Post # 46
Just updating! We got the place for $251, 000 after a snack bidding war with another buyer.
However we had it valued by the bank and its come back today at being worth $270k and the market is currently hot! So we got a good deal and have already got some equity without doing any work on it yet. So we are incredibly pleased with the result.
Post # 47
We were not expecting to get it, we just wanted to get the first offer and loss out of the way because all of our friends said it was going to be a long process.
We told our realtor that we weren’t super emotionally invested in it, we just wanted to rip off the offer bandaid as it were. So he suggested going in at asking because 99% of houses in our area were selling for 5-10k over. But we were the only offer.
And now we’ve been happily in our home for three years.
Post # 48
Our original offer was 5% below the asking price, but we ended up closing at around 1.5% under the asking price, which was the average price homes were selling for in the town our house is in (you can google that information!). That was a year and a half ago- the market is definitely stronger now, so we probably would have had to been a bit more competitive. The asking price was fair and we were prepared to offer that if needed, we just wanted the best price possible. As long as you aren’t at high risk of a double offer, I would offer under what you are willing to spend on it. It gives you leverage. We really needed to move up the move in date (they originally wanted over 3 months), if we had offered them a higher price to start, they would have never budged on the move in date. They were able to compromise by moving up the move in date for a higher offer and the offer was still something we were comfortable with.
Post # 49
tillymac : psssh we had to offer $4k over asking and then bidding war started and ended up going over $13k!
After the appraisal, the price was renegotiated back to our original offer and we agreed to pay $4k over.
closing on monday! Just signed loan docs yesterday!!
We live in a very hot market though. This house was up on friday and by sunday we made an offer with 3 other people. And this was not our first bidding war (lost on another house). Southern California is a tough market at least in the starter home price range.
Post # 50
We just made our first offer last week — we offered 14% over asking and lost big time; the winning bid was 32% (400k+) over asking! We definitely had to re-evaluate the homes were are looking at and what features we could sacrifice to be able to make a winning bid. We’ll be making another offer on a different home this week that will also be significantly over the (likely artificially low) asking price… keeping our fingers crossed. The market in San Francisco is crazy.
Post # 51
We are in a very hot market as well. We offered 7K under the asking, and the seller countered 4K under, which we agreed to. House appraised at the asking price, which was pretty neat!
Post # 52
we didn’t offer under actually. Since we bought our house during a housing crisis when houses were being sold in a matter of hers. Everyone was paying over listing prices that’s what we did. People were listing one price on houses, but after negotiations everyone was paying over that. We paid over the listing price, but it was still under the appraised value and going rate for our home. So it’s not like we overpaid.