offer was created, explains what is still unknown, explains what happens during due diligence, explains that if something material is discovered, there will be a conversation. It's not a surprise, it's not pressure, it's just a conversation. This is where we have to slow down before the contract is ever

How The Offer Math Is Built

SPEAKER_00 3:48

signed. If we're making an offer, sight unseen, we need to explain how we got there. We looked at what the property could be worth fixed up. We looked at the condition based on what the seller told us. We may have even looked at photos if we had them. We looked at the known repairs, we looked at the market, we accounted for holding costs, closing costs, resale costs, and the profit needed for the end buyer taking on the project. And that is how we reverse engineered into an offer. That's the math. But here's the important part. If the property condition is different from what we discuss, well, the math may change. And that does not mean we're playing games. That means the input's changed. If we base the offer on a property needing cosmetic updates, but then we discover foundation issues, fire damage, major plumbing problems, or a roof that is completely shot, well, that changes the deal. Not because we want to renegotiate, because the reality, the math changed. And this is exactly how normal real estate works. New information can create a new conversation. The difference between a professional and a bad wholesaler is not whether new information ever comes up, the difference is how it is handled.

Professional Renegotiation Versus Pressure

SPEAKER_00 5:08

A bad wholesaler says, hey, we need to lower the price. No explanation, no details, no clarity, just pressure. A professional says, here's what we originally based the offer on. Here's what we found during due diligence. Here's why that changes the numbers. Here's the adjustment we believe makes sense. You're not obligated to accept it, but I want you to walk you through the reasoning. That is completely different. Because now the seller is not being bullied, they're being informed. And this is critical. The seller does not have to accept a price reduction. They can say no, they can counter, they can ask questions, they should review the information. They still have a voice in the process. A renegotiation is not us telling the seller, this is what you have to do. A renegotiation is us saying, based on new information, here's what we believe the deal now supports. The seller still gets to decide if that works for

A Word-For-Word Objection Response

SPEAKER_00 6:14

them. So when a seller says, What stops you from tying up my property and renegotiating later? Here's how I would respond. That's a fair question. And I understand why you would ask it. The last thing you want is to sign an agreement and then feel like someone is using that against you later. Then pause. Then the truth is, renegotiation could happen in any real estate transaction. Even if you listed with an agent and accepted a retail offer, the buyer would do inspections, ask for repairs, ask for credits, or try to renegotiate if something came up. That is not unique to wholesalers. That is just part of real estate. Then slow down. The difference is how it is handled. The offer we are discussing is based on the information we have right now. The property value, the condition you described, the repairs we know about, the cost involved, and the profit needed for the buyer taking on the work. And then pause again. If we get into due diligence and everything lines up with what we discuss, then there should not be a reason to change the number. But if something major comes up that was not known up front, then we would have a conversation and explain exactly what was found and why it affects the math. Pause again. And just to be clear, you do not have to accept a price reduction. If we ever came back with a different number, you can say no, you can counter, or we can decide it does not make sense to move forward. My job is not to trap you, my job is to be transparent with you throughout the process. That is the answer. Calm, honest, professional, and transparent.

Rules To Follow And Final Takeaway

SPEAKER_00 8:06

Don't say we would never renegotiate. That may sound good, but it's not always honest. If major issues are discovered, the math may change. Don't say, just trust me. That does not answer the concern. Don't say that will not happen because you cannot promise that nothing will ever come up. And do not get defensive. The seller is not wrong for asking. They're trying to protect themselves. So respect the question and answer it with clarity. The real lesson is this sellers fear renegotiation when they do not understand the process. They fear it when they think you're hiding something. They fear it when they believe signing the contract means they lose control. So our job is to explain the process before fear fills in the blanks. We need to say, here's how we got to the offer. Here's what we are assuming. Here's what due diligence is for. Here's what can cause the math to change. Here's how we would communicate that. And here's the fact that you still have the right to say no or counter. That is how you build trust, not by pretending renegotiation never happens, but by explaining that if it does happen, it will be based on real findings, real math, and a real conversation. So the next time a seller says, What stops you from tying up my property and renegotiating later? Don't panic. Do not overpromise. Don't say that will never happen. Tell the truth. Renegotiation can happen in any real estate transaction. Retail buyers do it, agents deal with it, investors deal with it, wholesalers deal with it. The difference is whether the person across from the seller handles it professionally. Something major comes up, we explain what changed. We explain how it affects the numbers. We give the seller the opportunity to ask questions, and the seller still has the right to say no or counter. That is the key. We're not here to trap the seller. We are here to get the truth of the deal. And when both sides understand the truth, then both sides can decide if moving forward still makes sense. That is how professionals handle renegotiation with transparency, math, communication, and with respect for the seller's right to choose. All right, guys, that's our episode today. Show me some love. Like the video, and we'll see you guys tomorrow.