I may have messed up home purchase!

[llkltk]

Without giving the price or any specific info, how much did you get knocked off the sticker price? 20K, 30K? If you got 10% off total, that's probably a fairly reasonable deal. Say 300K and you got for 270K. It all depends on what upgrades were in the home, was it heavily upgraded, if not, consider it a deal! They can't go down too much because it would bring down the property value of the neighbor's homes. I don't think the neighbor's would be excited about you getting a bargain basement deal. It hurts their appreciation if they paid say 300K and you paid 250K.

[achtungpv]

Originally Posted by llkltk

I don't think the neighbor's would be excited about you getting a bargain basement deal. It hurts their appreciation if they paid say 300K and you paid 250K.

Fortunately, the neighbors' feelings don't affect the real estate market. Personally, I'd be delighted to pay $100K if my neighbors paid $300K.

[llkltk]

Well that's obviously not reality, thank goodness.

[austifornian]

This is a good number to work with.

Okay, worst case, let's just say you did overpay by $15K. Obviously, you like the house or you wouldn't have made the commitment, so you get the benefit of living in a home that you like. How long to you plan on living there? Take that $15K and amortize it over the expected time you will own the house. $15K might seem like a big hit to take and it is over a 2 year period, but over a 5 year period? 10 years? Not so big a deal.

How much is that extra $15K costing you every month? At 5.75% interest, about $88/month. If you can prove your house is worth less than you paid for it to the assessor, getting the assessed value reduced by $15K will save you about $35 a month!
$50 a month is not that grim.

I still think you should get legal advise to make sure that you fully understand the contract that you are in - even with a real estate agent this is a good idea for contracts that fall outside of the standard promulgated forms - and figure out all of your outs should you really want to get out.

While you are not in a great position, you are not is such a bad position to negotiate. They do not want your earnest money, they want to sell a house. Talk to the builder, they want you to be a happy customer who is going to tell all of their friends what a great house they have bought. See if you can get them to throw in some free upgrades to help you deal with your buyers remorse, you might be surprised at how willing they are to make you happy.

You can't win if you don't play.

[achtungpv]

Instead of overpaying, I'd be worried about the potential for building out the rest of the subdivision. If the builder does sale lots off to other builders, what they build may not be what you're expecting to live next to.