Sale Price vs. Asking Price on New & Used Homes (Dollar & Percentage)

[mjohnson185]

We offered the asking price because we wanted the seller to pay the closing costs. The house needed new carpet and a little updating so the buyers agent took this approach with the seller. It worked! The houses in our neighborhood go for 99 to 102% of the sale price, so we couldn't really ask for a lower price. We also had a little bit of pressure due to the fact that houses in our neighborhood generally sale in 10 days or less and some being known to sale within a day on MLS....it's one of the only starter neighborhoods in Apex and we have no competition in our price range in Apex. You can either get a townhome in Apex, or you can buy a single family home in our neighborhood with a large backyard, hardiplank siding, ranch style plans, and great safe neighborhood for the same price. When one goes up for sale, it's fast. We felt urgency and didn't play with the price, but the sellers did agree to the closing costs. There were 4 houses that we toured in our neighborhood and when we went to closing 30 days later, all for houses had sold when we moved in.

[gibbie99]

Agreed, strongly depends on location. Some of the properties we looked at and were very interested in, were just way overpriced when you look at the dollars per square footage. There was one beautifully kept home but it was in a old subdivision, nearest store was several miles away, and it felt very deserted with a older community. And it was overpriced substantially.

And one prop was overpriced but got 4 simultaneous offers. Some areas just sell better, there's a better community around it, etc, even within a 5 sq mi radius.

If new construction is down to 87 dollars per sf that's a pretty troubling find; our home i think was 114 per sf, bought in november. From what i've been reading the new construction is just being given away at nearly any price just to get it off the hands of the builders (see the article in todays or yesterdays paper front page).

I think it just really depends, each sale is different; location is critical but so are comps. Our subdiv has held its value pretty well despite the downturn. I am guesing alot of the new construction is plummeting in value due to the buyer just dumping the properties, which is tragic.

My brother is in a a similar boat, worked for a major home builder in phoenix got 'a great deal' on a prop in the middle of nowhere that his company built, now he is $200,000 underwater. Its just unfantomable. He was a total idiot for getting the property, buying at the wrong time, selling his old house at the wrong time. Still, there are millions of people in his shoes.

He's going into forclosure this month, with three kids and being laid off he is in desparate straits. His wife still works for the city and her name wasn't on the mortgage, so all is not lost. They'll probably get an apt until he can get back on his feet.

Anyway sorry if this is a thread-jack, but i really feel for those who are losing a ton of home value thanks to the builders. Think about if your home lost half of its value overnight and you only have 20% or 25% equity; for a 200k home that's 50k in the hole you would be if you had to sell. And if they foreclose, well you are in dire straits.

[Sayantsi]

I'd like to see original price versus lowered price versus actual price. Actual price may be close to lowered price at 90% or less, but when you look at original price, actual sales price is closer to 75-80%.

[freshjiv]

We just closed on our home in North Durham. Was on the market for like 5 months at $295,000. It dropped to $289,900 about a week before we ever viewed it. Once we viewed it and decided to offer, our initial offer was 270K with $3,500 in closing. They countered at 286K, we countered at 280K, they countered at 285K, we countered at 284K, and they accepted. So we got it for $284,000 with $3,500 in closing costs paid, but then the appraisal came in at $280,000, so we got another 4K off (and still kept the $3,500 in closing costs)!! So I guess we paid 95% of their originally asking price (and we got $3,500 in closing costs paid).