How much should you deduct from an asking price when making an offer?

As the Real Estate market heats up, the amount of homes currently Listed is decling sharply. Here in NH, some markets have 30% less homes on the market. When that is added with the increase in sales which are up 10% 18% in some NH markets you get an increase in the amount of offers. One of a Buyers first questions is "How much should you deduct from an asking price when making an offer?"

BUYING A HOME: There are several steps when buying a home. Each has a time frame, some which is warranted and some which is not warranted if you are being neglected by your agent or loan officer.

1. PRE-QUAILIFICATION: The FIRST STEP is choosing a local and trusted loan officer who can pre-quailify you at no cost,. Stay away from internet lenders. You can avoid delays by having an actual person to assist you through the loan process.

2. CHOOSING A BUYER BROKER: Your second step should be to hire a Buyer Broker. You should not just sign with the first agent you talk to. Make sure they are a Full time agent whose sole job is to work with clients to buy homes. That they are a Full service agent who will guide you through each step of the buying process. Discount brokers often equal discount services. They should also be a Local agent who knows your neighborhood and is readily available when you need them is a must. Out of town agents can leave you high and dry in your time of need. Lastly make sure they are a well experienced Listing Agent in your area who can give you the advantages you need when buying a home.

3. PURCHASE AND SALES AGREEMENTS: Before there can be a sale there has to be an offer. Making an offer can be easy or can be made much more difficult if not done correctly.

a. BUYERS OFFERS: . Buyers and their agents simply need to make better offers. By doing so they can cut the time of negotiations and waiting and increase their opportunity to get their offers approved. By simply basing offers on what a home is worth in todays market, limiting continginices, including a pre-quailificiation letter you can increase your chances. Please see my blog Why do my offers keep getting rejected?

b. WHAT TO OFFER: Buyers and their agents should NOT be basing offers on asking prices. You do not know if that List price is at market value, if it is already priced way below or priced way above market value.

4. WHAT TYPE OF SALE IS IT: What to offer and how to make that offer will be different depending on what type of Sale it is.

a. SHORT SALES: One of the most frustrating things anyone has to deal with is a Short Sale. It does not have to be that way though. Some of my best sales have been Short Sales. The key fact is they only go as well as the Listing Agent is experienced in Listing, negotiating and closing them. The Listing agent HAS to make sure they conduct a title search, know how many liens there are and do not under price the property. It should be priced at or just below market value. Underpriced short sales are often doomed before they start,

b. BANK OWNED PROPERTY: With Bank owned property there are many variables that affect how well the sale will go and the amount of time it will take. Virtually all delays start and stop with the Listing Agent. The Listing agent shoud be "hands on", they should know the policies of the bank they are working with, they should have a good relationship with the asset manager to know what they want and what they do not, there should be great communication and the agent should know the time lines for submitting offers and waiting for answers and or signatures. A Buyer and their agnet should ask these questions and become familiiar with the guidelines on placing an offer BEFORE writing it.

IN CONCLUSION: The key in getting your offer accepted is by making the BEST OFFER you can. The day of LOW BALLING is near an end in a lot of markets. Follow the guidelines the seller sets for making an offers, include your pre-qualification and do your reserach on value. This will give you a better chance at getting your offer accepted.

It does not take magic to turn your "For Sale" sign into a "Sold" sign. it takes a full time Local Agent who specializes in Listing homes like yours.

If you need to sell your home and you owe more than your house is worth, i may be able to help. I specialize in working with home owners to get your home sold. There are many options such as a short sale whcih may be able to help you.

Please try and avoid out of state or out of town agents and companies that make "out of this world promises". We are local agents with experience who never charge any up front fees. WE GET RESULTS!!!
If you need to sell a home in New Hampshire I can be that agent for you. I strive to provide the best personal and professional service through each step of the selling process.

We stand by you through every step in selling your home.