Retrade

Definition

Moving an agreed price after the LOI, either way, on a diligence finding.

Why It Matters

Legitimate when diligence surfaces a real problem and toxic when it is tactical, and the difference is visible from the outside. Brokers remember buyers who reprice at the last moment, and in an ecosystem this small that reputation reaches the next seller before you do. If the finding is genuine, bring it with the working papers behind it and name the adjustment it implies, which is a conversation about a number rather than an ambush. A seller can do it too, and usually does it late, when a buyer has spent real money and is least able to walk. What protects you is the LOI you signed: exclusivity, a no-shop, and a price that is a number and not a range.

In numbers: Finding $50k of add-backs that do not hold up supports cutting the price by the multiple times that gap; the same cut with no finding behind it is the retrade a broker remembers.