how much should i bid on a house that is $115,000 but valued at $140,000?

Asked by Babz, Austin, TX Wed Jun 6, 2012

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8
Clint Frerich, Home Buyer, Bastrop, TX
Thu Aug 30, 2012
The first thing you should do is go to the county clerks website and look up the note and deed of trust. This will tell you how much the bank has left on the note. Once you know the payoff, then you can decide how much you want to offer. You also need to realize that just because its listed for $140,000 does not mean that its worth that much. The home is only worth what someone is willing to pay for it. Probably the most important thing is to find a very exprierienced Broker to help you make this decision. Nobody will have enough information to tell you correctly over a post like this. Do yourself a favor and hire someone with a lot of experience. Best of Luck

Clint
512-799-6623
0 votes
Betina Forem…, Agent, Austin, TX
Tue Aug 21, 2012
Dear Babz,
This is a question for your Buyers Agent. If you don't have one, I strongly suggest that you get one to help you with your purchse. You don't have to choose me, but please have someone help you navigate this process.
The Buyers Agent is paid by the Seller, so its not a cost to you. Having a Buyers Agent can often save you the cost of that commission or even more. How will you know what the price should be for this home unless you have recent comparable sales for this neighborhood. Home prices can vary wildly in the same neighborhood. You need to look at the price per square foot and see if this home is really worth $140K, and not the "taxable value" is not the same as "market value".
Should you have further questions please let me know I would be happy to help.

Sincerely,
Betina

Betina Foreman, Realtor-C.N.E.
Austin Home Girls Realty
512.771.6318
0 votes
Tina Lam, Agent, San Jose, CA
Thu Jun 7, 2012
It's pretty simple. If you can determine that there are no other bidders, then you can bid whatever you want, whether it's $115K or even less. If you know there are other bidders, then you'll have to bid whatever it takes to beat out other bidders (the market price) or lose the house.

Appraisal and tax values are mostly irrelevant in determining the market price.
Web Reference:  http://www.archershomes.com
0 votes
JOSEPH E JAR…, Agent, Austin, TX
Thu Jun 7, 2012
Babz, without knowing all the details, seeing the house, and representing you properly, the other agents are correct that there is no way you can get a real answer here on Trulia. If you are not you're working with a realtor, please contact me ASAP and I will be happy to discuss being your Buyers Representative at no cost to you. I have an excellent team of lenders, inspectors, etc. who can assist us through the process and do things the right way. You can click on my name and review my credentials and client testimonials if you'd like. Joe Jarusinsky, Keller Williams Realty, 512-261-4415
0 votes
vivianne dor…, Agent, Austin, TX
Wed Jun 6, 2012
Babz, don't you have a buyer's agent to advise you? Why do people go into the most important and costly purchase of their life without having a professional to advise them?
No agent on Trulia can answer your questions because no agent here is representing you and we can only give advice to people we represent.
0 votes
Guy Gimenez, Agent, Austin, TX
Wed Jun 6, 2012
Are you talking tax value or market value? You should only consider the market value.
0 votes
William Frie…, Agent, Austin, TX
Wed Jun 6, 2012
HI Babz,

Checking the current Tax Appraisal is a quick way to see where the current For Sale price is in relation to what the Tax Valuation is. I have my reasons for looking at both and going into more details on what I can find out about the property.

I would be the same as others in this forum and not reveal all of the points that I check upon.
You are welcome to call or email me should you want to discuss further what opportunities exist on buying foreclosed properties.

Bill
0 votes
Warren P. Wi…, Agent, Round Rock, TX
Wed Jun 6, 2012
Way too many variables to answer this question on this forum, your Realtor should be able to professionally advise you. If you are referring to tax value, just remember, the house is listed at 115K, it is not worth 140K, it is just over valued on the amount it is taxed. You are just trying to reasonably ascertain how much less the real value is below 115K now. Trust your Realtor. If you don't have one, I would say it could be very beneficial to helping you find a real value in your home purchase.

Best Regards,
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