How much can i negotiate down (foreclosures, condos, house)

[Mvn2nc]

Originally Posted by ShastaLiving

Consider the fact that sellers today are no longer overpricing their homes as they were a year ago. Given the slugish market, sellers have "gotten with it" and are being advised by their realtors to "price to sell". Sure they might leave some room for those low-ball offers but I wouldn't offer less than 5% of their asking price, that's if you really want them to take your offer seriously. However, I do agree with a previous post about checking the recent sales in that neighborhood, that'll be your best indicator as to how much you should offer.

You gave some sound advise compared to others who encouraged him to consider offering $100k less than the asking price.

[prim2007]

This is educational for me. I'm looking at a new 2006 condo (never lived in)that's been on the market for 287 days and priced at 617K (which is a reduction from a couple months back when it was $650k). I'm wondering if the builder will take an even $600K. I mean why have a brand new condo just sitting on the market for that long. The length of time on the market makes me think they haven't been open to negotiating so I'm wondering if I should waste my time.

[Greenchili]

I wasnt aware that you could offer a lower price on a new property. We have
some nice new homes being built here in Lompoc and the prices are dropping
regularly. They started in the $499.000-500.000+ ranges and now are
at $453.000. Its a planned community with their own sales office,etc and
I dont think you could walk in there and say, hey, how about $399.000, but
the way prices are dropping here, we are just going to wait it out and hopefully they will come down more! And for the previous poster who saw a
condo for $600.... We just saw a condo on the golf course here for
$399.000 in the country club. NICE area. We are watching that one too,a
couple years ago it would have went for 5 or 6 hundred thou. Not now!

Greenchili

[Mvn2nc]

Originally Posted by Greenchili

I wasnt aware that you could offer a lower price on a new property. We have
some nice new homes being built here in Lompoc and the prices are dropping
regularly. They started in the $499.000-500.000+ ranges and now are
at $453.000. Its a planned community with their own sales office,etc and
I dont think you could walk in there and say, hey, how about $399.000, but
the way prices are dropping here, we are just going to wait it out and hopefully they will come down more! And for the previous poster who saw a
condo for $600.... We just saw a condo on the golf course here for
$399.000 in the country club. NICE area. We are watching that one too,a
couple years ago it would have went for 5 or 6 hundred thou. Not now!

Greenchili

Again the original poster is talking about the Monterey Penninsula, Lompoc well that may be a different story.

[prim2007]

[quote]Originally Posted by Greenchili
I wasnt aware that you could offer a lower price on a new property.[quote]

Why can't you negotiate on a newer property? The goal is to sell it just the same which is why I wondered why some new properties are sitting for 6 months or longer. KB Homes just reported a net loss of 148.7 million so you'd think builders would cut their losses while they can as I suspect downward price pressures will continue through at least year-end.

[tigerclaws]

Originally Posted by prim2007

This is educational for me. I'm looking at a new 2006 condo (never lived in)that's been on the market for 287 days and priced at 617K (which is a reduction from a couple months back when it was $650k). I'm wondering if the builder will take an even $600K. I mean why have a brand new condo just sitting on the market for that long. The length of time on the market makes me think they haven't been open to negotiating so I'm wondering if I should waste my time.

******************************

The condo market is falling more than single family homes so you should not be ashamed to offer atleast 10% below the asking price especially if it is the builder.

[Kathleenh54]

As far as a new house or condo, you might make a deal on one that's already been built, but if it isn't built yet, you don't want them cutting corners because you didn't pay what they wanted.

Regarding the 800k house and the potential offer of 650k, I'd rethink that, if you really want the house. If you can't more than 650, then look at houses in the 700-range, give or take ten grand. The sellers of the 800k house probably have it listed at less than they'd have liked anyway. A low ball offer will upset them, their realtor and your realtor will catch flak for not bringing a 'serious' buyer. The offer will have to be submitted but expect a major increase in the counter offer. If it were my house, my counter offer would be 799k.

[Mvn2nc]

Any else notice he has'nt posted to see if he followed through on his lowball offer, i venture to say it probably did not work out.

[jmullin37]

You would be wasting everyone's time if you were to offer 150k off the asking price, including your own time. My opinion, look at homes with price points closer to what you can afford. Although the market has been a bit sluggish we still have well priced properties in our area that are getting multiple offers. Make sure that you are working with a real estate agent that will give you honest straight-forward advice and above all else, make sure you are working with a reputable lender. There are all kinds of lenders closing their doors today and working with one that you aren't familiar with could cost you.

[Consider_Again]

To the one considering offering $100k+ below the wishing price, do not believe you have to value the property the same as the seller or seller's realtor. You are not responsible for supporting someone else’s pricing perception of their homes’ value.

You can offer anything you want. They can always say no and maybe continue struggling to make ruinous mortgage payments on a hugely overpriced home. Don’t repeat other’s mistakes.

Continue doing your research.