Just How Low Can a Lowball Offer Go Today? ‘Married To Real Estate’ Reveals the Answer
HGTV
On the HGTV show “Married to Real Estate,” real estate agent/designer Egypt Sherrod and her husband, master builder Mike Jackson, make a winning combo as they help homebuyers find and renovate the perfect property.
Part of the fun of watching, though, is seeing decisions being made that make you go “Nooooo!” And this show’s latest episode has a few doozies.
In “Farmhouse Fixer,” clients Stephanie and Justin have a whopping $1.2 million to spend, and they hope to find a farmhouse on 50 acres near Canton, GA, about 45 minutes from Atlanta.
Justin is all about the acreage, since he fosters dreams of a farm-to-table life and teaching his kids to live off the land. However, Stephanie—who is several months away from giving birth to their second child—is more concerned with finding a house that’s move-in ready.
So far at least, we side with sensible Stephanie. However, as Sherrod and Jackson attempt to find them a house, it becomes clear that even with their sizable budget, these buyers can’t have it all.
Read on to see which homes they consider and how they choose to renovate the one they select. You might be surprised by how this particular story unfolds, but you’ll likely come away learning a lot about real estate and your own tastes.
Lots of land can be found just outside of cities
Valuable farmlandHGTV
“People think of Atlanta as an urban city, but 45 minutes away in Canton, you can get lots more for your money,” says Sherrod. “And with 40 acres, they can farm some of that land, subdivide the rest, or sell off some as the land value appreciates. Overall, it really is a smart investment.”
Sherrod shows the couple two properties. One features 42 acres of land and a crumbling farmhouse built in the 1970s, all at a list price of $999,000.
Decrepit farmhouse on 42 acresHGTV
The second house she shows them has a farmhouse that’s in nearly pristine condition, but it sits on a little under 10 acres. It’s listed at $850,000.
Move-in ready farmhouse on 10 acresHGTV
Which one should they pick? Sherrod does not shy away from stating what she thinks would be best.
“Remember, the goal was to find you something that was a little bit more move-in ready, while still giving you space to farm,” she explains.
Pointing to the latter smaller parcel, she adds, “So you have 10 acres here, but you get a little bit of everything without having to manage 42 acres.”
While taking on 42 acres with a fixer-upper seems like a whole lot, particularly with a baby on the way, this is the property that Stephanie and Justin pick. Apparently, these homebuyers relish a challenge! (Or at least they think they do.)
Lowballing is back
Celebrating a dealHGTV
Not too long ago, real estate in many suburbs was so hot that buyers braced to wage bidding wars and make offers over the asking price. But this raging seller’s market has since cooled enough that Sherrod thinks they can get away with some strategic lowballing.
“We know they’re at a million essentially right now,” Sherrod says. “But it has been on the market for a little bit. Do we want to try and come in a bit lower? I think there’s room.”
The couple say they would like to pay $950,000 for the property. So Sherrod decides to go even lower and offer $935,000.
Her strategy works like a charm.
“We put in an offer for $935,000, the seller countered with $950,000,” Sherrod says. “That’s exactly what they wanted to pay.”
Don’t want a huge porch? Try a portico instead
Farmhouse with a porticoHGTV
The front of this farmhouse seems very plain, so Sherrod suggests dressing it up a bit.
“We need something here that makes a statement and gives more curb appeal, something that gives a little more interest on the front of the house so it’s not just flat,” she says. “So what I was thinking is maybe we put a porch. It doesn’t have to span the entire length of the house. Maybe we just do a portico.”
A portico is a small porch with a roof overhead, and it does indeed add some dimension to the front of the house.
Be open-minded to a designer’s ideas, even if they don’t immediately appeal to you
Antiqued glass tileHGTV
When discussing the layout and design materials for the main floor, Sherrod says, “You’re going to be losing a window, so I wanted to try something in your kitchen to bring in tons of natural light.”
Her solution? Antiqued glass backsplash!
She offers up a glass tile that’s spotted and stained like an antique mirror.
“If I put something reflective on your backsplash, I feel like it will cascade light all the way through the living room,” she says.
At first, Stephanie isn’t so sure. (We have to agree.)
“I feel like I would always think it was dirty,” she points out. But with a little more persuading, Stephanie gives in. “OK, this is growing on me now.”
Egypt Sherrod’s antiqued mirror backsplashHGTV
Sherrod shows them how to antique the clear glass tiles herself with silver, gold, and black spray paint.
“Because if we do it ourselves, this is $25,” Sherrod explains. “If we purchase it already antiqued, that’s $500 to $600.”
Did she take a risk that misses the mark? Perhaps. Nonetheless, it’s a good reminder that at the end of the day, homeowners should trust their gut rather than cave to their designer’s every decision. After all, they’re the ones who’ll have to live in this house.
How does Egypt Sherrod and Mike Jackson’s latest renovation turn out?
Originally the budget for purchase and renovation was $1.2 million, but Jackson and Sherrod come in well under that.
Stephanie and Justin purchased the home for $950,000. The renovation pushed their all-in budget up to $1,153,000.
“Looking at comparables for farms with finished homes that have 43 acres or more and are fully renovated, I think you are easily at $1,400,000 for this,” says Sherrod.
That gives them $247,000 equity before they even move in. That’s quite a windfall, especially considering the entire project gets done before their baby’s due date!
“I’m ecstatic,” says Justin on the day of the big reveal. “From the second we pulled up, it already feels like our own home.”
Still, we have to wonder: Do they truly love that spotty backsplash, or are they just playing the role of happy homeowners with mental plans to tear that tile down once Sherrod and Jackson are out of their house?
Reality TV home makeovers aren’t always a hit. Sometimes, unhappy clients confess their disappointment. Many more likely stay silent and just repaint, retile, and rearrange once the cameras stop rolling.
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