How to Handle Offers and Counteroffers as a FSBO Seller

21 February 2026

Selling your home as a For Sale By Owner (FSBO) can be an exciting yet challenging experience. One of the most critical moments in the process is handling offers and negotiating counteroffers. This can feel like a high-stakes poker game—you don’t want to fold too soon, but you also don’t want to overplay your hand and lose a great deal.

If you’re stepping into the real estate market as a FSBO seller, understanding how to navigate offers and counteroffers can make a huge difference. Let’s break it down step by step so you can confidently secure the best deal for your home.

Understanding Offers: What to Expect

Once your FSBO home listing starts gaining attention, potential buyers will start making offers. Some might be straightforward, while others may come with contingencies, requests, or even lowball tactics. Here’s what a typical offer will include:

- Offer Price: How much the buyer is willing to pay.
- Earnest Money Deposit: This shows the buyer is serious. Typically, it’s between 1%-3% of the sale price.
- Contingencies: Conditions that must be met before closing (e.g., financing, home inspection, appraisal).
- Closing Timeline: When the buyer plans to close the deal.
- Requested Inclusions or Exclusions: Some buyers may ask for appliances, furniture, or other items to be included in the sale.

Once you receive an offer, your next move is to either:
1. Accept it as-is.
2. Reject it (if it’s completely unreasonable).
3. Counteroffer to negotiate better terms.

Now, let’s talk about making smart counteroffers.

The Art of the Counteroffer

Negotiation is a dance, and knowing how to respond effectively can keep the deal from slipping through your fingers. Here’s how to approach counteroffers like a pro:

1. Don’t Rush—But Don’t Stall Either

It’s tempting to jump at an offer, especially if your home has been sitting on the market for a while. However, take time to analyze the details. Look at comparable sales (comps) in your area, consider market trends, and determine if the offer aligns with your goals.

At the same time, don’t leave buyers waiting too long. A slow response can make them lose interest or move on to another property. Typically, responding within 24 to 48 hours is ideal.

2. Negotiate Smartly—Not Emotionally

It’s easy to be emotionally attached to your home, but negotiations should be based on logic, not sentiment. If a buyer submits a lower-than-expected offer, resist the urge to feel insulted. Instead, counter with a number that makes sense based on market value.

For example:
- If a buyer offers $15,000 below your asking price, don’t just refuse. Consider countering with a price in-between to keep the conversation going.

- If they ask for unreasonable repairs, counter by offering a credit instead of spending time and money on fixes.

3. Maintain Control Over the Deal

As a FSBO seller, you control your home sale, but that means you also need to stay on top of the paperwork. Ensure that all counteroffers are written formally with clear terms and deadlines. If necessary, consult a real estate attorney to protect yourself.

4. Use Multiple Offers to Your Advantage

In a hot market, you might receive multiple offers. This is where things get really interesting! Rather than accepting the first offer, inform buyers that you have multiple offers and encourage them to submit their "best and final" proposal. This can drive up the price and improve the terms in your favor.

Be careful not to mislead buyers, though—if there are no other offers, falsely claiming otherwise can backfire.

5. Know When to Walk Away

Not every offer is worth entertaining. If a buyer is overly demanding, has shaky financing, or insists on contingencies that add unnecessary risk, don’t be afraid to walk away. A better offer might just be around the corner.

Common Counteroffer Scenarios and How to Handle Them

Here are some typical negotiation situations you might face and how to respond:

Scenario 1: The Lowball Offer

Buyer’s Offer: $250,000 (your asking price is $280,000)
Your Response: Instead of outright rejecting, counter at $275,000 and highlight reasons why your home is worth the price (e.g., recent upgrades, strong market conditions).

Scenario 2: Request for Expensive Repairs

Buyer’s Request: Replace the roof before closing.
Your Response: Offer a credit toward closing costs or negotiate a small price reduction instead of handling the repair yourself.

Scenario 3: Contingency on Selling Their Home First

Buyer’s Condition: They can only buy your home if their current home sells.
Your Response: Accept the contingency only if they provide a reasonable timeline and proof that their home is actively listed for sale.

Scenario 4: Asking for Every Appliance

Buyer’s Demand: Refrigerator, washer, dryer, and all light fixtures included.
Your Response: If it’s a dealbreaker, consider including some appliances but excluding the expensive ones (e.g., “Washer and dryer not included, but refrigerator stays”).

Finalizing the Deal: What Comes Next?

Once both parties agree on the terms, it’s time to finalize the sale. Here’s what happens next:

1. Sign the Purchase Agreement

Once the offer and counteroffer are settled, both you and the buyer sign a legally binding purchase agreement. This document outlines all agreed-upon terms.

2. Escrow and Earnest Money Deposit

The buyer deposits their earnest money into an escrow account, showing their commitment to the deal.

3. Home Inspection & Appraisal

Most buyers will want a home inspection and, if using a mortgage, a lender-required appraisal. If any issues arise during the inspection, another round of negotiations might occur regarding repairs or price adjustments.

4. Closing Process

Once contingencies are met, the title company or attorney will oversee the final paperwork. At closing, you’ll hand over the keys, and the buyer will complete the payment. Congratulations—you’ve successfully sold your home without an agent!

Key Takeaways for FSBO Sellers

1. Expect negotiations—rarely does an initial offer go through without counteroffers.
2. Don’t be emotional—treat the process as a business transaction.
3. Counter strategically—offer reasonable compromises without giving too much away.
4. Use multiple offers to your advantage in a competitive market.
5. Stay patient—the right buyer will come along with the right offer.

Selling your home FSBO requires skill and patience, but mastering offers and counteroffers can help you maximize profit while staying in control. Stay confident, stay informed, and you’ll negotiate your way to a successful sale!