Lost bidding war in Melrose - Where should I be looking? (Boston: loan, house)

[yellowstatus]

If you like Melrose, switching areas seems really premature on account of one lost offer. Sure, maybe after a half dozen lost offers. Stay in your target market for now.

You can waive home inspection and/or mortgage contingency; these are highly attractive non monetary factors from the seller's perspective. Only you can decide your risk tolerance. I personally waived both buying two homes in Cambridge and it worked great for me. From my perspective, a problem with the home is in the thousands or tens of thousands. Major electrical or plumbing issues could reach $100k, and foundation could reach into the $100k+ range. I fully understand others who don't have the capacity to bear this risk.

[gf2020]

Have you looked at Lynnfield? Superior schools to Melrose and only a 20 minute drive to the Orange Line at Oak Grove or less than 10 minutes to the commuter rail in Wakefield.

From my impression, prices are starting to slip back a bit in most Greater Boston communities. If you were in a bidding war then the property must have been intentionally priced low.

[sawyer2]

A low asking price is often used to generate multiple offers/bidding war. Was this the case for this house? Maybe ask +$75K was still well below true market value. Your buyers agent will be able to answer this for you based on recent comps. They will also be able to find out from the sellers agent why your offer didn't make it, where it ranked etc.

Also, is this your first offer to be rejected? If yes, I wouldn't be too disheartened If you really like the town.

I would suggest looking at Belmont - excellent schools and one of the best commutes to Cambridge. However an $800K SF budget will be very tough - likely to be small/needing reno./on busy street. Arlington is another option.

I have waived the inspection a few times but i know what I am looking for and if not can bring someone with me before signing P&S. I would definitely not recommend you doing this for the older housing stock around here, unless you are knowledgeable. You could waive it and do pre-signing P&S 'inspection' and if anything comes up just walk leaving the earnest money behind ($1K)....but wouldn't be a good option in your situation.

I would recommend renting as it will give you some breathing room to better evaluate what town/wish-list is the best fit for your family. It is a big decision and I wouldn't rush into it. Appreciating the desire to be settled, but young kids are very resilient with switching schools - we have done it a few times and they are none the worse for it.

Good luck!

[alidmc]

If you are truly set on Melrose, I would keep looking. I think GF2020 is correct, the house must have been underpriced. While homes are still going over asking, it is usually by a marginal amount (5-15K). I notice a lot more homes in these areas are selling for asking or slightly under asking.
Anything in particular that draws you to Melrose? I agree its a great town, but I think it has some significant cons given its popularity. The first is the schools are not as highly regarded as surrounding communities. The second is highway access is not the greatest. To get to 93 or 128 or even Route 1, you will have to snake through some congested routes.
The best thing about the town is the downtown and the T access. Even with Oak Grove, the lot fills by about 6:45 a.m. and not many neighborhoods are walking distance. That means that you may need to take the bus, not a deal killer, but a switch from bus to orange line to redline is definitely playing commuter roulette.
There are a few commuter rail stations in town, but the same line goes through Wakefield and Reading as well. Both Reading and Wakefield have better highway access than Melrose. Reading has better schools, while Wakefield schools are probable inline with Melrose.
At any rate, best of luck with your search. It may not be easy, but you will find something.

[panchilly]

I personally hate Melrose.

The only good thing about the town is the proximity to Boston but the highway access absolutely sucks. You are much better off in Arlington IMO which offers the good 128 access in addition to Boston.

Arlington is ground zero for bidding wars so good luck.

[sal1181]

keep looking in Melrose but I would also look in Wakefield, Lynnfield & Reading

[bugelrex]

If ur very confident about neighborhood knowledge and valuations, you can use the sellee agent as your agent.

They will get double comission if you win the bid(if bidding war) and will 'guide' you through the bidding process. Note their priority remains with the seller so you better be confident on the price.

[BosYuppie]

Originally Posted by panchilly

I personally hate Melrose.

The only good thing about the town is the proximity to Boston but the highway access absolutely sucks. You are much better off in Arlington IMO which offers the good 128 access in addition to Boston.

Arlington is ground zero for bidding wars so good luck.

You've clearly never been to Turner's seafood. There's also the excellent Commuter Rail access, the walkability to Orange Line in the south, and the easy access to Route 1 on the east. Bus lines up and down Rt 28 as well

[MikePRU]

Originally Posted by bugelrex

They will get double comission if you win the bid(if bidding war) and will 'guide' you through the bidding process. Note their priority remains with the seller so you better be confident on the price.

That would be HIGHLY unethical and I would caution you against working with an agent who would do such things. If they're willing to compromise their ethics to get paid extra can they really be trusted in any fashion?

[bugelrex]

Originally Posted by MikePRU

That would be HIGHLY unethical and I would caution you against working with an agent who would do such things. If they're willing to compromise their ethics to get paid extra can they really be trusted in any fashion?

In a crazy hot market, its the only advantage a non-cash, waive inspection person has left... if they want the house VERY badly

Is it really unethical to just keep telling the buyer to keep increasing their bids in 10k increments?