For example, sellers in a hot market who are expecting to sell for over asking have been known to counter a full-price offer—even one that came without contingencies such as to have a home inspection done.
Similarly, sellers who receive multiple bids frequently reject full-price offers in favor of higher offers. Even in slow markets, sellers can and do reject full-price offers.
Real estate purchase contracts are complex: They contain many terms beyond price, such as closing date, earnest money amount, and title insurance. So, even if potential buyers submit a full-price, contingency-free offer, the parties still need to come to an arrangement about these other terms. If the buyers' offer doesn't meet all the sellers' needs and wants and even if it does , the sellers can legally reject or counter the offer.
In the end, it's up to you with the help of your real estate agent to decide how much money a house that you like is really worth—and how much you're willing to offer for it. Base your offer price on such factors as:. Websites such as Zillow let you type in an address and receive an instant, free valuation for a home. These listings can be fun to look at—and are worth checking so that you know what other buyers are also looking at—but realize that they tend to be based on general, sometimes out-of-date or erroneous, public data, and can be off by tens or even hundreds of thousands of dollars.
A computer has no way of knowing whether the house overlooks a botanical garden or a garbage dump, smells like the nearby pine woods or like the last owner's cats, or is streaming with sunlight or molding in the shadow of a nearby high-rise.
Nor will the computer know whether you are facing one other bidder or five. In the latter situation, you'll obviously want to aim high. Putting it all together, you'll need to arrive at a number that's high enough to get the real estate seller's attention, but low enough that you won't feel buyer's remorse for having overpaid. If there's competition for the house, this might be your only chance to impress the seller.
If not, and you come in low but not insultingly low the seller might be willing to negotiate, and will send you a counteroffer. For more information on getting to know your local real estate market, looking carefully at houses, finding the house that's best for you, and making an offer, see Nolo's Essential Guide to Buying Your First Home , by Ilona Bray, Marcia Stewart, and Ann O'Connell.
The information provided on this site is not legal advice, does not constitute a lawyer referral service, and no attorney-client or confidential relationship is or will be formed by use of the site. The attorney listings on this site are paid attorney advertising. In some states, the information on this website may be considered a lawyer referral service.
Please reference the Terms of Use and the Supplemental Terms for specific information related to your state. With Orchard, secure your dream home before you list. Avoid home showings, double mortgages, and double moves.
All rights reserved. Get Started. When does it make sense to make an offer below asking? How much less can you offer on a house? Jacqueline DeMarco is a freelance writer based in Southern California that works on editorial, copywriting, and content marketing projects.
John, Bankrate, The Everygirl, and many more. Read full author bio. Learn More. For example, maybe the home has had some minor updates like new flooring, fresh paint, or the landscaping has been improved.
These updates are a good starting point. These arguments may encourage the seller to reconsider the price. Some people are willing to pay more than asking price if they are really in love with the home. At this point, the buyers are making an emotional decision rather than a financial one. The trick of getting those savings is to know what is reasonable to offer below asking price.
There will be instances where you could offer significantly less than asking price. Buyer Resources. Table of Contents.
0コメント