How Low Can You Offer on a House?

Posted on July 30, 2026 | Written By Melissa Emond

Let’s say you’ve been searching far and wide for the perfect home, and suddenly you find a property that checks all of (or most of) your boxes. Even better, the house has already been on the market for several weeks, maybe even months. On top of that, the asking price has already been reduced once or twice.

A lot of buyers in this scenario would have one thing on their mind: submitting a lowball offer.

So, can you make an ultra-low offer on a house? And more importantly, should you?

It’s more complicated than a simple yes or no question.

As a real estate agent in South Etobicoke with more than 20 years of buying and selling experience, I can tell you that offers and negotiations are always more nuanced than people expect. Let’s dive a little deeper into this.

Seller Expectations vs Reality

When a seller sets their asking price high, a very reasonable and market-informed offer may feel like a lowball, even if it’s not.

As a buyer, it’s important to remember that asking price and market value are two totally different things. Before you start coming up with offers in your head, take a step back and forget about the seller’s asking price for a moment.

First, you’ll want to find out what similar houses in the area have sold for recently (your real estate agent can help you with this if needed). These insights will give you an idea of how the seller’s expectations match up with the market.

Looking to get a great deal on a house in Etobicoke? Read these blogs for more advice!

Know What You’re Making an Offer On

Sometimes a house goes unsold for more reasons than just the price. If you’re thinking about making an offer, you’ll want to find out exactly why the property hasn’t been bought yet.

There could be a completely harmless reason why the house hasn’t sold. For example, luxury homes and properties with higher price points typically spend more time on the market simply because there’s a smaller buyer pool.

That said, there could also be red flags or issues with the home that you haven’t come across yet. The more information you have as a buyer, the better.

Digging Deeper

Start with some backstory. Find out when the house was first listed and if there have been any price reductions since then. If the house was previously listed and taken off the market, find out if the seller was working with a different agent or the same one.

You’ll also want to know if there have been any other offers or sales that fell apart due to financing or inspection issues.

Next, turn your attention to the property itself. Can you identify any features that would be deal-breakers for other buyers? For example, does it back onto a busy road? Does it clearly need a lot of renovations? Sometimes these details are enough to turn buyers away entirely.

Your agent should also speak with the listing agent to find out a little more about the seller and their goals.

Your Strategy Matters

Let’s say you’ve done your research and are ready to make an offer on the house. That’s great, but you still need to be strategic in how you approach things.

Most importantly, don’t assume that the seller is desperate just because the house has been sitting on the market.

There’s a big difference between an aggressive offer and throwing out a random number. Submitting a lowball offer may seem like a “nothing to lose” scenario, but that’s not exactly true.

Making an offer that’s significantly below the asking price (if not based on your research) can potentially upset the seller, causing them to close the door on further offers or negotiations.

Building Your Offer: How Low Can You Go?

So, how should you approach a below-asking offer? Should you simply low and slowly move your price up? It depends.

There’s no magic formula for submitting an offer on a house that’s been on the market for weeks or months. Ten percent below asking might be completely unreasonable on one property and still too high on another. Whatever your number is, you should be able to justify your offer based on the market, comparable sales, and other factors unique to the house itself.

As an agent, I always ask: what is this home actually worth in today’s market, and what strategy gives us the best chance of buying it on favourable terms?

Don’t forget, there’s more to an offer than just the price. Other details like conditions and closing date can sway sellers in a certain direction.

Buying a house for the first time? Check out these blog posts for even more helpful tips!

What if My Offer is Rejected?

Rejection can be scary, but it’s not the end of the world. Even if you put forward a well-researched, well-thought-out offer, you might still get a “no”. And that’s okay.

Sometimes an initial offer is rejected, but it opens the door to conversation. As an agent, I’ve had situations where a seller initially rejected an offer, and we came back together later.

Either way, it’s important not to get swept up in emotions when placing an offer or negotiating. At the end of the day, your goal is to find the right place at a price that works for you. That can require a little bit of patience.

Get a Great Deal on Your New Home

Whatever your dream home looks like, you’ll want an expert by your side as you navigate the market. That’s where I come in!

As a South Etobicoke real estate agent with more than two decades of experience, I know our unique market inside and out. I have the strategies, expertise, and connections to help you find (and buy) the ideal property. Get in touch today.