I understand that the "value"of a house is imprecise, within +/- 5% or so, and that it's normal for sellers to price a bit above value.
But some houses have an asking price 50% or more above value. Either the seller is crazy, or bought at the market peak (2006/2007) or has been flattered by an agent just out to get the listing.
Is it even worth bothering to make an offer in such a case? Or better to have "abundance mentality" and make offers only on a reasonably priced house?
If a house worth 200K is priced at 300K does one offer 200K as a best and final offer? I doubt that will work. Nor will offering 100K and waiting for the seller to meet me halfway at 200K.
My gut tells me not to bother.
Thoughts?
But some houses have an asking price 50% or more above value. Either the seller is crazy, or bought at the market peak (2006/2007) or has been flattered by an agent just out to get the listing.
Is it even worth bothering to make an offer in such a case? Or better to have "abundance mentality" and make offers only on a reasonably priced house?
If a house worth 200K is priced at 300K does one offer 200K as a best and final offer? I doubt that will work. Nor will offering 100K and waiting for the seller to meet me halfway at 200K.
My gut tells me not to bother.
Thoughts?