How much under the asking price would you offer when buying a house?

Question

We are trying to buy a house that is owned by the bank and i would like to know house much under the asking price should we offer?

Answer 1

Why would you assume that you should offer LESS than the asking price ?  Perhaps the bank priced it way below market to attract numerous offers.  I have encountered that several times in the past few years.  One in particular sticks in my mind, when there was a nice property offered for $175K.  I advised the buyer to write $15K OVER asking, and he didn't get the property.  It sold for $20K over asking.

Get a buyer's agent and have that agent prepare comps for you so that you know what the property is worth on the market.  Then gauge your offer accordingly.

Answer 2

Well, the banks need to sell the houses as fast as they can because it would just cost them money the longer they keep it. So you can offer half the asking price as the minimum. Because bank owned properties are very damaged sometimes and you need the money to fix it up. So my uncle offered half the asking price on a bank owned house that has been on the market for a while and then he got it. So depending on the damage the house has, you can lower the offer.  Good Luck and hope i helped.

Answer 3

Know this:  Realtors NEVER use a percentage as a guidline or even consider it.

It's all about the comps.

Answer 4

I would sit down with my buyer’s agent and go over a CMA of similar homes that have sold recently and that are currently under contract to get an idea of this home’s value. From that I would gauge if the listing price is a fair one, trying to take into account what I think repairs would cost  because the bank isn’t likely to make any.