brit_usa2014

Thanks for the discussion- some very useful advice on there!

Another question- We've seen a home (we think we like) and booked to go see it this weekend! But status on website says "Under Agreement"! If its under agreement, is there any use in us seeing the home, or if we like it would we still be able to put an offer on it?

hungryhorace

It means an offer was submitted and accepted. I wouldn't bother seeing the home.

sir_eccles

Unless you want to get into a bidding war.

scrubbedexpat099

Not all offers go to completion. Good to see what is current and what selling prices are.

petitefrancaise

look at as many as you can. Only by doing that will you get a really good idea of what your money will get you. Then, when you find something you really like, you'll be able and willing to move quickly.

Michael

+1

Sometimes the buyer doesn't qualify for the mortgage, can't meet other conditions, or there is a disagreement over who will pay for damage found during inspection. Normally the sales agreement can't be breached unless the conditions aren't meet so someone normally can't place a bid unless the conditions aren't met or the buyer backs out and then loses the good faith deposit.

dunroving

+2

The situation varies across the US, but in my experience in TN and NC, agreements often contain a "get out of jail free" clause, which could be to do with "subject to the buyer obtaining suitable funding", for example. I have known several buyers who pulled out of a purchase using such a clause.

So yes, go look at it. Even if the sale goes through you are building an idea of what is out there and how much it costs.

mum 2 3

A house we liked went under contract. We were initially told that was the end of that, but a few weeks later there was a possibility the purchasers mortgage wouldn't come through by the date specified in the contact. We were allowed to view and made an offer that they accepted should the other mortgage not appear on time. On the day it was due the mortgage wasn't ready but the attorney gave them until 12 the next day and they got it together. The seller would rather have gone with us (think our offer was higher) but their hands were tied.
It has made me more wary of the process and ways it can break down. The seller may still let the house be shown and even accept a backup offer but unless the process falls through for the first in line you may not have a chance.

brit_usa2014

Saw a home we liked but a couple of things comes to mind-
1) It's been on the market for about 100 odd days- is that reason to be concerned? It's in a nice cul-de-sac area, but thinking if we would be able to sell it so easily later on?
2) If the asking price is about $450K and it's been on the market for said number of days above, what would be an acceptable offer to put down?

Any help welcome!

sir_eccles

What are the local comps? Is it priced higher than the local ceiling? Without knowing that sort of information it's hard to say.

hungryhorace

I would be asking myself, why hasn't it sold? Is it simply overpriced? Is there work requiring doing to it? Or some other local issue (maybe they're going to develop on the grounds near by or something like that) that's stopping it selling.

I would then, with my realtor, look for similar nearby properties that recently sold and try and get a feel for whether the house is fairly priced or not.

Either way, given its been on the market for so long, and they probably don't have any other offers I would go in $20-30k under then let them haggle me upwards.

Pulaski

1) There is no need for concern. Every house is unique and the right buyer for that house hasn't yet appeared. That said, it could be over priced, or have some issue, perhaps structural. Any house can be sold, you just need to present it well and ask the right price.

2) I'd start at about 10% less than asking, or in your case a round $400k, and see what response you get. Depending on the seller's situation they might accept even that offer. The last time we bought a house we offered about 7% less than asking and the sellers accepted it. Then we wished we'd offered even less.

Remember, it's a business transaction, you don't need the seller to like you!

scrubbedexpat099

Where I am currently suggests that it is over priced or there is an issue.

Where I am realistically priced properties go reasonably quickly. Market traditional ly goes dead until the new year after Thanksgiving. Maybe they are not bothered about selling.

Hotscot

The Start-to-Finish Guide to Buying a Home

petitefrancaise

100 days on the market?
are other houses in your area selling quickly?

My experience of buying (in June) was that anything around that long was either overpriced (by a long way ?25%) or there was something seriously wrong with it.

Ask the neighbours about it?