How Much Should You Offer On That House?

Posted on: 29 September 2017

When it comes to making an offer on the home that you want to buy, it can be very overwhelming. After all, you don't want to be turned down, but you also don't want to offer too much that ultimately leads to you spending more than you need to. Here's what you should ask yourself before making an offer:

Is There Another Offer?

If there are more offers on the home, then you want to be competitive and obviously offer more, especially if it's a home that you really want. You can ask the seller if they can give you an indication of what offers are on the table so that you can make a strategic offer yourself. This way, you aren't making an offer that is too low or too high. Just keep in mind, though that the seller doesn't have to reveal this information, in which case, you just need to make your best offer possible that you believe might work. 

Is There a Way to Bring Down the Price?

Keep in mind that you can't really bring down the price without reason. For this reason, it's a good idea to always be on the lookout for possible problems when viewing the home. For example, if the flooring needs to be replaced or even the windows, you can offer less and explain that it's because you will need to replace these things upon moving in. The other benefit of this is that it sometimes provokes the seller to make these repairs themselves, which makes the home more move-in ready for you, although you will now have to offer more on the home. 

What's the Time of Year?

The time of year is also going to make a difference on what you offer for the home. For example, the spring and autumn season is the most popular time for buying and selling a home. This means that the competition is higher, which usually means you can't offer too low of a price. However, if you are buying in the winter or summer, you can definitely offer less than what you would during the more popular times of year. 

To ensure that you are making the best decision on your price offer, always utilize the help and advice of a real estate agent who will have a better idea of what the home price should be relative to the neighborhood, time of year, and condition of the home. Contact a company like Coast Real Estate Professionals for more information and assistance.