Everyone wants to get a great deal on a house, but what’s realistic when it’s time to make an offer? Just how much will the sellers take off the list price?
Well you never know for sure until you try, but most of the time the outcome is fairly predictable. Sellers rarely come down mcuh on price here at all, the average is between 3 and 4%.
So what do you do when a house is overpriced?
Once my buyer clients find a house, one of the first questions they ask is “How much do you think the seller will take for it?” And I usually tell them this: ” after years of pulling real estate stats from across Albuquerque and Rio Rancho, looks like most sellers are willing to come off about 3% to %4 below list price with a surprising amount of evenness across the board.
The idea of trying to save 10% off list price is probably not going to work, most sellers would rather not take that offer and rather reduce their list price if they need to to sell and wait for people with more realistic offers to come in and make them.
Does that mean that once-in-a-while somebody doesn’t get an absolute steal on a home and find a seller that’s willing to come from 6,7 ,8% off of list price? No, that does happen, but probably out of 100 sales, that maybe happens a handful of times, 4 or 5 times. Usually sellers will go 3%-4% below list and if they can’t get it, like I said, they will reduce that list price until they have enough people coming in the door, or enough time has elapsed so that they realize that that is the best they can do.
So what do you do when you see a listing that is overpriced? Well, my recommendation is to accept paying above market value for it and hope that appraisal protects you, which is a gamble. Or to wait for that seller, to bookmark that property and wait for that seller to make that price reduction, and then get in there with your offer. You’ll probably have more success that way.
For more home buyer tips and advice, visit my Albuquerque home buyer playlist on YouTube.
If you are an Albuquerque home buyer you might also be interested in these two videos:
Should I Buy a House in a Homeowners Association?
Should I Buy a Home with Polybutlyene Pipes?
by Albuquerque Real Estate Agent Rich Cederberg, eXp Realty (505) 803-5012.