All Forum Posts by: Natalie Martinez

What does your analysis say? You should do the numbers and make sure it makes sense. If it does not make sense at those price points, why do it? You make your money when you buy with equity, not at or above retail price.

If you do not plan to benefit from the purchase because you are living in it, sure, make whatever offer your comfortable with.

Market value estimation is never a specific percentage range above or below list price, I realize a lot of 'methods' teach this, but that is starting from the wrong end of things.

The question is, what is the market value (regardless of list price, which the listing agent seller could have set at high, low, or spot on)? 

To figure that out you need to do a market analysis, the same as if it were your home and you were putting it on the market. So you and your agent need to look at the data for comparable pending and (very) recently sold homes, as well as whatever active homes may be available - because solds and pending aside, the value of this prospective home will be comparatively lower if there are 15 similar homes on the market for buyers to look at compared to if there are just one, two, or zero other homes like this for buyers.

And I know it's tough with HUD homes because they don't take escalators, but in the end, armed with your market analysis data, you need to bid your 'walk away' price, meaning that if you bid a dollar under what it goes for you'd be OK with not getting it, rather than kicking yourself and wishing you had bid a dollar more. Good luck!