Question:
“My husband and I have been looking for a home for four months. The perfect house just came up in University City that’s probably asking 5-10% below the market. Not sure what to offer. Do you think we should offer below the asking price, at the list price, or above?”
Answer:
Information flows so fast today. Homebuyers are more educated. In most price ranges and areas, inventory is still a tad low relative to the number of homebuyers out there.
So assuming you’re right about the value, that house is going to draw multiple offers quickly.
If you like the house, offer full price. But be aware you probably won’t get it.
If you LOVE the house, offer what you think it’s worth, even if that’s well over list price.
Better to pay market value for a home you love, then buy a home you only like, or not find a home at all.
(NOTE: I have a clever alternative strategy that often beats out competing multiple bidders. Email me at Gary@GaryKent.com if you want to find out what it is. I’m not revealing it here because many Realtors read this too!)
