If your top price, for example, is $140,000, then you should look at homes priced at $140,000 and under.
Lyon Real Estate
There is a 'perfect storm' for buying real estate today more than any other time in history. Mortgage rates are at an all time low, and home prices are at an all time low considering the value of today's dollar. There has never been a better time to afford a home. The challenge is inventory.
If you are thinking that by trying to negotiate a 'better deal' by offering lower than market value, you will find some seller that will agree, I will bet money that you will miss the market. There are 15 buyers for every home that's priced correctly in the market. If you aren't offering market value (or above), one of the other buyers will be.
Trust your realtor and hopefully you'll be the lucky buyer on a home that you'll love.
I am assuming that you are looking at new construction.
1) Your agent is best equipped to talk price with the builder rep as
it's not a matter of asking about price.....it's presenting the case for
the reduced value to the builder. Have your agent check county records
to see if the builder has sold the model you are interested in at a lower price.
2) Builders are VERY reluctant to sell cheaper than asking as that
devalues all the rest of their inventory. You are more likely to get them
to give incentives such as paying closing costs or buying down the
interest rate, etc.
I would also agree that if your price tops at $140k, you will have less heartbreak
if you stay at or below that price......and know that in this market it is not unusual
that a $140,000 home is selling for $150-160,000.
Entertain is a funny word.
Buyer to seller " Will you entertain my offer of $140,000" Seller: "Yes, I'll entertain it, but I won't accept it."
Oh, of course use your Realtor. Talking to builders and sellers and listing agents for their buyer is a Realtors job.
It all depends if you are the only interested buyer with an offer, or if there are other buyers who are also interested in the same development. Competition will bring the purchase price up, and we, as realtors, are trained and educated in sales as well as negotiation techniques in order to be able to help our clients achieve their goals and dreams of owning a home with the absolute best price possible.
If you are already working with a realtor, it would be in your best interest to have him/her contact the development office and get more information for you.
Good luck and hope you are successful with whatever you decide to do. Marina at VasTree Real Estate in Los Angeles.
If you need more information, I can be reached at firstname.lastname@example.org.