Negotiating on new contruction (condo) (auctions, agent, mortgage, mortgage)

[HouseDivided]

Some background info
The condo building was built 3 years ago. 80 units were sold in the first 3 years...20 more were sold during an auction in the past 2 months. There are roughly 60 to 70 left and the builder has lowered the list prices to slightly higher than the winning auction bids in an effort to sell them. The units all come with new appliances and some of the closing costs are covered when using their lender.

With the state of the local real estate market and the economy, my brain tells me to wait a year to purchase. The problem is that renting in the area will cost just about as much as the mortgage (including tax,pmi,hoa,etc) so I'm thinking about putting in an offer.

I have read that builders would prefer to give certain concessions rather than take too much off the asking price especially since this one has so many units still to sell. Some of these that I've heard of are prepaying hoa for 1 to 2 years, allowance for paint,appliances,furniture, etc. Are there other common items I could ask for instead of lowering the asking price? I would also appreciate any other advice or negotiating tips.

I should also disclose that I have a buyer's agent (no discount) before the usual, "get a buyers agent and ask him/her" comments

[SXN]

60-70 condos still up for sale would be a red flag for me. 3+ years later and they still need to close on that many units? The builder is desperate. Makes me wonder the state of the HOA and their finances. I've been seeing alot of auctions for condos these days in my city (Chicago) and it seems like they are having the same effect as the development you are interested in. Namely, they are drumming up interest in the development again and getting buyers anxious to buy so they don't miss out on a great "deal".

Don't listen to the hard sells from the developers agents/ marketers. I was looking at a few new construction condo developments last year and they would all insist the developer is firm on the price, places are selling fast and if I use their lender I could get some crazy rate like 2.0%. Almost all those places ended up lowering their prices 30% and have come out with new price sheets. Example:
Chicago condos: Jameson reveals new pricing on Silver Tower condos

Chicago is probably not the same as your city, but just listen to your buyer's agent and lender and ignore all the gimmicks (upgrades, pre-paid assessments, lower interest) the developer is throwing out. You can always get them yourself if they are really important to you. Anyone who tells you the developer will not negotiate the price is lying. My 2 cents.

[LawoftheLand]

I encourage you to look well beyond the condo price and concessions. Potential buyers of condos need to do a lot more due diligence than someone buying a traditional single family home. The main reason is because you are buying into a home owners association (HOA), in addition to buying the condo itself. I recently wrote a 9 part series called "How to X-ray an HOA" to help people get the inside scoop before buying. You can find the series on my website, listed in my C-D profile. Good luck in your search!