We have found a home which we would like to make an offer. The asking price is $179900, a bit below market for the area, but in need of updating (cosmetically). We would like to make an offer that would include them seller paying all closing, or allowing us $5000 for closing (that we could include in our loan). What kind of offer should we present?
2007-09-23 09:30:04 · 8 answers · asked by Amy H 1 in Business & Finance ➔ Renting & Real Estate
This would depend on what state and area you live in, in some such at the Stockton CA area, prices are projected to drop by 25% in the next year, in Philly 3.6% drop, yet in Seattle the homes worth is still increasing.
2007-09-23 09:52:17 · answer #1 · answered by Pengy 7 · 0⤊ 0⤋
HOw much do you like the home? That is something that only you can answer. Since you are needing help with closing costs, if you come in low you can definately loose the house.
Sellers are thinking about how much they are going to take from the transaction. If you like the house coming in over asking is not usual, if you are simply wanting a good deal then start low. This is a decision that should not be made without careful thought. You already said that this was below market value which means they already took the condition into account. They may have considered helping with the closing costs- may not. That will be determined by your local market. Best Luck!
2007-09-23 17:53:03 · answer #2 · answered by Angela S 3 · 0⤊ 0⤋
Your first offer should be the price that would make this an amazing deal for you. It is hard market right now and there are not many buyers so you bet that they are just going to counter. They know that a buyer is rare right now cause their Realtor has told them plenty of times by now. I would say start off with an offer of $160,000 and ask for closing cost. They will counter and come down a little and offer probably full asking price and pay your closing cost. Then you come up a little and in the end you all will settle somewhere very close to the middle.
2007-09-23 19:39:58 · answer #3 · answered by young2bballin 2 · 0⤊ 0⤋
Depending on the market condition in that area and the number of days on the market (DOM). If the market is doing fine and the listing is new, you should make an offer closer to asking. If the market is poor and it has been sitting for a while, you can make a low ball offer, such as 10% to 15% off asking to start with.
2007-09-23 17:55:27 · answer #4 · answered by Phil 3 · 0⤊ 0⤋
What is the value that the bank will lend on? Rule of thumb is 5-10% below...if you really want this home...15-20% if you are willing to find something else.
2007-09-23 16:42:37 · answer #5 · answered by Christiane 3 · 0⤊ 0⤋
offer $5000 under asking price, and include that they cover all closing costs.
2007-09-23 16:39:15 · answer #6 · answered by Chris C 4 · 0⤊ 0⤋
Amy offer them full price and ask them to pay all closing costs up to $5,000
2007-09-23 16:40:36 · answer #7 · answered by Alterfemego 7 · 0⤊ 0⤋
You can give that a try, why not? I mean real estate is at the end just a business game.
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2007-09-23 17:55:40 · answer #8 · answered by Michael Z 2 · 0⤊ 0⤋