Detroit Real Estate

I got a call today from a home buyer. He was looking at million dollar lake front homes.  He had cash money.  But he wanted to offer $500,000 on the home.   What are you crazy?  You are going to be wasting your time.  You don't want to insult the seller so he won't negotiate at all.  You want to buy the house right?

Here are the latest statistics on 10 Metro Detroit lake front homes in the million dollar to 1.5 million dollar range in the last six months

Listed price                         Sold Price

1,150,000                         1,060,000

1,169,000                         1,169,000

1,250,000                         1,175,000

1,350,000                         1,125,000

1,098,000                         1,080,000

1,199,900                         1,075,000

1,995,000                         1,500,000

1,595,000                          1,300,000

1,500,000                         1,305,000 

1,950,000                         1,400,000

I haven't seen anybody accept a 50% below offer.  If you notice the above prices most of the homes went for about 10% or less.  There are a two that went for 25% & 27% less. 

As your buyers agent I will put in whatever offer you want on a home.  But if you look at the statistics of all the latest Metro Detroit lake front homes none sold for less than 27% off.  So you would be better to put in a 35% or 37% below list price offer if you are trying to steal it.

Many of the other buyers would have just laughed at you.  50% below offers will not get the home you want.  If you want a Metro Detroit home ( whether it is lake front or not, or $100,000 or $1,000,000) sometimes you may have to pay a little more than 50% off the listed price.

My thought of the day  

Simple Friends and Real Friends