Spanish penthouse: 3 years unsold, €2k cut

Exclusive penthouse on the market for 3 years with a €2,000 price cut

A buyer had verbally agreed on a price of €155,000 before the pandemic. The real estate agency convinced him that the owners might back out, so he accepted €167,000. Now, amid current economic uncertainty, he wonders if he can push for more. The short answer: probably yes. The long answer depends on how long his partner will wait without buying curtains.

The case, detailed extensively in an investment forum, is a textbook example of a Spanish property negotiation: three years on the market, an initial asking price of €185,000, a first reduction of €2,000, and a buyer who suspects he was taken for a ride. "I negotiated poorly," he admits. Meanwhile, the agency whispers that there are other interested parties. It smells like a bluff, he says. It’s standard practice, others argue.

What to negotiate when a flat has been unsold for 3 years

Time is the key factor. A 165 m² net penthouse with a 35 m² terrace, garage space, and storage room in a 2008 building, four minutes from the center of a small town, should not take three years to sell. Either the price is off-market or the market has dried up. Both scenarios favor the buyer.

The most common counter-offer suggestion is aggressive: offer €130,000 and hold firm. Another approach proposes €140,000 with room to increase. A third, more conservative view points to €150,000. The buyer sets his own floor between €155,000 and €160,000. This means there is a €7,000 gap he acknowledges he hasn't fought for.

The agency's argument—that the owners might return to their hometown for work and not sell—is read as classic pressure. The intermediary's role is to bridge gaps, not defend one side. Sellers are told to lower prices; buyers are told the price is already low. They earn commission on transactions, not high prices.

The mortgage that changes the equation

The buyer already has a bank offer: 1.5% interest rate, 0% cancellation fees, 0% valuation costs. He needs to finance €35,000. The rest comes from his pocket. This detail reduces transaction risk but doesn't eliminate the core issue: if the purchase price is high, the extra cost is paid over the life of the loan.

The most repeated calculation in the analysis is the monthly differential. According to figures circulating in the thread, reducing the price from €167,000 to €155,000 on a 30-year mortgage at 1.5% results in about €35 per month. A €12,000 difference in price translates into a nearly identical monthly payment. This dismantles the argument that negotiating risks losing the property over pennies. It also removes the urgency.

The downside: if the apartment is unique—a penthouse with no comparables in the city—the seller is less rushed than the buyer. Exclusivity works both ways. The buyer believes nothing else exists. The seller knows this.

The emotional price tag for the couple

There is a factor that never appears in valuations: the partner. The buyer admits his partner wants to close the deal now, doesn't care about the price, and only thinks about furniture, curtains, and paint. "If it weren't for her, I'm sure I would have negotiated at least €5,000 more during the process," he writes.

This domestic tug-of-war is the true crux of the matter. One part of the analysis argues that family peace is worth more than €7,000. Another counters that €7,000 is €7,000 and peace can be restored with a nice renovation. Meanwhile, the buyer is torn between losing the property and losing the argument.

The agency's pressure—"there are other interested parties, but you're first in line"—is the same tactic used in any negotiation involving an asset sitting idle for three years. If there were truly many interested parties, it wouldn't have remained unsold for three years.

Advice from those who bought during crises

Experience from those who have navigated similar situations points in one direction: sellers who don't lower prices during a crisis don't sell. One cited case: a commercial unit valued at €25,000 pre-crisis was purchased for €12,000. Another: a family home on the market for months only found a buyer when the bank approved the loan, which was the real bottleneck.

The most repeated advice is to show alternatives. Have other properties viewed, compare them in front of the seller, demonstrate that options exist. Those who negotiate from scarcity lose. Those who negotiate from abundance win. In this case, with a vacant property for three years, abundance favors the buyer.

The conclusion isn't written yet. The buyer remains hesitant, the agency continues to apply pressure, and the partner keeps looking at curtains. If he lowers the price, he saves money. If he doesn't try, he gains peace of mind. What he cannot do is pretend he didn't know he could try.