After months of looking at homes you finally find that one special house you just can't wait to call home. You and your Real Estate Agent carefully research all of the comparable homes in the area to formulate an offer and you can't help but notice that all of the other homes in the neighborhood sold for considerably less than the house you want to purchase. They all have similar size yards, upgrades in the home, and are all very close to the same size and square footage. So why is this particular homeowner asking so much more for their property?
You and your Agent get all of the contract terms in order and a competitive offer price is set based upon the value of all the relevant comparable homes in the surrounding area. Your offer is submitted to the Listing Agent but is quickly rejected by the sellers. The sellers will not entertain any offer below their asking price.
But this home is "the one"! It's in a great neighborhood, has that perfect size yard for your kids to enjoy, and the Master Bathroom has been remodeled to resemble a spa-like retreat. What can you do when a seller has unrealistic expectations of the value of their property?
1. Wait it out. I know this isn't the easiest thing to do when you've found your dream home but if the seller is unwilling to negotiate a competitive, reasonable offer with you then they will treat any other offer the same way. If the home is overpriced, chances are it will sit on the market and become a stagnant listing. After enough time goes by and the seller sees that no one is offering to purchase their home based upon their asking price they may be more willing to negotiate.
2. Let an Appraiser decide the value. This isn't the best option but if you're absolutely convinced this is the perfect home for you and your family, you can meet the sellers demands and allow the Appraiser to determine the value.Although, unlikely as it may be, you need to be prepared in case the Appraiser, in spite of the evidence to the contrary, agrees with the seller's value. However, if the Appraiser assesses the value of the home to be less than the seller's asking price, the seller could still refuse to sell the home to you at the lower Appraised price.
3. Keep Looking. It's not easy finding a home you fall in love with only to see it slip through your fingers. But the right home is out there for everyone. Some Real Estate markets are more competitive than others. Some areas around the Country have a severe lack of homes and inventory in which to choose. Keep your head up. Don't get discouraged. Buying a home may be the biggest decision you make in your life. You will find the right home for the right price at the right time.
If you are looking to buy a home in Gilbert, Arizona or the East Valley, let us here at Zion Realty find your perfect home and negotiate the right price for you. Contact us today.