what is everyone's rule in terms of asking price vs offer price?
I mean how low do you go?
when we purchased our unit it was offers over 240k(or 250k cant remember ) we offered 220k and ended up getting it for 230K. we purchased when times where good, and just before the boom so we are alittle out of touch as to how the market is now and what sellers expect and will go for.
we are now looking at buying a house. we have found one we like and if its still available after our holidays we will seriously consider putting in an offer. it is for sale for 449k, but its in an area which the current med house price is only 440k.
its a Deceased Estate and in original 80's condition (as in wall paper, carpet, bathroom, kitchen etc) but seems to be solid and well cared for. there is loads of potencial and is a good layout and size.
it does have a pool but its unfenced, 3 bed 2 bath 645sqm block.
what is wrong with it/ could do with a makeover is and cost wise we are thinking that it will cost us :
the pool will need to be fenced - 5k to comply
wall paper to be removed and panted- 2k-3k at diy
carpet lifted and wooden floors to be polished- 2k-3k at diy
bathroom 1 to be updated (second is just a shabby one anyway in the laundry so ok to leave the way it is) 5k
kitchen to be updated. 6k
outside areas to have new pavers installed. 4k
so all up about 30k worth of renos (please advise if we have under quoted ourselves on the reno costs).
I know the land value alone is 285k.
so long story short what would you start your offer price at knowing that the mean price in the area is only 440k (and there are some really nice places for just over the 500k mark), that there is 30k worth of renos (atleast), including a non compliant pool and that it is a Deceased Estate?
I think that 420k is fair and I dont really want to go more than 430k really if we go in the 420's that would be great, is that too low?