how you bargin down the new house price.?

Asked by Danforu, 72032 Sun May 29, 2011

i am tryin to buy the new home and need some ideas about the starting price..

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5
Bill Eckler, Agent, Venice, FL
Mon May 30, 2011
Are you referring to a resale "new" home or a new home as being purchased from a builder? There is a major difference that may require a variation in your approach.

New construction sales agents try to remain commited to their advertised pricing for the obvious reason of not creating a builder devaluation of home previously sold in the community. To decrease the sale price in an established area could have serious implications on the values of other area homes as well as the builder's business.

From time to time, builders will offer sales promotions. These opportunities should be the source of your negotiations. Understanding the models available, pricing variations & history, upgrades, construction, promotions etc. may help to create a window for negotiations.

There is no substitute for not having an experienced RE professional that is familiar with new construction as well as all competitive products similar to your taret property.

When relating to the sales staff it may be helpful to identify yourself as a motivated buyer(have a letter of "pre-approval" available) but an informed buyer that is exploring their options thoroughly prior to making a decision. Builders do not like to lose a serious potential buyer to a competitor and will do what they can to win you over.

If your intention is to identify and purchase a new construction there is no substitute for collecting information and becoming as informed as possible with all of the area's similar products.

Good luck,

Bill
1 vote
Byron Jones, , Conway, AR
Tue May 31, 2011
Hi Danforu,

My advise is to hire a quality real estate professional to assist you. I provide extended services to my clients which include helping them identify the right mortgage product for them, then supplying them with a list of quality lenders that I have used first hand.

My service analyzes your needs, helps you determine the correct lender/mortage product based on your needs, and then I help weed out the homes to find the one that's perfect to you.

After that, you rest easy knowing that I take care of all the transactional details and ensure your investment makes it to the closing table.

I offer a very informative and educational process to first time homebuyers to empower them to make great decisions on their own and understand the decisions they make. You could consider me your personal real estate consultant.

Here's a link to see how other's have enjoy the exclusive services I'm offering you --> http://www.saleconwayhomes.com/testimonials/

You may also be interested instead in viewing my monthly market analysis for the Conway Area. http://www.saleconwayhomes.com/conway-home-sale-report/ I can give you more specific details if you like. Just email me at byron.jones@Crye-Leike.com (
0 votes
Thomas Hudson, Agent, Conway, AR
Mon May 30, 2011
A experienced real estate agent (buyer's agent) can give you an idea about the current housing market. The first thing you need to do is get a pre-approval letter. Once you know what you can afford the realtor can find the home you want to buy.
Web Reference:  http://www.TBHudson.com
0 votes
Dan Tabit, Agent, Issaquah, WA
Sun May 29, 2011
Danforu,
Shana is correct; you need your own representation to get the best results. The site agents represent the builder and their job is to help the builder sell units and keep the prices up.
Your agent will have suggestions, but one to discuss is not to ask for a discount, but for upgrades. A builder wants to keep his comparables high, to maintain the profit margins in the development. If they discount to one buyer, as soon as the sale is closed the price becomes public record. If you bargain for upgrades that add value and enjoyment you can do equal or better than a discount. You can also request closing costs to gain a similar advantage.
0 votes
Shanna Rogers, Agent, Murrieta, CA
Sun May 29, 2011
Hi Danforu,

First thing you should do is hire a Realtor. They will be able to do a Comparative Market Analysis on any property you are interested in. They should use Sold comps within a 1 mile radius of the property (the closer to the property, the better) within the last 3 months. This will let you know the market value of the property and that is what you should base your offer on - not on the list price which may be too high or too low.

Good luck!

Shanna Rogers
SR Realty
http://www.RealtyBySR.com
0 votes
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