is ok to offer 15% below asking??

Asked by S Ford, 04073 Fri Mar 5, 2010

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12
Sunny Fellman, Agent, Chatham, MA
Fri Apr 2, 2010
The answer to your question is that much research must be done on the specifics of the home and area market before you can come up with an offer price. If you are working with a buyers agent they should be doing this research for you. He/she will look at recently sold and pending properties that are comparable to the one you are interested in. Based on this info, you and your agent can make an educated desicion as to the market value of the home and where you would like to begin your offer. There are many variables that come into play as some others have said below. A few of these include how long the home has been on the market, other offers (you may not be able to find this out), and most importantly how much you really want this house. Hope this helps you and good luck!
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jackie johns…, Agent, Yarmouthport, MA
Wed Mar 17, 2010
Yes as a starting point., then it is up to the seller to respond with a counter, This will indicate how the property will go as far as the sale price Or if he does not respond then that will answer the question..
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Tom and Joan…, Agent, Boston, MA
Sun Mar 7, 2010
Home buyer:

The correct answer is that it DEPENDS! There are many sellers in this current real estate market that are pricing their homes below market value and their homes are selling for more than the list price. However, I would say this only represents about 10% of the sellers. The rest still don't get it and are priced way too high. I would make sure that you have done your research and if it says that the home is over priced then get after it at the price you feel best represents the actual sales value. Best.
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James Deskins, Agent, Worthington, OH
Sat Mar 6, 2010
I agree with Dan on everything except if you offer 50% of what the seller is asking, the seller, even if a bank, won't take you seriously and you will likely jeopardize future chance of getting that house.

Yes, if the house is 50% overpriced, go for it. But that's not likely.
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Dan Chase, Home Buyer, Texas City, TX
Fri Mar 5, 2010
The thing not mentioned is that the house you want to offer 15% less than asking price on could in fact be 25% overpriced. It is possible to give a low offer and still overpay. You want to get a general idea of the value of the house and offer less.
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Dan Chase, Home Buyer, Texas City, TX
Fri Mar 5, 2010
I am not sure about 15% lower offer. I do know it is ok to offer 50% under asking price. You may not get it but it is ok to make the offer.
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Voices Member, , Benton County, OR
Fri Mar 5, 2010
....................................................Yes it is OK.......................................
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Ron Rovtar, Agent, Boulder, CO
Fri Mar 5, 2010
Hi S. Ford:

What you offer is entirely up to you. How the owners counter, or if they counter, is entirely up to them. If you really feel the property is overpriced this much, then make the offer.

One thing to consider. Negotiations that drag on too long start to get personal/emotional. It generally is best to try to reach a mutually acceptable result as quickly as possible. Otherwise the process of closing can get very difficult because of hard feelings.

Best,
Ron Rovtar
Prudential Real Estate of the Rockies
Boulder, CO
303.473.1926
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Susan Costa, , Westport, MA
Fri Mar 5, 2010
S Ford - are you working with a Buyer's Agent - they could do a Current Markr Analysis on the property to determine the market value. As stated below, if this is a hot property and you are interested in it - make your offer. Like I tell all my buyers "it is were you wish to start". I had a buyer make what I thought to be a very low ball offer on a property and the bank accepted it. If I can be of assistance, please feel free to contact me.
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Joe Arnao, Agent, Sanwich, MA
Fri Mar 5, 2010
S Ford,
You can offer anything you want. Keep in mind that if it is a hot listing you will risk losing it. Otherwise you can always go up. You could be wasting your time if you don't plan on negotiating at all.
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Elizabeth He…, Agent, Agawam, MA
Fri Mar 5, 2010
Hello! My sister lives on the Cape and I LOVE going there during off-season. Whenever I get the opportunity I go to visit.

You are welcome to bid whatever you want. Do you have a Buyer Agent to work with you?

If I can be of any further assistance please contact me at elizabeth@elizabethherbert.com.
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Anna M Brocco, Agent, Williston Park, NY
Fri Mar 5, 2010
There are no set standards as to percentages off asking price--do keep in mind that if a property is listed on target for today's market or slightly below, multiple bids could come to play. You need to be aware of recently sold similar properties in the immediate area, factor in repairs--extensive or cosmetic--review the data and make a determination as to a fair offer--your agent can best advise.
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