The Offer....... (house, neighborhood, to buy)

[JimmyO]

Do not forget that it is in your agent's best interest for the house to sell for more money, since they get a cut of the commission. I'm not saying that all agents are out to screw their buyers, but they will almost certainly encourage you to be more conservative with your starting point.

It's a crazy buyers market out there, prices are still falling, and we're heading into a slow time of year for sales. Lowball the heck out of everyone and see what sticks. Of course that means you can't get too emotionally attached to any one house on the market - but remember: a house doesn't make a home.

[VickiR]

Originally Posted by JimmyO

Do not forget that it is in your agent's best interest for the house to sell for more money, since they get a cut of the commission. I'm not saying that all agents are out to screw their buyers, but they will almost certainly encourage you to be more conservative with your starting point.

It's a crazy buyers market out there, prices are still falling, and we're heading into a slow time of year for sales. Lowball the heck out of everyone and see what sticks. Of course that means you can't get too emotionally attached to any one house on the market - but remember: a house doesn't make a home.

We have already discussed that a GREAT Agent wants her buyers to get the best deal that is out there.

We have already discussed that saving a buyer $1,000 is much more important than having the buyer pay $1,000 MORE so that an Agent can make between $12.00 to $24.00 more. Think about it.

Being educated to how Real Estate works is crucial for all buyers and sellers.

Vicki

[dansdrive]

The simple answer is offer exactly what the house is worth to you. Not a penny more or less.

The complicated answer is finding out exactly what the house is worth to you and is that price higher than the neighborhoods going rate? If it is and the house offers more than the neighborhood homes that is not a bad thing. If it is higher and offers nothing more than your neighborhood homes you are offering to much.

There is NO perfect answer, research by you and your Realtor will give you an educated guess on what to offer.

Any house is only worth what a 'Buyer' is willing to pay for it at that moment, no more or no less!

[boocake]

I agree with the person who said, if the other 2 houses are so similar, then why not focus on those? Or is there something about THIS one that makes it so much more attractive -- and if that's the case then maybe it SHOULD be priced higher...right?

[JimmyO]

Originally Posted by VickiR

Being educated to how Real Estate works is crucial for all buyers and sellers.

Absolutely. It is especially important to be educated as much as possible by resources that DO NOT have a vested interest in the outcome.

To the original poster: The points made about taking a serious look at the similar houses that have been on the market longer is a very good one. The market is very wacky right now, and the bottom line is that NObody knows where exactly it's headed, "educated" or not.

[ceili723]

Thanks for all the replies! We have festered on it, chewed on it, and done more math than (I at least) have done since college. I'm ready to put an offer in. From what I can gather, there's not that much interest in the house so far... if they take it, great, if they don't, maybe we'll try again in a few weeks assuming no one else bites.

A few people suggested looking into the other houses in the neighborhood that are also for sale. Well, one is under contract and the other has a floor plan that is nice but could lead to lots of Bad Behavior from my kids (climbing, throwing, etc.) so that money we would save would be spent on Paxil, alcohol, etc...... while I dodged objects being flung from above.

[VickiR]

Originally Posted by ceili723

Thanks for all the replies! We have festered on it, chewed on it, and done more math than (I at least) have done since college. I'm ready to put an offer in. From what I can gather, there's not that much interest in the house so far... if they take it, great, if they don't, maybe we'll try again in a few weeks assuming no one else bites.

A few people suggested looking into the other houses in the neighborhood that are also for sale. Well, one is under contract and the other has a floor plan that is nice but could lead to lots of Bad Behavior from my kids (climbing, throwing, etc.) so that money we would save would be spent on Paxil, alcohol, etc...... while I dodged objects being flung from above.

Smart woman! What can it hurt to try? If they say no...just like you said, you wait and maybe try again. In the meantime, keep looking. You may just end up where you were meant to end up! Just say NO to drugs!!!

Vicki

[duhrambull]

Originally Posted by VickiR

Smart woman! What can it hurt to try? If they say no...just like you said, you wait and maybe try again. In the meantime, keep looking. You may just end up where you were meant to end up! Just say NO to drugs!!!

Vicki

I do not think it is a good idea to put in an offer to an overpriced house so early.
The seller will have your offer in mind and refuse to lower the price to the fair level anytime soon.
Just wait and be reasonable...

[goat1of2]

Question:

Can an offer be made and left to "float"? That is, you make an offer which has no expiration conditions. If/when you find another property you want to make an offer on, you call the agent for this house and say "we're retracting our offer, effective immediately". Of course, during the float period, the seller may accept your offer in which case you must go through with it.

[monkeyboy]

Offer what you think it is worth to you, realizing your offer is the starting point of the negotiation and the final price will probably be higher. Worst case is they don't counter, so then you wait a few months and possibly try again if it's still there...houses are like trains, there's always another one.

Also, I'd inquire as to the dates associated with the comps, comps from a year ago would need adjustments....