Questions on placing a bid on a house??? (jumbo loan, houses)

[sirtiger]

Originally Posted by TomMoser

Buying and selling homes is still a highly human endeavor. I have many times seen buyers not get the home that they want because they insulted the home seller. I have also seen sellers chose a buyer and even accept a lower offer just because they like the buyer. This is especially the case with older sellers who have raised a family in the house. For reasons like this, negotiations are best left to professionals who understand the psychology of negotiation.

This actually happened to me.

When I bought my home a few years ago, there were buyers who made higher offers than me. The seller really liked us and felt I would take care of their home of 18 yrs. They raised 3 children there and there is emotion involved when it comes to sell your home.

[mambwe]

Originally Posted by sirtiger

This actually happened to me.

When I bought my home a few years ago, there were buyers who made higher offers than me. The seller really liked us and felt I would take care of their home of 18 yrs. They raised 3 children there and there is emotion involved when it comes to sell your home.

I hoping something like this will happen to me. We are both young, 27 & 26, and this will be are first home together. So, we are hoping to get some sympathy and they will accept a bid that might be lower than others. We love the house but the asking price is just outside of our ideal range. We'll see what happens.

[Kbinspections]

Buying and selling homes is still a highly human endeavor. I have many times seen buyers not get the home that they want because they insulted the home seller. I have also seen sellers chose a buyer and even accept a lower offer just because they like the buyer. This is especially the case with older sellers who have raised a family in the house. For reasons like this, negotiations are best left to professionals who understand the psychology of negotiation.[/quote]

Teriffic point Tom, it is so true. Agents are a key componet in making the deal actually happen.

[monkeygorilla]

Originally Posted by KarenBo

I've heard varying statements about the buyer's agent. On the one hand, I see where it would be useful to have someone who can do things like run comps, etc., to get the best price for the buyer... but then again, if the buyer is paying the agent doesn't that just drive up the costs in that respect? People who have recently bought homes have told me completely opposite advice on the matter so I just can't decide whether to have one or not.

We closed on a house recently & we feel not having an agent worked in our favor. Regardless of who is paying for the buyer's agent, SOMEONE pays, and that will drive the price up. I am sure the seller's agent pushed the sellers to sell the house to US because he didn't have to share his commission. I can see how agents would be useful to some buyers, but in our case an agent would probably have been a hinderance to getting the deal done. Oh, and we ran comps ourselves...quite easy to do online these days, actually.

[maisy123]

I believe that the housing market is near the bottom. Expect prices to stay flat for the next 12-18 months and then begin ticking higher. If in fact this house has only been on the market for three weeks then consider discounting your bid by 12-15%. That should get you a counter. A couple looking to retire probably has a lot of emotional equity in this house and would not respond to a lowball bid. Also keep in mind that mortgage rates are near historic lows again and your real savings will be borrowing half mill at these levels over 15 or 30 years. Good luck.

[mambwe]

I just tried calling one of the large banks to ask them about their mortgages and what they offered. For some reason they are telling me that I can't get the type of mortgage that I am looking for. They are talking about some NY state law or something like that.

A few weeks ago I went into my local bank (a different bank) and spoke with their mortgage specialist. They told me about this loan and offered it in a larger amount than I was asking for. I guess they knew the laws and the other bank did not.

I guess you shouldn't waste your time calling the 800 number of a bank. Its much better to go to your local branch and speak with a mortgage specialist that lives and works in the area you are trying to buy in.

[TomMoser]

Originally Posted by mambwe

I just tried calling one of the large banks to ask them about their mortgages and what they offered. For some reason they are telling me that I can't get the type of mortgage that I am looking for. They are talking about some NY state law or something like that.

A few weeks ago I went into my local bank (a different bank) and spoke with their mortgage specialist. They told me about this loan and offered it in a larger amount than I was asking for. I guess they knew the laws and the other bank did not.

I guess you shouldn't waste your time calling the 800 number of a bank. Its much better to go to your local branch and speak with a mortgage specialist that lives and works in the area you are trying to buy in.

Many of the mortgage products that were available just a short time ago are gone. Particularly those requiring little or no income verification.

[mambwe]

It was a standard mortgage. Nothing tricky like no income verification.

[I_Love_LI_but]

Even though prices are going down, I think your particular sellers will not be flexible, as their house has only been on the market 3 weeks. Wait a couple of months and make an offer then. As you read through the up to the minute list below, you will see there are still sellers who expect to make huge six-figure profits in only a few years of home ownership.

The tried and true formula for the appreciation of a home is it appreciates an average of 3%-5% for every year of homeownership. If the home has serious upgrades, additions, etc., the value goes higher for that.

As you can see by looking at this list, some of these sellers are way out in dreamland (unless of course there is a combination gold, platinum and diamond mine on the property). There are extremely greedy people asking approximately DOUBLE what they paid a few short years ago on here (25 Saturn Ct, 68 Garden Cir, 6 Henni Ct, 39 Candy Ln [asking over 3x what they paid in 2000], 34 Renee Rd). However many of the people on this board feel sorry for the poor sellers, after all, they can't just "GIVE their houses away!" Yeah right. But it was okay when the home prices swelled to more than what a lot of middle class people could afford. However, now that we are in a downswing nobody wants to adjust to those prices.

You will also find examples (49 Candy Ln and 80 Church St) of people who bought at the peak of the bubble (2005/2006) and are now trying to unload the house for less than they paid.

Recent SALES comps mean nothing in this market as they are all several months old. It takes around 3 months (if all goes smoothly) to go from offer accepted to sold. If you want to look at comps, ask for COMPS OF RECENTLY ACCEPTED OFFERS to see what's going on right now.

The bottom line is a house is only worth what somebody is willing to pay for it.

mls#1966545
93 Miller Blvd, Syosset, NY
-7.85% change from first recorded price
Asking Price $599k as of 01/23/2008
Asking Price $619k as of 11/08/2007
Asking Price $630k as of 09/26/2007
Asking Price $645k as of 08/21/2007
Asking Price $650k as of 07/15/2007

mls#1994112
90 Hillside Ln, Syosset, NY
-3.4% change from first recorded price
Asking Price $569k as of 02/08/2008
Asking Price $589k as of 08/25/2007
215 days on the market

mls#1997455
101 Hillside Ln, Syosset, NY
Asking Price $825k as of 09/02/2007
Previously Sold in 2000 for $206k
204 days on the market

mls#2005732
8 Dorcas Ave, Syosset, NY
-7.42% change from first recorded price
Asking Price $499k as of 03/11/2008
Asking Price $539k as of 09/26/2007
Previously Sold in 2001 for $330k

mls#2005789
12 Edna Dr, Syosset, NY
-6.68% change from first recorded price
Asking Price $699k as of 11/17/2007
Asking Price $725k as of 10/26/2007
Asking Price $749k as of 09/26/2007

mls#2009139
6 Searington Dr, Syosset, NY
Asking Price $979k as of 10/05/2007
Previously Sold in 2004 for $650k

mls#2010856
25 Saturn Ct, Syosset, NY
-2.67% change from first recorded price
Asking Price $729k as of 03/13/2008
Asking Price $749k as of 10/11/2007
Previously Sold in 2002 for $461k

mls#2013925
196 Syosset Woodbury Rd, Syosset, NY
+0.125% change from first recorded price
Asking Price $800k as of 03/15/2008
Asking Price $849k as of 01/22/2008
Asking Price $799k as of 10/19/2007
Previously Sold in 2004 for $682k

mls#2016439
11 Maple St, Syosset, NY
-4.55% change from first recorded price
Asking Price $525k as of 12/15/2007
Asking Price $550k as of 10/31/2007

mls#2017756
33 Willets Dr, Syosset, NY
-6.32% change from first recorded price
Asking Price $430k as of 11/29/2007
Asking Price $459k as of 11/01/2007
Previously Sold in 1993 for $177k

mls#2020126
20 Sexton Rd, Syosset, NY
-4.85% change from first recorded price
Asking Price $589k as of 01/10/2008
Asking Price $619k as of 11/08/2007

mls#2025755
274 Southwood Cir, Syosset, NY
-3.85% change from first recorded price
Asking Price $649k as of 03/14/2008
Asking Price $675k as of 11/29/2007

mls#2025181
7 Deborah Ct, Syosset, NY
-5.07% change from first recorded price
Asking Price $749k as of 02/26/2008
Asking Price $759k as of 01/10/2008
Asking Price $789k as of 12/01/2007
Previously Sold in 2006 for $713k

mls#2023372
68 Garden Cir, Syosset, NY
Asking Price $919k as of 12/04/2007
Previously Sold in 2005 for $585k

mls#2025554
49 Candy Ln, Syosset, NY
-2% change from first recorded price
Asking Price $490k as of 01/15/2008
Asking Price $500k as of 12/05/2007
Previously Sold in 2005 for $497k

mls#2029136
15 Calvin Ave, Syosset, NY
-2% change from first recorded price
Asking Price $734k as of 03/04/2008
Asking Price $749k as of 12/13/2007
Previously Sold in 2006 for $668k

mls#2026818
4 Maryetta Ct, Syosset, NY
-3.12% change from first recorded price
Asking Price $620k as of 03/23/2008
Asking Price $640k as of 12/14/2007
Previously Sold in 1999 for $297k

mls#2033848
8 Willets Ave, Syosset, NY
-1.52% change from first recorded price
Asking Price $649k as of 01/10/2008
Asking Price $659k as of 01/05/2008

mls#2034236
4 Willets Dr, Syosset, NY
-5.67% change from first recorded price
Asking Price $499k as of 01/23/2008
Asking Price $529k as of 01/06/2008
Previously Sold in 1995 for $205k

mls#2037117
15 Warren Dr, Syosset, NY
Asking Price $699k as of 01/15/2008
Previously Sold in 2004 for $640k

mls#2037926
16 Preston Ln, Syosset, NY
Asking Price $524k as of 01/17/2008
Previously Sold in 2001 for $345k

mls#2038331
67 Syosset Cir, Syosset, NY
-1.96% change from first recorded price
Asking Price $499k as of 02/12/2008
Asking Price $509k as of 01/17/2008
Previously Sold in 2003 for $355k

mls#2037478
6 Henni Ct, Syosset, NY
Asking Price $949k as of 01/19/2008
Previously Sold in 2003 for $558k

mls#2038162
14 Queens St, Syosset, NY
Asking Price $490k as of 01/24/2008
Previously Sold in 1992 for $140k

mls#2029853
5 Greenway Cir, Syosset, NY
-1.55% change from first recorded price
Asking Price $697k as of 02/01/2008
Asking Price $708k as of 01/24/2008
Previously Sold in 1995 for $140k

mls#2040930
80 Church St, Syosset, NY
-1.54% change from first recorded price
Asking Price $639k as of 03/08/2008
Asking Price $649k as of 01/25/2008
Previously Sold in 2006 for $693k

mls#2034281
15 Harriet Dr, Syosset, NY
-2.3% change from first recorded price
Asking Price $849k as of 03/21/2008
Asking Price $869k as of 01/26/2008
Previously Sold in 1998 for $360k

mls#2042505
17 Holly Dr, Syosset, NY
-4.77% change from first recorded price
Asking Price $599k as of 03/08/2008
Asking Price $629k as of 01/30/2008
Previously Sold in 1999 for $324k

mls#2041922
2 Maple St, Syosset, NY
Asking Price $789k as of 01/30/2008
Previously Sold in 2003 for $600k

mls#2038412
2 Russell Park Rd, Syosset, NY
-2.69% change from first recorded price
Asking Price $579k as of 02/13/2008
Asking Price $595k as of 01/31/2008

mls#2042784
25 Belvedere Dr, Syosset, NY
Asking Price $1.57M as of 01/31/2008
Previously Sold in 1995 for $485k

mls#2043145
29 Leonard Rd, Syosset, NY
-3.06% change from first recorded price
Asking Price $475k as of 03/06/2008
Asking Price $490k as of 02/02/2008

mls#2043537
1 Martin Pl, Syosset, NY
-4.09% change from first recorded price
Asking Price $609k as of 03/25/2008
Asking Price $619k as of 03/19/2008
Asking Price $628k as of 02/14/2008
Asking Price $635k as of 02/02/2008
Previously Sold in 2005 for $520k

mls#2045170
2 Marsak Ln, Syosset, NY
-1.67% change from first recorded price
Asking Price $589k as of 03/18/2008
Asking Price $599k as of 02/07/2008

mls#2047512
39 Candy Ln, Syosset, NY
Asking Price $839k as of 02/14/2008
Previously Sold in 2000 for $220k

mls#2046061
28 Center Dr, Syosset, NY
-3.34% change from first recorded price
Asking Price $579k as of 03/12/2008
Asking Price $599k as of 02/15/2008

mls#2048020
8 Valley Rd, Syosset, NY
-5% change from first recorded price
Asking Price $760k as of 03/08/2008
Asking Price $780k as of 03/02/2008
Asking Price $800k as of 02/19/2008
Previously Sold in 1998 for $300k

mls#2043682
229 Miller Pl, Syosset, NY
Asking Price $495k as of 02/21/2008
Previously Sold in 1991 for $183k

mls#2046823
18 Martin Pl, Syosset, NY
Asking Price $749k as of 02/21/2008
Previously Sold in 1991 for $220k

mls#2049707
34 Renee Rd, Syosset, NY
Asking Price $1.1M as of 02/22/2008
Previously Sold in 2004 for $522k

mls#2051301
264 Split Rock Rd, Syosset, NY
-2.76% change from first recorded price
Asking Price $845k as of 03/21/2008
Asking Price $869k as of 02/27/2008

mls#2051841
46 Berkley Ln, Syosset, NY
Asking Price $599k as of 02/28/2008
Previously Sold in 1993 for $220k

mls#2052341
102 Georgia Dr, Syosset, NY
Asking Price $899k as of 03/01/2008
Previously Sold in 2006 for $528k

mls#2053297
29 Miller Blvd, Syosset, NY
Asking Price $499k as of 03/04/2008
Previously Sold in 2004 for $445k

mls#2053227
45 Whitman Ave, Syosset, NY
-2.52% change from first recorded price
Asking Price $619k as of 03/25/2008
Asking Price $635k as of 03/04/2008

mls#2018459
238 Jackson Ave, Syosset, NY
-3.9% change from first recorded price
Asking Price $739k as of 03/21/2008
Asking Price $769k as of 03/04/2008
Previously Sold in 2005 for $685k

mls#2060209
41 Robert Cir, Syosset, NY
-2.44% change from first recorded price
Asking Price $799k as of 03/25/2008
Asking Price $819k as of 03/24/2008
Previously Sold in 1997 for $264k

[Ziggi813]

It is quite a frightening U.S. Economy right now! (And only getting worse) Lenders are not lending money anymore. It is very hard even for the utmost of qualified individuals who have 800 + credit, and are placing 20% DOWN to get a mortgage! I would highly recommend in any contracts that a "mortgage contingency" be included. (Meaning the sale is based on the important fact that the buyer is able to get a mortgage). You may also want to keep in mind that the property needs to appraise for the loan. (If you are buying a property for 600K and in this market it only appraises for 500K; you have to come up with the additional 100K b/c the bank won't give it to you.) This is a big problem now in this econonmy. Food for thought as our family just went through all of this in the last couple of months. Good luck.