Jeannie in NJ Posted October 16, 2011 Share Posted October 16, 2011 we are putting an offer on a house, It is listed for 380,000. It only needs a few minor things done, nothing major. We are thinking to offer 330,000 hoping to settle at 350,000. Any opinions, we are so new at this house thing, It has been 18 years since we bought a house. Quote Link to comment Share on other sites More sharing options...
Pretty in Pink Posted October 16, 2011 Share Posted October 16, 2011 I wouldn't be insulted. I would be glad that I received an offer! :D We had such a hard time selling our home a few years ago. I was grateful for every offer that did come in because they were so few and far between. When someone 'low-balled' us I just assumed that they were trying to negotiate. Isn't that what people do when they buy/sell? It's the nature of the game. I wouldn't be insulted. I'd just issue a counter-offer and see where it went. Quote Link to comment Share on other sites More sharing options...
TranquilMind Posted October 16, 2011 Share Posted October 16, 2011 we are putting an offer on a house, It is listed for 380,000. It only needs a few minor things done, nothing major. We are thinking to offer 330,000 hoping to settle at 350,000. Any opinions, we are so new at this house thing, It has been 18 years since we bought a house. In today's market? No. Eight years ago? Yes, because I always did my homework and could tell you to the dollar what the house would sell for in the current market. I've bought and sold several times and have always been right on the money. But it should not just be a number you decided upon. You should be able to support this figure thoroughly with comps from surrounding homes. Do this research and write a letter indicating that your offer is X dollars based upon the following comps. I once got a house 80K cheaper by doing this, and it was in a strong market. Quote Link to comment Share on other sites More sharing options...
justamouse Posted October 16, 2011 Share Posted October 16, 2011 the worst they can do is get insulted, and then have their Realtor calm their feathers and reoffer. if I were you, what I would do first is for your realtor to get every price drop they've done since they've been on the market. Because if they had it at 475 to start, and this is the lowest they've come, then yes, I would be insulted. But the only way you can know that is to get the history on the listing. Good luck! Quote Link to comment Share on other sites More sharing options...
wormbuy Posted October 16, 2011 Share Posted October 16, 2011 Totally agree. Even if they are offended, it is a starting point! Quote Link to comment Share on other sites More sharing options...
gingersmom Posted October 16, 2011 Share Posted October 16, 2011 I would be doing the happy dance. In this market, any offer is a good thing. Quote Link to comment Share on other sites More sharing options...
MariannNOVA Posted October 16, 2011 Share Posted October 16, 2011 I would be turning cartwheels in the street. I would not find the offer at all insulting. Quote Link to comment Share on other sites More sharing options...
AngieC Posted October 16, 2011 Share Posted October 16, 2011 For me it would depend upon how long the house had been on the market. If it's a new listing, I would probably be a bit insulted, but if it had been listed for ages, I would be thrilled to just get an offer. Quote Link to comment Share on other sites More sharing options...
snickelfritz Posted October 16, 2011 Share Posted October 16, 2011 I would be doing the happy dance. In this market, any offer is a good thing. Depends on your location. Depends how long it's been on the market. In our area, the market is slow, but not stagnant. Comps around here don't show near that type of disparity between asking/sale price. We just bought and are currently selling, so that's why I'm familiar. Quote Link to comment Share on other sites More sharing options...
Jeannie in NJ Posted October 17, 2011 Author Share Posted October 17, 2011 the house has only been on the market 32 days and this is their original asking price. There are a lot of houses for sale in the area that have been listed for almost a year for around the same asking price. Most of the houses in that area that have sold in the past 1 1/2 years have sold for between $20,000 t0 45,000 less than the asking price but of course I have no idea what the initial offers were.. I called my realtor and asked him what he thought of our offer and he said it was a good starting offer and most sellers will come back with an offer somewhat less than their asking price and go from there. I agree with some of you, if we got an offer on our house we would for sure come back and work out a price. In fact, if we end up buying this house, we will drop our asking price on our house greatly, as in a dramatic drop to get some attention from buyers. Quote Link to comment Share on other sites More sharing options...
chepyl Posted October 17, 2011 Share Posted October 17, 2011 We had our house In MO listed for 74,000, we received an offer of 64,000. Those are almost identical offers based on percentage of the asking price. We negotiated back and forth. They came up, we threw in a new roof....now 13 days to close....I would jot be insulted. Everyone is coming In low on offers right now, unless the house is already dirt cheap. Quote Link to comment Share on other sites More sharing options...
ChristusG Posted October 17, 2011 Share Posted October 17, 2011 I don't think any offer is insulting. If you like the house and don't want to pay the asking price, there's no harm in offering less. If the owners don't like it, they can say no. Quote Link to comment Share on other sites More sharing options...
LisaKinVA Posted October 17, 2011 Share Posted October 17, 2011 (edited) It really does depend... in our area, that would be pretty insulting. Houses in that price range ($350-$450k) usually sell in 60 days, for an average of 93% of asking price (according to my MLS source). However, if houses in your area area selling for less than that... AND if there are numerous homes in that range on the market, it may be just fine. Just make sure you are making apples-to-apples comparisons :D For example, there are 3 houses "listed" at between 3200-3300 square feet (ours is 3250). The prices range from $399,000 to $550,000. House A for $399,000 includes finished basement as part of the square footage (meaning all of the other rooms are actually smaller than in house B and house C, smaller footprint, smaller roof, etc.) Basic, basic, builder-grade finishes and appliances. House B is $517,000 and is 3300 square feet, but does not include a finished basement. Has some hardwood, small kitchen, carpet, basic tile. Builder grade + (step up from basic builder grade) House C is $550,000 and is 3250 square feet. 5" hardwood maple flooring and porcelain tile, glass, granite, marble, tumbled marble in baths, laundry and kitchen (vs. white or bone ceramic), HUGE kitchen (island is 10x3 all cabinetry, full granite slab on top), plus 12' x 16" raised bar, 16' main countertop, 8' "secretary end"... this kitchen is almost 3x the size as House B, with Solid maple cabinets... Kenmore Elite appliance package, 36" gas cooktop, Sprayfoam insulation package, upgraded HVAC system (which includes energy recovery system), energy star windows, etc., etc., etc. Just putting this out there, because the finishes, age, actual size of the house all make a huge difference. If your realtor says it's a good offer, he's probably right :D Edited October 17, 2011 by LisaK in VA Quote Link to comment Share on other sites More sharing options...
Catwoman Posted October 17, 2011 Share Posted October 17, 2011 If you don't ask, you don't get. :D Make the offer and see what happens. If the seller is too insulted to negotiate, he or she probably would have felt the same way if you'd offered $10k less than the asking price, so you wouldn't have gotten the house anyway. I think it's worth a shot, especially if your real estate agent will go to bat for you and try to keep the negotiations moving along. Good luck!!! Quote Link to comment Share on other sites More sharing options...
wapiti Posted October 17, 2011 Share Posted October 17, 2011 I don't think any offer is insulting. If you like the house and don't want to pay the asking price, there's no harm in offering less. If the owners don't like it, they can say no. :iagree: Quote Link to comment Share on other sites More sharing options...
blessed2fosteradopt Posted October 17, 2011 Share Posted October 17, 2011 I absolutely would not be insulted and as a former realtor I would encourage you to make the offer. One never knows one's circumstances. I have seen many offers accepted that I thought going in would not have a chance. Furthermore, if nothing else, it is a starting point. I wish you the best of luck. Blessings, Lisa Quote Link to comment Share on other sites More sharing options...
Trish Posted October 17, 2011 Share Posted October 17, 2011 Anybody who is insulted in this market is crazy. Quote Link to comment Share on other sites More sharing options...
EKS Posted October 17, 2011 Share Posted October 17, 2011 :iagree: And anyone who actually gets insulted over such a thing needs more to worry about! Quote Link to comment Share on other sites More sharing options...
Brigitte Posted October 17, 2011 Share Posted October 17, 2011 It is only insulting if what you are offering and willing to pay are way below market price for the house. Your realtor should be able to give you the information you need to determine that. If he says you are in the ball park with those numbers, then go for it. Quote Link to comment Share on other sites More sharing options...
Parker Martin Posted October 17, 2011 Share Posted October 17, 2011 I agree with others who've said there's no such thing as an insulting offer. It's just an offer, the seller can say "no." Quote Link to comment Share on other sites More sharing options...
Jeannie in NJ Posted October 17, 2011 Author Share Posted October 17, 2011 I asked my realtor again what he thought about our offer price and he said that it is a very good starting offer as he believes that the market value for this house is between $350,000 to 370,000 so our offer of 330,000 is reasonable. So now to wait to see what sellers will do. Quote Link to comment Share on other sites More sharing options...
Catwoman Posted October 17, 2011 Share Posted October 17, 2011 Good luck, Jeannie!!! :001_smile: Quote Link to comment Share on other sites More sharing options...
justamouse Posted October 17, 2011 Share Posted October 17, 2011 the house has only been on the market 32 days and this is their original asking price. There are a lot of houses for sale in the area that have been listed for almost a year for around the same asking price. Most of the houses in that area that have sold in the past 1 1/2 years have sold for between $20,000 t0 45,000 less than the asking price but of course I have no idea what the initial offers were.. I called my realtor and asked him what he thought of our offer and he said it was a good starting offer and most sellers will come back with an offer somewhat less than their asking price and go from there. I agree with some of you, if we got an offer on our house we would for sure come back and work out a price. In fact, if we end up buying this house, we will drop our asking price on our house greatly, as in a dramatic drop to get some attention from buyers. I'm sure the realtor will go in with $s to backup the starting offer. I asked my realtor again what he thought about our offer price and he said that it is a very good starting offer as he believes that the market value for this house is between $350,000 to 370,000 so our offer of 330,000 is reasonable. So now to wait to see what sellers will do. Fingers crossed! Quote Link to comment Share on other sites More sharing options...
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