Making an Offer in TODAY'S Market on a $500k Asking Price

[TristansMommy]

Originally Posted by purelygeneric

Any thoughts on an initial offer for a $510 home in Floral Park?

Mid-block, 1600 sq. ft., unfinished basement, move-in condition - but nothing is overwhelmingly new. Really like the house but wouldn't be devastated if we lost it. Want to be taken seriously - but obviously want to buy as low as possible.

I'm thinking an initial offer of 12% off the asking price is a fair place to start. What do you think?

REally.. you have to offer what is in line with similar homes in the area.. THe ONLY way to really know what that is is to have a buyers broker agent.. because asking prices are all over the map (some are realistic.. some are not..a nd how can you tell when everyone on the market may be higher). If it sold more than 3 motnhs ago you can probably get away with offering and getting slightly less accepted.. but it all depends on the sellers position and how realistic they are.

Good luck

[Danomul]

Originally Posted by Chrisk327

Do you own a house Danomul? are you looking to purchase?

You may think its reasonable, to pay 343, but go and make 10 offers to buy houses listed at 480 for 343 and see how many houses you end up in contract for.

conversely, if you bought in 01 for 240, go put your house up for sale at 340.

I bought in 04 and am still above water in value. As much as i'd like for every house in the area to sell for a 30%-50% discount, I don't think its going to happen here.

The 3-5% appreciation is probably the future from a bottom out price, but I doubt that the market is going to go back and correct the 30-50% to adjust current prices to a benchmark from 2000 prices plus 3%.

I am actually in the market to purchase now, and that is the rule I am using. It worked for a friend who got a gouse for 274 (Listed at 369) in Lindenhurst And that same friends sister who purchased a house for 327K that was listed at 439K. Granted that will be harder to come by the closer you get to the city.