I'll make this brief.

1) House on market for $244,900
2) I offered $230,000 with a move-in date of mid August, I pay all closing costs
3) They countered with $238,000 with a move-in date of July 3rd
4a) I re-countered with $238,000 + $2000 toward closing costs
4b) If they accepted 4a, then I was going to see if they would do $240,000 + $4000 toward closing costs


My question.. If they will accept 4a & 4b, which one would be better to do? I have the money for closing costs either way. The difference b/w the 2 mortgages is around $15-20/month.

 

They would've sold for $180,000.

 

Absolutely get the closing cost money over a reduction in price. Seller doesn't care but that is money out of your pocket right now vs. spread out over 30 years. 1 dollar extra on your monthly payment or 2k in your pocket today.

Not sure what the market is down there but am suprised you can't get them lower then 240k

 

The market is down, but I have looked at roughly 150-200 houses online. Nothing compares or even comes close to what this house offers. At the initial selling price it would be a great deal. They upgraded the kitchen with new SS appliances, and granite countertops. Hardwood floors on the main floor, and carpet upstairs for the 4 bedrooms.

In comparison, a house in the neighborhood with 3 bedrooms, granite countertops sold for $275k last year.

 

That was last year's prices. Are you working with a real estate agent? I would have the agent get the house appraised and get some comps to make sure you don't over pay for a house in a buyer's market. Find out how long that house has been sitting on the market. I'm pretty sure it wouldn't hurt to low ball if the house has been sitting that longer than anticipated.

 

It sounds like the sellers want to get out quickly- are they moving or is there a default? If the house is already vacant, the seller is trying to reduce the carrying costs-- discuss any such info with your agent before making an appropriate counter.

Oh, and don't increase the amount on which you are financing, since the interest over 15-30 years will likely triple that difference. Get the difference in closing costs, savings bonds or credit for groceries...

Congrats and good luck!

 

The comps in the area averaged to $250k. My agent pulled 6 comps and 2 currently on the market.

There will be a clause in the contract that says if the appraisal value comes back less then the agreed on price then the selling price will have to be lowered.

It has been on since March 08'. They took it off the market a couple weeks ago, and upgraded the kitchen and appliances and re-listed. The selling price didn't change.

 

how big is the house?

 

The house is vacant. They did change it from August to July move-in to possibly avoid having to pay another months mortgage payment.

Sounds good.. I'll try to get the $238k with 2k closing costs.

 

I believe around 2100-2200 sq. ft.

 

Congrats.

 

Got it for 240k with 4k toward closing costs.

I'll post some pictures in a bit.

 

Going to remove the fireplace and turn that whole thing into a side/side entertainment center.

 

Damn...Nice place for the $$$.....

 

that's a hell of a deal

 

That's a great buy! My 1br 1ba condo was in that range...

 

Thanks everyone

The only thing that needs to be updated is the master bath. Everything else is in great living condition. The dining room, tv room and master bedroom have speakers built into the walls with a volume control knob. The speakers are all ran to the entertainment center in the tv room.

The yard is perfect for my dog, and it is going to be fun to add/update the backyard with a little deck and some trees/mulch.

 

Congrats! Lotta house for the $, especially for a guy your age!!!

 

Geez, 240K in my area get you about 500sq feet of crap

 

The prices in our area also is very stagnant- it doesn't seem to drop with the overall market.

 

congrats!!!

 

dang that is nice! i have a family friend that lives in Roswell, GA, is that anywhere near where you are at?

 

Yes I grew up in Roswell. I went to Centennial High School. This house is about 20-25 minutes west of Roswell.

 

Nice looking place for the money. I would definitely get more of the closing costs covered even if it increased the price.

I also don't know if I would take out the fire place. It's a pain in the ass, but it is a good option to have. And it is also something people tend to look for when buying. So, I think it could help your resale potential to keep it.

 

There will only be $1,500 of closing costs out of my pocket.

I know it's early to say, but I do plan on being at my place for at minimum 5 years. I'd see myself being there around 8-10 years.

 

Congrats!!

Is that wallpaper?

 

Good to always say that, but it's always better to plan for what may happen or come up. That's the way I think of things now.

 

There is only wallpaper in the kitchen (not the backsplash) and in the master bathroom. This will be taken care of once we move in. The rest of the house has white walls.

 

Very true. I'm still going to remove it

 

Cool. I was stating my preferance. I am jeolous though. That house is pretty much what we are looking for and that price is awesome.

 

Congrats!!!