What should I offer on the house?

Question

I am interested in a home that cost $89,900. I'm not sure if I would like to buy it or not, we go to look at it this week. It's was build in 1993 and remodeled in 2006. It is 3 bedroom/2 bathroom. 2 car garage. 1232 sqft. As far as looks alone, judging by the pictures, I would want to replace the carpet. Everything else seems nice. What kind of offer would you make. I want to get the best price without being insulting to the seller.

Answer 1

Find out what the other homes in the neighborhood are going for first.  Houses aren't selling for very much right now so I would see how long its been on the market.  If several weeks shoot low.  Find out why they are selling? Do they need money, move out of state to be with family, house that was in an estate or a deceased relative.  This will help you determain how bad they need to sell and what you should offer.  For instance if they need cash now you should offer $70,000.

Answer 2

It's very difficult to say because of not knowing the area or what the market is like there now.  Are you using a real estate agent?  I mean your own agent, not the one that's selling the house.  They can give you comps, tell you what others are selling for and advise you in many ways.  It's worth it to check it out.

Good luck.

Answer 3

Rule of thumb is, no less than 5% under asking price. Preferably at 4% below. But 5% is ok too, worse they can say is no, then send another offer.

But never ever offer asking, unless you really want it!

Try at your goal price and work your way up. And find out how longs its been up for sale, if its been up a while, they'll likely take the 4-5% below.

ggod luck!

Answer 4

The typical first offer is usually 10% below asking and most sales end up about 6% below asking. Hope that helps, don't worry about "insulting" the owners, you present them with an offer, the accpet or reject and then you decide if you want to go up thats all.

Answer 5

Dear Heart:  Not all things are what they seem to be.  One thing is their 'asking' price and the other is your 'offering price'.  Normally sellers jack up the price so they can have some 'wiggle' room when it gets down to the real thing.  never be ashamed to 'hagggle down' a price since you are primariliy defending your investment.  Never buy by a photo of anything.  Want to be on the safe side?  Get an appraisal from a trusted professional.  There are also house inspectors that check out the place for water  damage, bad wiring, plumbing, bad heating, sick buildings termites, crappy repairs, etc. etc.  If you do decide on the place, bargain off the worn carpets for new ones.  Good Luck!

Answer 6

Have your Realtor check to see what comparable properties have sold for and formulate your offer accordingly.

If you offer within 90% of asking price, that shouldn't insult the seller.