Ready to Write an offer....How Much do I Offer?

I decided to write about this after a first time home buyer and I were out looking at homes and they wanted to put an offer in on a home. I was amazed to find out he did not know that I provide this information to him. Family memebers who had given him advice (mostly good) failed to inform him that the Real Estate agent should provide you with this information. In fact, his brother purchased a home a little while ago and said he never got this information from his Realtor whne he put an offer in on his house.

You are out looking at homes. it may be the first day out or the tenth day out...no matter. You have found the home you want to place an offer on and make your first home.... How do you know what to ask for the home? Is is over priced? is it under priced?

AS a Realtor, we have an obligation to you our clients, to provide you with the information you need to make a smart, educated offer on the home. I hear a lot of times from home buyers; "it is a buyer's market, I should be able to offer them significantly less." Not always the case. Everyone, be it the seller, the bank on a short sale, or the bank in a foreclosure will have a bottom line they will accept for the home.

Whenever a client of mine wants to make an offer on a home...I give them the homes in the neighborhood or close proximity that haved closed in style and square footage in the last six months. I try to give them at least 3 homes. I also tell them what is active and what the price is and how long it has been on the market. A home that is over priced may be sitting on the market for a year or longer...... With this information, I go over with them the average sale prices and and average asking prices. From there we come up with a number that is acceptable for them to purchase the home.

Now do not get me wrong, just becasue you are willing to pay X amount for the home does not mean you start there. From that number we devise an offer price less giving us room to move up. You need to make sure you are comfortable with the price you feel you will pay for the home if you have to come up and happy if they accept your offer initially.

So, make sure you have this information before you place an offer in on a home.

Dave diCecco

Realtor/Agent

www.davedicecco.com