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Tracy, Altman & Flagg Go Through the "Worst Negotiation" Over a $17M House: "We Tried"
MDLLA's Tracy Tutor and Josh Altman struggled to find a compromise when working out a deal for Josh Flagg's potential new home.
On Million Dollar Listing Los Angeles Season 15, Episode 5, Josh Flagg was hoping to buy Josh Altman's $16,995,000 listing — at a much lower price. To get the deal done, Josh Flagg had Tracy Tutor represent him in the negotiation, but it ultimately didn't go as the trio hoped.
The conversation kicked off with Tracy telling Josh Altman that Josh Flagg's offer was "all cash at [$13.3 million] with a 30-day close."
Josh Altman shut down that offer quickly, explaining it was a "hard no" from his client.
Josh Flagg, who had been waiting outside, joined the conversation and told Josh Altman that although he wouldn't come up to $15,250,000, he could "go back at $14.5 [million]."
Although Josh Altman stated his seller was "not going to take" that offer, he asked, "Will you come up to $15 million? I'll forgo the $350,000 commission to try to make it work."
In a move that shocked Tracy, Josh Flagg then declared, "Just go for 15 [million dollars]. Done. That's it. Best and final." However, Tracy stepped in to stop him from proceeding.
"No! You're being impulsive again," she said, later adding, "We cannot go to 15 [million]. You need to cap this at [$14,750,000]."
Back with Josh Altman, Tracy declared, "Here's the deal: [$14,750,000] is the best and final offer, and if we're not taking commission, it's the equivalent of [$15,113,000]."
Did Josh Flagg buy Josh Altman's $16,995,000 listing?
No. Josh Altman's client quickly rejected Josh Flagg's offer, ending the negotiation.
"Bottom line: We're not getting the house because you're not going to come to [$15,500,000], which is what [Josh Altman's] client, Joe, really wants," Tracy said, which Josh Altman confirmed.
"So I say we finish our tequila, call this a night, go to dinner, and we find you another house," Tracy continued. "We tried. I mean, this is the worst negotiation that the three of us have done."
Luckily, Josh Flagg wasn't let down by the rejection.
"I'm not gonna lie, I'm not super depressed," he said in an interview during the August 14 episode. "What does that tell me? Maybe I just am in such a frantic rush to buy something that I'll just settle and I don't want to do that. I want to buy what I like. I already have my dream house. Just maybe make that one work."
Details on Josh Flagg's Shockingly Dilapidated "Dream" House
That "dream house" is a property Josh Flagg bought sight unseen for $9.2 million.
In Season 15, Episode 3, he and Tracy went to see the inside of the house for the first time and were shocked to discover the state of the interior.
As for why he purchased the home, he explained, "I've loved this house since I was a child. And by the way, I'm not alone. It's one of those beautiful houses that everyone walks by and is like 'It's so perfect.'"
"I've waited my whole life to see the inside of this house. Suddenly the plot has changed," he admitted. "At least there's nice crown molding?"
Ultimately, Josh decided to keep the house and put the work into renovating it.
"Let's build a house," he told Tracy in Episode 6. "This is my decision, my designs, my house."