How low to go on a offer?

[hondalrd]

We are going to look at a house tomorrow but it has been on the market for 80 days now and I can’t seem to figure out why? The price is a little high but it is a busy market around here and the house checks a lot of boxes off so I am surprised it hasn’t sold? Anything to watch for tomorrow so I do not miss anything? And if I do like how low should I go with a offer? House is listed at $409,000

 

[RXN]

Ask a price you feel is fair.

 

[rknight111]

How old is the house? I go to lots of real estate deals, and many back down on pre 1990 houses once tested and find out there is asbestos in the drywall joint compound, ceiling texture, sheet vinyl flooring. Many plan on doing some renos and this can be expensive. Or some houses have mould in the attic typically due to improper ventilation and ice damming issues.

 

[rknight111]

And typically if you have a good realtor they will assist you through the purchase, they should honestly tell you if its high or reasonable.

 

[Tchetek]

And typically if you have a good realtor they will assist you through the purchase, they should honestly tell you if its high or reasonable.

Hahaha ha ha. Good realtor. Haha

 

[freeflorider]

With you there. No such thing as a good realtor.

 

[lilduke]

Give a low offer and start the negotiations.

 

[catalac]

Get your own realtor don’t use the listing agent If you want to make an offer.

 

[JayT]

Give a low offer and start the negotiations.

Especially if the house has been on the market for 80 Days

 

[freeflorider]

Get your own realtor don’t use the listing agent If you want to make an offer.

As a client you can use the listing agent anyways. It a rule, this way they both share the commission. Can you say Slimmmmmmmy Business.

 

[Cyle]

Listing price has no bearing on what you should offer, got to know the comps to see what it is worth and go from there. 80 days really isn't that long, again could base off of average selling time of comparable homes.

 

[SUMMIT TREE]

May as well start low. You can’t really go down from the initial offer.

 

[pipes]

And typically if you have a good realtor they will assist you through the purchase, they should honestly tell you if its high or reasonable.

you do realize realtors get paid commission.

 

[Beer Slayer]

Any issues with the house? ...or location of house? ...big ticket items need replacing.
-what's in it for insulation or none
-Lead pipes
-furnace out dated
-needs roof
-leaky basement
-busy street
-spring flood
-snow belt
-who are your neighbours ... hells angels could be noisy
-Jets flying over at 3am...flight path
-ground level railway crossing...ding ding ding
-Ambulance leaving hospital every ten min
-down wind from a sh!t plant

...is there a beer store close by?

 

[ferniesnow]

Just to answer your question; I was once told that below 10% was an insult. That was when the times were normal and there wasn't huge swings in the prices.

 

[Cableguy]

10% might insult them but if it is over priced 15% below ask isnt unusual
My wife started her realtor work 2 years ago and is done with nursing since the mandates
she said very few realtors have any ethics so she is have a tough time fitting in but still is liking the job

 

[freeflorider]

What’s normal now a days fernie. asking price of a top line half ton Is $150k. I still remember my first house being way less then that.

 

[ABMax24]

Depends on what concessions you are also willing to make. You're not likely to get far if you need your exact closing date, nit pick on defects with the house, and then lowball the crap out of them.

At 80 days on the market the seller might really want out of the house, it might be in your advantage to offer their choice of possession date when sending in a low offer. They also might not care, and may be the reason it's been on the market that long, they might need that exact dollar amount to get out of the mortgage.

Depending on what municipality you are looking at, you can often find the appraised values for the house for property tax online. Not that this is a sure fire method at all, but can get you in the ballpark for valuation.

FWIW when we bought our house we offered 11% off of list price, and closed at 10% below list. But this house sat on the market for a year and a half, the builder also had over a dozen other houses in the neighborhood that had also sat that long, he needed to recoup his costs, and I used that to my advantage.

 

[ferniesnow]

10% might insult them but if it is over priced 15% below ask isnt unusual
My wife started her realtor work 2 years ago and is done with nursing since the mandates
she said very few realtors have any ethics so she is have a tough time fitting in but still is liking the job

What’s normal now a days fernie. asking price of a top line half ton Is $150k. I still remember my first house being way less then that.

All true. Just a ball park figure and without seeing the house, I thought it would be applicable. I could have explained it a little better!

 

[catalac]

As a client you can use the listing agent anyways. It a rule, this way they both share the commission. Can you say Slimmmmmmmy Business.

My point of getting your own agent if serious about making an offer that person will work on your behalf, when you use the listing agent they can of course do it but are more likely to put the interests of their client first. Just my experience from having been down that road before. People are no more likely to take a low ball offer on real estate than anything else, I’ve seen listings recycle / use new agents for months and years until the owners realize their asking price is out to lunch and lower the ask to a reasonable amount. Chances of getting a lowball accepted about as likely as the guy on kijiji that offers you $8000 for your sled that’s worth $12,000.