Patrick C. Williams Jr.
Keystone Realty USA
Here's a piece of information to take to the seller. We are finding that with the cuorrent real estate market trend many new construction homes are not appraising for the amount the sellers are asking. This creates a problem for those individuals that are not aware of this potential and create an executed contract only to find out the home they just went to contract on for $350,000 is only worth $310,000. Banks will not finance a home that does not appraise for the selling price.
We are not saying this in the norm but it is very real and should be considered. Regardless of what you decide to offer be careful of this. Our recommendation is to insist that the builder/seller will guarantee the home will appraise for the full asking price and have this written as a contingency in the contract. A real estate professional will be able to best support you on this initiative.
If you would like the name of a really good Realtor in your area, let me know and I will recommend someone who is familiar with local sales. Gail@GailGladstone.com
There really is no general rule to follow in such a situation. Your question is a good one - however, where is the home currently priced? Once a new home is ready for occupancy, most builders today are looking to move their inventory so that they do not have the associated carrying costs (taxes, heat, electric, etc) to pay. Is this home completed? Does it have all the necessary permits at this time? For the most part, sellers are considering all offers to purchase. Only the seller knows what price they will accept. I notice that you are in Queens - is that Queens, NY? If it is and you would like representation on making your offer, please contact me at (516) 410-3594 and I would enjoy speaking with you, giving you additional information and working for you in the purchase of your home so that you pay as little as possible!
Wishing you and your family a very Healthy and Happy 2009!
Over here on the west side of the country. Builders are trying to lose limbs not their head if you know what I mean. A builder will want you to write an offer. That starts a dialogue that shows interest in their property. You have full control over what will happen with this transaction. Meaning, ITS A BUYERS MARKET. Good luck.