I am looking to purchase a new house in Charlotte(Union County) NC that is listed for about 270K, I got the builder to go down to about 255K. But that is including 5k in landscaping money and 5k towards closing. So I really got only 5k off of the listing price of the house.
Is this a good offer and should I take it or should I counter offer with something lower? I mean with the housing market right now I thought that I could get this house for much lower but that's the lowest he's willing to go, at least that's what he is saying. What I would like to know is this a good offer and should I take it? Or should I counter offer? I was thinking about 240k. Please help, this would be the first house for me and my wife and I don't want to leave anything on the table. I would like to take full advantage of the housing market right now. Thanks.
2007-12-18 04:07:46 · 4 answers · asked by Pop Quiz 1 in Business & Finance ➔ Renting & Real Estate
The best way that I have found to make certain that you do not leave any money of the table is to hire your own appraiser.
The way I do this is I have my attorney write language in the offer that makes my offer contingent upon the property appraising for at least as much money as I am offering for the property.
The appraised value that is used is the appraised value as determined by my appraiser, not the lender's appraiser or the seller's appraiser.
I select an appraiser with unquestioned credentials and integrity. I select an appraiser who is a Member of The Appraisal Institute. (MAI designation)
When tha appraisal comes back at a price less than the amount of my offer, I give the seller two choices:
1. Agree to reduce the contract price to the fair market value as determined by my appraiser or...
2. Agree to cancel the transaction and instruct the escrow company to return my deposit to me.
Note: It is very important that you do not give your deposit directly to the seller. Take your deposit directly to the escrow company and put your deposit in their escrow account.
Do not let your deposit be placed in the builder's trust account or in a real estate broker's or REALTORS trust account.
Also make certain that your attorney puts language in your offer that makes it very expensive for the seller to refuse to instruct the escrow company to return your deposit if you need to cancel the contract because the seller refuses to agree to reduce the contract price to the appraised value as determined by your appraiser.
Also make certain that your attorney includes language that gives you the right to recover your attorney fees and costs if you have to take legal action against the seller to get your deposit returned.
The seller needs your money more than you need the seller's house. If the seller will not agree to these terms I recommend that you find another house with a more realistic seller.
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2007-12-18 04:33:34 · answer #1 · answered by Anonymous · 0⤊ 0⤋
It's impossible to say what may or may not be a good offer on this particular property. The point to be considered is that the seller (builder) is not willing to go any lower. You can offer less, and may or may not be turned down. From what you indicate, I'd venture that you have pushed him as low as he is willing to go.
If you do not wish to pay what he is asking, simply move on towards different properties.
2007-12-18 04:12:11 · answer #2 · answered by acermill 7 · 0⤊ 0⤋
I make an official offer in writing for the lower amount and see how he responds. If you can't get him to go any lower then you have to decide if you really want that house at that price or move on.
2007-12-18 04:15:47 · answer #3 · answered by countryguyhfc 5 · 0⤊ 0⤋
In this market one should not fall in love with the house but with the deal, if you can not walk away it is not a deal
I would keep looking around, because there are deals for buyers, it will not just stand out and say deal but they are in the market just takes some time
2007-12-18 04:28:35 · answer #4 · answered by goz1111 7 · 0⤊ 0⤋