2007-02-08 14:37:40 · 5 answers · asked by jay s 4 in Business & Finance ➔ Renting & Real Estate
Ask your real estate agent for a comparative analysis for at least six months. This will list properties that have been sold, in escrow and currently in the market. Base your offer in the last property that sold...most likely that's what the appraiser is going to use as a comparison to the property you're buying.
Make sure the comparative analysis is based on properties in your area. Sometimes, real estate agents may include houses that were priced high, but were not really comparable to the property you are buying...more space, renovated etc. This may trick you to offering high.
Make sure you hire a professional home inspector. Ask for buyer's credit or price adjustment for every discrepancy found.
Also remember that most banks will only allow you to borrow up to the appraised amount of the property, unless you're including a construction loan with it. Make sure that your contract includes a clause stating "seller and buyer agree to adjust the purchase price to a lower amount based on the appraised value of the property".
When it comes down to it, it's your money and you can do whatever you want. Try not to get too emotionally attached to any property. Treat it as an investment. This will enable you to easily walk away if you don't get the price you want.
Good luck!
2007-02-08 17:00:15 · answer #1 · answered by deverag 2 · 1⤊ 0⤋
Before you start bargaining, do some research. Know what the houses in the area are selling for, know the assessed value of the house. Tell your real estate agent that you are willing to pay x amount of dollars, not the full price. Your agent will enter a bid for you. If the seller likes the price, he will take it. If not, he will make a counter-offer. IE. The price is $200,000. Other similar houses in the area have sold for $180,000 to $220,000. The house is assessed at $190,000. Make an offer of either $175,000 or $180,000. If the owner thinks he should get more, he will counter with whatever he thinks is right.
You can also negotiate things you think need fixing.
2007-02-08 14:47:40 · answer #2 · answered by istitch2 6 · 0⤊ 1⤋
As someone who has purchased several houses, the rule I go by is, "If I am not embarrassed by the offer, it is too high."
Of course you must be willing to walk away from the deal if it isn't what you want.
If you really want the house, offers around 10% below the listing/value is appropriate.
Go to your courthouse, and find out what they think the property is worth. This information is available to everyone, so you aren't doing anything wrong.
Here in Kansas, I ask the Realtor for the ICS sheet, but they may use different names in other states.
Good Luck
2007-02-08 14:47:05 · answer #3 · answered by A_Kansan 4 · 0⤊ 0⤋
Location, size and design of the house would be factors for determining the asking price.A general review of existing real estate offers would be reasonable and some government based limitations apply for tax and others. Get all information before entering into any deal.
2007-02-08 15:02:11 · answer #4 · answered by kalabalu 5 · 0⤊ 0⤋
can of worms my friend.
r/e agents play stupid offer/counter-offer games, enuff to make one puke.
how then? just speak your gut, and don't get too immersed in the bulldookey u may be getting by the shovelfull. circumvent the agents and go direct to the owner. allow the buyer to go direct to you.
happy with 500? why hold out? imho speed eliminates heartache and thats the best.
2007-02-08 14:46:17 · answer #5 · answered by voodoo 2 · 0⤊ 2⤋