Here's a couple of scenarios that are playing out quite frequently for me lately.  Someone calls me about a listing of mine, one that is listed for $399,000 for example.  In the first scenario a potential buyer calls and asks "Is that price negotiable".

First of all, the price on every property is negotiable.  Not only that but every aspect of a potential deal is negotiable, who pays closing costs, title insurance, when it closes, etc.  If there is a seller out there that won't negotiate, then they better have a really good price.

In the second scenario a potential buyer calls and says "Do you think they would take $350,000"  Honestly in most cases I don't know exactly how low a seller will go.  If I did, I'm not about to tell anybody and everybody that calls me.  It would be unethical to betray the sellers.  My response is always the same "Lets put an offer in writing and find out"

If the caller isn't willing to do that, then I know they aren't serious buyers and are just fishing. 

Even though its a buyers market, there is a right way to negotiate your price. First, be pre-qualified by a lender and submit the pre-qual letter with any offers.  Then put all offers in writing. An agent can help you and they can add in contingencies for inspections and financing.  They can also find the prices of closed sales in the area to help you determine your target price. The larger the down payment, the stronger your offer is and the more likely a lower offer will be accepted.

Now what are you waiting for.  Go out and make some real offers.