Ok, so I know this has probably been asked but...

If I am looking at a house that is $315,000, and I know it was a flip house. I grew up in the neighborhood, what is a reasonable offer?

Re: Ok, so I know this has probably been asked but...

You can't really say a % less amount without knowing the comps. for the area. Are you working with a realtor? Have them run the comps. for recently sold properties with the same specs. in the area--it may be that $315 is an appropriate price. Some houses are now being listed low to start a bidding war. That happened to us lately.

Re: Ok, so I know this has probably been asked but...

In my current experience, i do not really base my offers on what the asking price is. (I'm a buyer that's not in a hurry). For example...we saw an awesome 3 bedroom house for $409 completely updated...we then saw another house in the same neighborhood/same layout, in worse condition, selling for $420.

Some prices can be inflated based on the sellers' situations.

Do your research; Find out the values of other homes in the area. Comps are ok...BUT..they could be based on what someone paid 3 months ago...and that possibly can be a .5% per month difference. I also base my offers on a reasonable yearly percentage increase since 2000 without taking the bubble into consideration.

This is JMO. Good luck!

Message edited 11/2/2008 11:13:19 PM.