To be honest, I think it is rather rare that a seller's motivation will dramatically affect the price of a home. But it may be possible to save a few thousand Rand if the seller is in some kind of bind.
And lets just get this straight: When people talk about "motivated sellers" they actually mean "desperate sellers".
Motivated sellers are usually in some kind of situation where time is more important to them than the highest possible purchase price. The reasons behind these motivations are as diverse as there are sellers.
The most common "motivated seller" is someone who has already bought his or her next home, or is relocating to a new area. They will be under pressure to sell their home quickly, or face the prospect of making two mortgage payments at the same time. Since that can drain a run-of-to-mill bank account rather quickly, most sellers want to avoid such a situation, and may be willing to give up a few thousand Rands in the selling price.
There are also family crises that can motivate a seller to make a quick sale. However, when you see a real estate ad that mentions "divorce", "motivated seller", "relocation", or something to that affect, beware. The facts may be true, but that does not necessarily mean the seller is motivated to make a quick sale at a low price. Most likely, the ad is more designed to generate phone calls and leads rather than sell the home. I mean, would you place a sign outside your home saying, "DESPERATE FOR SALE"?
There are times when a seller is truly distressed, willing to make a quick sale and sacrifice thousands of Rands on the purchase price. With the seller's permission, the real estate agent may post this information along with the listing in the multiple listing service, or even in an advertisement. They may also inform other agents with the seller's consent. But beware of any real estate agent under mandate from the seller, who makes such revelations "in confidence" to you as buyer. No seller would be likely to authorise the leaking of such sensitive information, which would give you an unfair advantage in the negotiation process.
The Final Decision on Your Offer Price
Comparable sales information helps you to determine a base price range for a particular home. Adding in the various factors like property condition, improvements, market conditions, and seller motivation help determine whether a "fair" price would be at the upper limit of that range or the lower limit. Perhaps you will feel a fair price is outside of the fair price range, as indicated by the lists of recent sales.
The "fair" price is approximately what you are willing to pay for the property at the end of negotiations with the seller. The offer price you start negotiations at, is totally up to you and depends on your negotiating style. Most buyers start off somewhat lower than the price they eventually want to pay. But it will depend on various factors that will differ from situation to situation
Although your agent may provide advice and guidance, you are the one who has to pay for the property, and therefore make the decision on what price you put in the offer is totally up to you.
