An experienced realtor is going to know a price range that a home will sell for. We can't pin down the exact number but we will calculate a range by doing a comparable market analysis on an individual property.

Some realtors have designations that pertain to broker price opinions. This is a similar to what an appraiser would perform when calculating the market value for a lending institution. The value calculated by an appraiser is the maximum amount a lending institution would lend to a borrower minus the downpayment stipulated by the type of loan.

Lets say a buyer and seller agree to the price of $200,000. The buyer is putting down 20% and applying for a conventional loan at $180,000. The house would need to appraise for $200,000 or more in order for the buyer to qualify at an 80/20 ratio. If the buyer wants a seller's concession of $10,000 for closing costs than the house would need to appraise for than much more.

This information is valuable in the negotiation process simply because a seller will either need to lower the price of a home to meet this criteria or a buyer would need to come up with additional cash.The latter being very unusual in this type of market.

When you are looking for a realtor with this type of designation you will need to ask if they are RDCPro Certified and of course I am. I'm also the 2009 REALTOR of the YEAR in Ulster County.

When you are serious about shopping for a new home perhaps you may want to call me at 845-255-0019. I am available up till 9PM any day as a service to my clients who work.

DEFINITELY. Negotiation is the name of the game in real estate. A good agent can tell ou how long a $290,000 listing has been on the market, whether it has ever been listed before, and even check the tax records to find out what the seller paid for it (and when they bought it). Armed with a few facts, you can go in with a lower offer below the asking price.

In the last five years, NO buyer client that I represented EVER paid full price for a home.

I normally have my Buyer Client searches set to go about $20,000 over the top of the price range for them. I do explain that some sellers are listing a bit above the market and some are taking the advice of thier listing agents and listing closer to the market value. It just depends on the listing, motivation of the sellers, and that final price will be a matter for the negotiation process.

When a Buyer Client likes one of the house we have seen on a buyer tour I will do an individual market analysis for the property and give them my opinion of the price range that the house is worth in the market today and a range that I would begin negotiations in. It is all individualized to each house so there is no exact mathmatical formula to use.

While it is true that most homes in this area are selling for about 95% of list price that is of list price at time of sale, that does not mean the original list price. Often price reductions have occured during the listing period. The best way to look for a home is to find a good buyer's agent to help you find and negotiate the right deal for you.

Most sellers are looking for about 90 to 95% of the asking price. See how long the property has been on the market and if there have been any price reductions. You can also ask the listing agent if they have had any offers and if the sellers have rejected any offers. If they have not had any offers they might be anxious for some activity. And if they have rejected offers, the agent can tell you what was rejected so you don't waste your time putting in an offer that will also be rejected by the seller. The key here is not to waste your time on properties that will not be in your price range.