Unless the market is red hot, there's a good chance you'll end up deciding how to respond to an offer for less than your asking price.
Review these considerations when deciding on how to counter an offer to purchase your home.
How long has your home been on the market?
If your home has been on the market for an extended period without producing a sale, it may be time to consider becoming a bit more negotiable.
What kind of response have you had?
Consider the results you've seen from your marketing effort when you are formulating your counter-offer. If you haven't had many showings (or offers) your asking price may be too high.
Are market conditions improving or worsening?
Consider the state and direction of the market. If conditions are worsening, it may make sense to try and make a deal now. Conversely, if things appear to be improving you may want to hold fast at your asking price - or counter just below that level.
Are you under pressure to sell?
If you are under significant pressure - or if you face financial trouble if a deal is not forthcoming, you are well advised to consider these facts in your counter-offer.
Does the buyer seem strong?
If the offer is relatively straightforward - with few contingencies - and the buyer seems strong, you may want to consider this when countering.