is 90% offer on asking price fair by today's standards? (Chicago: real estate market, mortgage)

[asmodean]

hello,

i am relocating from Dallas. we just accepted an offer on our home, which turned out to be roughly 90% of our asking price, and below both market value and appraised value. we took the offer despite the loss, since i have to move soon.

given that the housing market in dallas is not as slow in chicagoland (our home was on the market for 6 weeks and we got about 4 offers), can i expect to place the same type of offer on houses here in chicago, or maybe even with a greater discount? is this quite common? i have quite a number of options on our short (long) list, and can probably afford to wait another 2-3 weeks

any feedback would be appreciated
thanks!

[mjpohl]

I would say no problem at all. During this real estate burst (really more of a mortgage meltdown from people buying too much house thus leading to a real estate burst) you should definetely go in at 90%. When I bought my house in arkansas we offered 89% of asking price (which was more in line with $/sq/ft in the neighborhood) and they countered back at 91% and we accepted

[aragx6]

It's also important to note that the Chicago area is a huge place. Some markets are slow, others are still moving along just fine, it really depends where you're looking, but 90% sounds about right.

[sgresident]

depending on where in the chicago market you are looking, there should be plenty of choices. there are quite a few older homes on the market as well as builder spec homes with lots of upgrades and an urgent need to sell. happy hunting!

[badman70]

Is 90% reasonable? It depends.

Asking price means nothing. It depends how much the house is worth.

Base your offer below what similar houses have been selling for over the last year. Depends on if the area is selling often or not too.

[SDM]

If you are patient and have a good agent that can help you negotiate a good price, you will do just fine. There is a lot to choose from out there and some sellers are getting anxious. You should do just fine.

[NUman]

The North Shore real estate market seems to be doing great. I bought my home for full asking price in August and I sold an investment property in Evanston for $1,099,000 only $5,000 less than Asking. Our home was on the market for 94 days and the Evanston home for only 14 days.

[mia220]

We just bid 90% on a house today. Someone else bid listing price. Guess who got it?! It had only been on the market for a week!

[NUman]

Did you get it or did the others get it?

[Rlest8]

It depends on several factors and the other terms. Many sellers would be "dancing in the streets" just to get an offer. However if the house is in an area where homes are moving and it hasn't been on the market long the buyer may want to go in a bit higher than 90%. I always encourage sellers to respond to all offers because no one knows for sure how high the buyers is willing to go.

When/Where are you moving?