Want to make an offer in a buyers market (Plymouth: for sale, real estate)

[Scotchiro]

I will soon be moving to the area and will want to make some offers on a home. In the upper 300 to low 400 listings what is likely a "good" offer to start with? 2 potential areas - Chaska/Waconia or Andover/Blaine. Is any area more prone to have people accept a low offer? I know there are many variables, but is there any general recommendations that anyone is familiar with? Words on the street?

[shoni]

We are currently trying to sell our home in Chaska but in a higher range than you're looking. What I've noticed and in talking to realtors over the last 6 months is that serious sellers have already reduced their price to reflect current market conditions. Our realtor told us to expect a 97% offer on a house that's priced as a good value compared to similar houses.

Most selling activity has been to people relocating to the area. Check out comps. before making an offer. Use a good realtor to help you decide a fair offer.

By the way, Chaska is a great area. Great schools, parks, walking and biking trails. Beautiful community center, close to shopping, easy access to freeways. If you want any more info. on Chaska, I would be happy to tell you about our 6 years in the community.

[sfw1979]

Originally Posted by Scotchiro

I will soon be moving to the area and will want to make some offers on a home. In the upper 300 to low 400 listings what is likely a "good" offer to start with? 2 potential areas - Chaska/Waconia or Andover/Blaine. Is any area more prone to have people accept a low offer? I know there are many variables, but is there any general recommendations that anyone is familiar with? Words on the street?

I think it will depend on each house as far as how long it's been on the market, what they paid for it and how desperate they are to sell. check out ZipRealty Real Estate -- Homes for sale and local real estate agents it tell you there...good luck! Your def in a buyers market so it should be fun!!!!

[nick is rulz]

Originally Posted by sfw1979

Your def in a buyers market so it should be fun!!!!

if by "buyers market" you mean "glut of overpriced houses with little market price shift and no buyer confidence due to rationality trumping frenzied notions of the absolute need to own a home" then yes, the market is rock n' roll awesome right now.

[moving123456]

Originally Posted by nick is rulz

if by "buyers market" you mean "glut of overpriced houses with little market price shift and no buyer confidence due to rationality trumping frenzied notions of the absolute need to own a home" then yes, the market is rock n' roll awesome right now.

That sounds about right.

[SlyFrog]

Originally Posted by nick is rulz

if by "buyers market" you mean "glut of overpriced houses with little market price shift and no buyer confidence due to rationality trumping frenzied notions of the absolute need to own a home" then yes, the market is rock n' roll awesome right now.

Agreed. "Buyers market" apparently implies cities full of $800,000 houses (Plymouth/Wayzata, Minnetonka, Edina, etc., I'm looking at you) where buyers are recognizing the market has changed, and are therefore making the painful price concession to offer their homes for sale for $795,000.

To be fair though, you can be 35-45 minutes out in Eagan or Apple Valley and get a decent home for only $595,000.

My personal favorite so far is a home I know about in Apple Valley. Located on a relatively busy street corner (a two lane leading into a subdivision, but the cross-road is a four lane), their neighbor's home has not sold in about a year and a half on the market. I've seen it, nice home, just overpriced at first $650,000, then $600,000, then $589,000 (still overpriced). So these guys who across the street but on the same street corner (corner lot with the four lane) price theirs at $649,000. It's basically the same damn house as far as I can tell, just across the street.

Surprisingly, it has not sold. They have recently made the whopping concession to lower their offering price to $638,000.

All this for a fungible McHome built in the 80s.

[Scotchiro]

Well then, by how much are homes "over-priced" in the area. I am not there now and have not been for 5 years. I know most people are going to try to get what they think the house is worth (who wouldn't?). However, how much lower can one go on an initial offer? I am thinking 20% off of asking to start. There have gotta be some people willing to take an offer in this range.

[nick is rulz]

take em to the cleaners.

offer at least 20% less than advertised. Every time the realtor calls and hounds you about it, knock another $500 off the price you're willing to pay...then, just to screw with them further, call off the closing three days in advance saying you found something better and see what they offer as an incentive.