What % Below Asking Price Are You Offering Builders? (Atlanta, Alpharetta: sales, real estate)

[2angels]

With the market the way it is, most builders are willing to negotiate.

What percentage below the asking price are most people offering for new builds?


I am a realtor in AZ and typically it's 5-8% below asking price, depends on the builders...any feedback would be great.

Thanks!

[Need_affordable_home]

Im not sure they will lower the prices any more, prices are already so low! Some developers are selling huge 3000 living square feet 5 bedroom with basement houses as low as $199k!

[Figment 07]

Originally Posted by Need_affordable_home

Im not sure they will lower the prices any more, prices are already so low! Some developers are selling huge 3000 living square feet 5 bedroom with basement houses as low as $199k!

Within a reasonable commute of Atlanta? (Keep in mind that I don't consider an hour reasonable.)

I've heard of builders offering freebies and upgrades for contracts and even offering the services of design professionals to stage the buyer's current home and help it sell faster, but slashing prices for new Atlanta homes? Not so much... yet. So, please, what have I missed?

[Need_affordable_home]

I think it was pretty close to Atlanta. Theres affordable houses right in Atlanta but the crime is terrible anyway, you want a safe suburb. Seeing that you can get a brand new builder's house less than an existing house, I see no reason why the builders will lower their price, they are competing with the sellers and their used houses

[Go Blue 99]

This isn't true (as far as I know) in Alpharetta. New homes are highly priced..I've only seen one new subdivision with houses under $325k, and that is in the "bad" part of the town. Real estate here seems to be very hot...I'm guessing it's coming from people who want to live near the alpharetta office parks.

[Russ_in_Atlanta]

Good houses and builders can be hard to find. Right now there are soooo many discounts and incentives being offered from the builders and because its a buyers market there IS a little room to nego. in most cases. It does depend on the area though.
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[cpowers21]

Most aren't negotiating price, but they are throwing in all the extras. One home builder was stuck with several spec homes here, until he dropped the price 30 to 40 k. They were at 240-270....the lowest was 199,900 after...

[Philagirl]

We've been offered $7,500 worth of free upgrades to build a place in Johns Creek, but the offer expires at the end of the month. (They were only offering it in the slower months.) Otherwise, we've heard that builders are not being flexible at all.

[jxu66]

John's creek is highly desireable due to NorthView and Chatthoochee school districts. I heard that a lot of people want to buy houses only in NorthView high and Chattohoochee. Heck, if I have a kid, I probably move to either of school district as well. In other location, the builder should be more flexiable. It really depends on location.

[jasondgillis]

I'm a builder NE of Metro Atlanta....in this market I assure you builders will take offers as low as 20 or 30% below the originally sales price. Keep in mind that the current sales price may already be reduced substantially. What dictates the bottom line for most builders is the construction loan payoff. Right now if a builder can take the construction loan payoff and ad the real estate commission then that figure equals his bottom line but it depends on how desperate he is to get rid of that home. Ever dollar he gets over that amount is money is his pocket. If the bank forecloses on the construction loan he would get nothing. His bottom well is more than likely well below the actual cost of the house. It could be as much as 20 or 30K or more below the actual cost to build that home. It's all about puling out equity. This is a once in a lifetime opportunity to buy a new home and put tens of thousands of equity in your own pocket and help a builder in the process..........