October 23rd, 2012
With the housing market beginning to bounce back, it’s becoming harder to get a home in a desirable area below real estate value.
There are still ways to get a home you love for less than top dollar, though, as Brendon Desimone points out in his blog post, “How to Buy a Home Below Current Real Estate Value.”
If you’ve ever sold a house before, you know the perk to hiring an agent is that he or she know what’s best. If the agent tells you to paint the living room, pack up some clutter or replace the carpets before you should your home, you do.
Except some people don’t, and that’s where the possibility of buying a home for cheaper than market value arises.
According to Desimone, if there’s a home in a good neighborhood that isn’t selling, you may want to investigate further.
A lot of furniture
Rooms that have big furniture or a lot of small pieces appear to be smaller than they actually are. Many potential buyers quickly move on if they think the rooms are too small. Instead, bring a measuring tape along or try to imagine the rooms without furniture to get a better idea of size.
Dark rooms are easy to fix, but they’re a huge turnoff to buyers. If you come across a dark house (dark wood, dark carpets or dark window) that has been on the market for a while, offer a price lower than they’re asking for.
Desimone offers such an example of a buyer who offered $40,000 below asking price, which the seller accepted.
“Before the buyer moved in, he removed the window coverings, stripped the stain on the doors and painted them white, pulled up the old carpet and had the floors stained to a lighter oak. Right away, the dark room became light, bright and welcoming. The buyer’s total cost: $9,000, which instantly added $31,000 to his equity,” he wrote.
It’s hard to picture yourself in a home when the owners have a different style than you, or the walls are still covered in their family photos. This can turn off a lot of buyers, but again, try to see past such qualities.
If the layout and location of the home is what you want, don’t pass the opportunity to get the home for a steal.