Hesitant first time home buyers needs help...

[emm74]

Zestimates are worthless, and assessed value is not correlated with market value, at least not in Denver. In some markets, I think they are more closely related.

Your real estate agent should be able to give you a competitive market assessment, which will give you some ball park idea of a reasonable offer.

[Gamecock2001]

Originally Posted by emm74

Houses don't sell for "estimates" - by which I am guessing you mean asking price? They sell for what the market will bear and right now, it's definitely a seller's market. If you keep getting outbid, I'm guessing you are looking at things at the high end of your range? Try looking for something a bit below that price and then come in with an offer that is 5-10K above asking. Hopefully, that way, the next time, you will be the one to outbid the people who are bidding lower than you.

Since this is definitely not your forever home, it doesn't need to be perfect and have everything you want.

Our first bid is something we should've been more aggressive on. We still asked near 10k over. Though the person who got it paid full cash so maybe we didn't stand a chance.

Yeah we have been looking something towards the lower/mid end of our budget and asking 5-12k over in some cases. It's just tough and frustrating feeling a bit clueless as a first time buyer in an insanely competitive market. This thread has actually helped a lot, so thanks everyone!

Side-note: Our Realtor thinks are lender may not be ideal and suggested looking elsewhere. Does anyone have a great recommendation?

[Gamecock2001]

Originally Posted by davebarnes

Just look at the first chart here http://www.city-data.com/forum/38330356-post218.html and tell me how it is going to get better for buyers. Inventory would have to TRIPLE for anything approaching a balanced market to appear.

That does help, sheesh the demand is going to be even more insane. I may be better off in a couple months for a small increase in inventory so I can find something that doesn't have 7+ offers within 2 days.

[emm74]

Reading stories like these of people making offers on multiple houses and getting outbid makes me glad I bought my new construction house. No wheeling and dealing but I just had to say yep, I'll take it, sign the paperwork and it was a done deal!

OP, I'm not sure of all of your requirements and preferred location, but there is actually a fair amount of new construction in Stapleton that would be in your price point (as long as you don't go crazy with upgrades) if that has any interest for you. Townhouses, paired homes (duplexes) and some single family homes.

http://www.stapletondenver.com/find-your-home/

I would assume there are other new construction areas as well, although I am not personally familiar with them. But maybe that's a way to get what you want without getting outbid again?

[davebarnes]

Originally Posted by emm74

Reading stories like these of people making offers on multiple houses and getting outbid makes me glad I bought my new construction house.

I have seen multiple offers on new construction in northwest Denver.

[Mystery123]

Estimates are based on considering mainly similar house sold in the area.
But the bad part is all the recently sold houses will look cheaper in a market that's constantly going up.

There was a huge house for $325.
I offered $312.
Never heard back.
After few months I checked online and it was sold for $345.
Looks like looking for deal days are gone in housing market in Denver.

[lurtsman]

Originally Posted by Gamecock2001

Side-note: Our Realtor thinks are lender may not be ideal and suggested looking elsewhere. Does anyone have a great recommendation?

I recommend "Not USAA". I use them for most of the services they offer, but their mortgage writing department is a cluster****. I used them when I was getting my mortgage. I went over everything very clearly with them in advance. Since I work in finance, I'm kind of anal that way.
Edit: Reducing personal disclosure.

In short, USAA screwed the process up and would have botched the entire transaction if I didn't tell the employees that it was blatantly unacceptable and that I expected them to work overtime that night to fix their mistake. They did the smart thing and put in the overtime to solve the "problem" that their department had created.