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- 5 min read
How to reject a purchase offer and Make a counteroffer
You've received a purchase offer, but it's too low or comes with terms you're not comfortable with. You want to reject it, but you're worried about penalties or scaring off the buyer. You'd like to make a counteroffer, but you're not sure how to do it without losing the deal. It's a delicate moment: the wrong response can derail a sale that might otherwise have closed.
In this guide, we explain what the law says about rejecting an offer, how to communicate your decision properly, how to put together an effective counteroffer, and when it makes more sense to accept or walk away.
What Happens Legally When You Reject a Purchase Offer
Let's start with the most common fear, because it's unfounded: rejecting a purchase offer does not carry any penalty. The offer binds the person who makes it, not the person who receives it. Until the seller accepts, they are free to decline it without consequences, and they can consider other offers in the meantime.
The point where everything changes is acceptance. Under Article 1326 of the Italian Civil Code, a contract is formed when the offeror learns that the seller has accepted. At that moment, the offer becomes a preliminary contract that binds both parties, with all the consequences that follow if either side changes their mind. Before that moment, however, the seller is not committed to anything.
One word of caution: acceptance can also be expressed in less explicit ways. For this reason, avoid giving any written sign of agreement until you have made your final decision.
How to Communicate Your Rejection the Right Way
A well-handled rejection isn't a closed door. It's the start of a negotiation. How you deliver it makes the difference between losing the buyer and steering them toward an agreement.
Put your response in writing, and keep the tone courteous and professional, avoiding curt or final-sounding language. It helps to explain your decision, for example by referring to the property's market value, but never reveal anything that weakens your position. In particular, never hint at how far you're willing to go down on the price. Where it makes sense, pair the rejection with an openness to continue the conversation.
This is where your real estate agent's role as an intermediary is invaluable: they filter the communication, keep the tone right, and deliver the rejection without it turning into a breakdown in talks.
How to Build an Effective Counteroffer
Legally speaking, a counteroffer is a new offer. If you change even one element of the offer you received, you are rejecting it and putting forward your own, which the buyer is free to accept or decline. It's the tool for keeping the conversation alive without giving ground.
The key is not to rest everything on the price. Countering with a figure you can justify, backed by concrete data, is far more effective than a bare "no, I want more." Above all, you can make your offer more attractive overall by working on other terms of the deal without lowering the price: a closing date that suits the buyer better, revised contingencies, or including some of the furniture. Being flexible on these points lets you defend your price while still showing openness.
How to Tell Whether a Counteroffer Is Worth It or You Should Walk Away
Not every buyer deserves a counteroffer, and knowing how to read the person in front of you saves you from wasting time or, worse, chasing someone who will never close.
A few signals help you tell a buyer who is simply testing the seller from one who is genuinely out of budget. The reasoning behind the offer: a low but well-argued offer is different from a flat, unjustified price cut. The presence and weight of contingencies. How quickly they respond and the interest they showed during viewings. Their willingness to negotiate on elements other than price. A genuinely interested buyer tends to leave room for dialogue, while one who is distant closes it off. When all the signals point to a buyer who is far from the property's real value and not very flexible, rejecting the offer without a counteroffer is the right answer.
Why Choose Engel & Völkers to Handle Your Negotiations?
The difference between a successful sale and a lost one is often decided right at this stage, when an unsatisfactory offer comes in and you have to decide how to respond.
Engel & Völkers supports the seller with negotiation expertise built on a large number of deals: it evaluates the offer you've received, helps you read the buyer's real intentions, and guides you in building the most effective counteroffer. The goal is twofold: to protect the value of your property while not losing qualified buyers. Having a professional manage the communication and strategy, at a moment when a single misplaced word can be costly, is what makes it possible to achieve the best possible result.
Approach the negotiation with greater confidence:
Discover your property’s value and request a free, no-obligation valuation with Engel & Völkers.
faq About Rejecting a Purchase Offer
No. An offer binds the person who makes it, not the person who receives it. Until the seller has accepted it, they are free to reject it without any consequences, and they can also consider other offers.
From the moment of acceptance. When the buyer learns that the seller has accepted, a preliminary contract is formed that binds both parties.
Legally speaking, it's a new offer: by changing even a single element, the seller rejects the offer received and puts forward their own, which the buyer is free to accept or decline.
By justifying your price with concrete data and working on the other elements of the deal: closing date, contingencies, furniture included. You defend your price while still showing openness.
Revealing how far you're willing to go down on the price. Any signal to that effect is used by the buyer as a new starting point to negotiate the price down even further.