Upper Saddle River Home (for sale, 2009, house)

[New2McKinney]

We're thinking of purchasing a new construction home in USR. This home is assessed at around 559K (2009). It's listed in the mid 800K, and has been on the market for about 6 months and exterior is beginning to look run down. We would like to make an offer but not sure if we'd be run out of town if we bid 15-20% less the asking.

[nemmert]

Bid what you feel the home is worth... it's that simple... if the seller's aren't interested they'll say no... while I don't watch the news, I'm fairly confident it's been a while since a lynch mob was formed to chase anyone following a home offer

The problem with homes is there is no absolute way to determine value... the value is quite simply what someone is willing to pay for it. Two identical homes may sell for $20k difference because a buyer likes the exterior color that much more. When you look at all the variables between any homes it's really darn near impossible to mathematically formulate a real value. All you can do is look at the trends of homes similar which will give you a range of values. The higher you are within that range the more likely a seller is to accept the offer.

[luckyshoes]

So, I'm estimating, if the house is listed at 850K, you want to offer 700 or so? It doesn't cost you anything, other than some trees dying, but you're not going to get the house most likely.

Don't use the tax assessment. Use recent sales comps.

Offer whatever you are you willing to pay for the house. It's an offer, and your realtor has to present it.

You obviously decrease your chances, the farther you go from the asking price.

Will they accept an offer 15-20% below asking? I'd say 99.99% No, but if that is all you are willing to pay, so be it.

Sellers usually have to come down on their own via the listing price. And who knows, it could be worth what it is listed for now. That's the thing about this market now, everyone thinks that every house is overpriced, but not so.

My one tip would be, if you do put in a lowball, even 5-10% below asking, actually for any offer, don't try to offer justifications for the offer. People just argue with you, including your own agent.

Also, when you're hitting lowball territory, make your best offer first and just stick with it and tell your realtor that is it. They are going to come back with a counteroffer, so you might as well just make your offer and stick with it.

Good luck.

[exsci teacher]

Also remember that the high point of the market has passed and someone with a home for sale is looking at the winter doldrums

[clevedark]

That low assessment could work for you in lowering your taxes, so that's actually a gift if the home is indeed worth more than 559K.