Profile picture for jamina1

Putting an offer on an estate sale, what to offer?

The home has been on the market since September of 2010. They're asking $149,900 and recently lowered it to $144,900. This is the only price reduction.
They did some renovation, new carpet, a new furnace, and roof. The kitchen, however still has the 1980's appliances and the very large yard has turned into a jungle and is in need of a complete overhaul. The electrical system also needs an upgrade.
I was thinking of offering 90% of the sales price and going from there, what do you think? Should I try to get more, or will I just insult the seller?
  • May 23 2011 - US
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Answers (8)

Best Answer

All very good answers below - I would definetly make sure your agent does a market analysis on the house/neighborhood.

All we can do as agents is advise you on what our data is suggesting.  Whether or not you'll agree, or choose to take that advice is completelty up to you.

I can tell you this - extremely low offers do tend to add tension to the process, to where even if they are accepted it tends to make the whole transaction more complicated. (I am not saying you should offer them 1000's of dollars to make everyone comfortable, it just would be something I would keep in mind.) Because getting an accepted offer is really just the first part of the deal, there's still (most likely) inspections that need to be done and possible repairs to be negotiated for and made, and the list goes on.

What I tell all of my clients is 1.) Look at the date the market analysis provides 2.) Decide -  how important is this house to you? If someone else offered a little more, and you lost out on the property b/c of it, how disappointed (if at all) would you be? 3.) Take the first two things, put them together and formulate an offer where you feel like you're getting a good deal, but at the same time, if they turn down your offer, you know in your mind you did all you could.

Make sure you really know how you feel about the house, interpret and listen to the data your agent gives you, and you'll do fine.



  • May 23 2011
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If the home had been on market for 8 months and they only dropped the price by $5000.00 it maybe best to offer a couple of thousands less and request the repairs and update be done on the home. I'm sure it's not 10 percent in this case $15000.00 worth of work to be done on home. Have your Realtor do a CMA on property and truth your agent. The agent workd for you and should have your best interest at hand. Good luck with your offer.
  • May 23 2011
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Profile picture for Judy Dooley
The best thing to do is get a market analysis of the neighborhood to see what  likeable comps have been selling for in the last 6 months.  Also, there is the question of closing costs.  Are you asking the seller to pay your closing costs?  If so, that will reflect in the sellers bottom dollar.  Closing costs will come right out of any proceeds.  Your agent should be able to advise you on the best route to take.  I believe that if you put an offer in that is so low you will insult the seller and they may not respond or be more difficult to deal with if you are serious about this house.  Super low offers make sellers think the buyer isn't a serious one and may not want to do business with you.
  • May 23 2011
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Your Realtor should do a market analysis for you and be able to share what other homes in the area are selling for that have the same amenities/upgrades.  They should be able to pull a tax assessment and then take into account the length of time the home has been on the market.  Then with all of that factual information, you should feel comfortable making a good sound offer.  Great question!!!

  • May 23 2011
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Jamina1

Thank you for your question.  The best recommendation is to contact a local Realtor in your area.  You can find one by searching on Zillow in your area.  After you find one, you can read actual reviews by their past clients!!!  If this does not work for you, I would be willing to lend a hand just give me a shout.

  • May 23 2011
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Profile picture for jamina1
I do have an agent, and I know he'll submit any offer I suggest, even if he suggests that it won't be accepted. I just don't want to offend the seller and risk losing a deal, nor do I want to get ripped off on the largest transaction of my life.
  • May 23 2011
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Do you have an agent to ask for advice?

I usually recommend asking 10-15K below listing and negotiate up from there.

Good Luck!
  • May 23 2011
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You need to determine what the market value of the home is.  Just because they are asking $144,900 does not mean it is worth $144,900 or even 90% of $144,900.

Find the recently sold value of comparable homes, then factor in the cost for upgrades or the value of the improvments that the Seller has already made.  This is your target price. 
  • May 23 2011
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