Made an Offer on a House
Community – I just made an offer on a house. The list price was 625 and we offered 530. They countered with 600. We countered again with 550. The realtor said the home owner is firm on 600. What do you guys suggest we do? We really love the house but convinced ourselves not to…
Community – I just made an offer on a house. The list price was 625 and we offered 530. They countered with 600. We countered again with 550. The realtor said the home owner is firm on 600. What do you guys suggest we do? We really love the house but convinced ourselves not to go above 550.
On a side note: can someone recommend a lawyer or home inspector? Its a 2 family brick house.
Housing prices on SI vary by neighborhood just like any place else. You can get some comps on line for recent sales, but stay in the same area, similar SQF, and a 2 family. You’ll at least understand if the area is out of your range or the owners are unrealistic. I assume it is not Todt Hill at that price nor is it Port Richmond. DO some reasearch and learn about SI.
I think it is highly unlikely that NYC housing prices will increase in the next five years. we are overdue for a price correction.
I say you stick with your ceiling of $550. You must have set that limit for a good reason.
And I have no idea if 10% off asking is typical but, at least at this price, I wouldn’t expect it the sellers to take that unless they’re desperate, and they don’t sound desperate.
Don’t negotiate against yourself. If you love the house, can afford it, and the comps are not wildly away from this price, go ahead and go to 600K (but ask for incentives, like maybe a home warranty insurance plan for the first 2 years so that your extra out of pocket costs in the purchase don’t hit any major expenses).
OTOH, if you think the house is worth only 550 (or you siply do not want to pay more for the house), don’t pay more. And don’t rely on people here telling you that the house will increase in value 5 years from now. That’s likely, but you shouldn’t be using your primary living abode as a speculative asset.
Why not ask the realtor to justify the 600K with recent comps? That gives them time to think and research. I second Mckenzie, don’t negotiate against yourself; if there are not willing to move towards you, there is no point in negotiating.
Having just sold an apartment (signed a contract on Friday) from the sellers point of view you can make any offer you want. We got several very low offers from buyers who were shaky to begin with. We priced our apartment very fairly and it was just a matter of time (2 months) before we got very close to our asking. The low-ballers hung around hoping we would give up but our broker told us to be patient. All this to say–of you love the house and must have it, offer 600. If not move on.
stick to your guns.
the best negotiators do. never negotiate against yourself. if they don’t want to come down below 600, it’s over. Next!
wait, you offered 530K on a 625K listing? If I were homeowner I’d counter with “go s**t in a hat.”
Another possibility is that somebody will waltz in and buy it above you. If you can’t afford more than 550, then of course, stay there. But you need to know the comps.