"I don't expect any good information from this site."


With that attitude you are setting up yourself for failure.

In most states a BROKER has more experience and knowledge than an agent. Now there are some top producer agents who are not brokers who are very good.

Your problems you are currently having is from inexperience. Think of it this way is you are buying only one property and I do many transactions a year I will know how to run circles around you. I will have already experienced many of the pitfalls and made adjustments on my next transactions.

Usually your state has a real estate commmission website. You want to check for years in real estate,there field of expertise,and closing volume.

I would delete everything I've said, if I could; but I will ignore your comments so they won't jaundice my opinion of the next person who comes here seeking free advice.

You're entitled to a Full Refund. Good Bye !

Thank you both for your replies, but I already said I didn't expect any help from this site.
If it was forthcoming, it would have been posted already.

I don't doubt you all could run circles around me.

I'm sure the agent I spoke to could run circles around me.

That's not the point.

The whole point is how to offer a man a fair price and get a fair deal in the process.

I'm not in the market to make a killing.

Of course, I know, regardless of what "they" say the market is doing, the bottom line is what the seller will sell for and what the buyer will pay and this market seems to ignore the 'rules'. Maybe because they can; maybe because they have to.

But, all that having been said, you two can't ignore the fact that I have received zero help since I signed on, right?

You've gotten solid advice but don't realize it. Hire an experienced appraiser. Someone familiar with that area. That is what bank's do. If you don't trust the opinion of an experienced professional (the experienced appraiser you hire), you should pass on this property and let someone else buy it. Good luck.

Thank you!

You can ask them to show you how much they owe to the bank, but a lot of people can't sell their houses because they owe more than their house cost even they paying all of their payments on time, especially since the market has been declining. I don't think that that agent is lieing to you.

Quarter,

It seems to me that the free advice you have recvd is good. I will add some comments that may help you, since you may not be receiving or want any more.

First, in layman's terms an agent is a liscensed real estate affiliate that is working as an independent contractor for a broker and representing a buyer or seller. A broker is typically the owner or principle liscensed agent of the firm in which the "agent" is liscensed under.

Second, the seller's agent is representing the seller. The seller's agent can work for both parties as a dual or transaction broker or as state law mandates. However, as somene pointed out earlier, you are doing a lot of the work without the resources that may be available and it may be advisable to have an agent help you out.

It is customary in Memphis for the seller to pay commissions on the sell of the property. So, why would you not look for someone to represent you as the buyer? The buyers agent spends his own time, money and diligence in order to satisfy (you) the client to find the properties that may work for you. They then spend time, gas and office supplies to accommadate the buyer. The buyer's rep after doing comparables, making and bringing to fruitation an offer into a contract in your best interest, will also set inspection dates, closing dates and what's neccessary for you to have a smooth close on a property. When the sell is finalized, the buyers agent gets paid typically after the settlement and broker fees are paid by the seller. So again, why wouldn't you want someone to represent you as a buyer?

If you would like me to refer someone in your area or can be of further help let me know by pm, phone (901)834-7475 or on this forum.

Lisa

Thank you for your reply.

As much as it doesn't sound like it, I do appreciate all comments.

What I want to do, while I am looking is find out:
1. how can I successfully argue that this property is priced too high?
2. how can I determine how much a property is worth?
(From my Original Post)

People here apparently haven't heard that the market is down or that adjacent properties affect the price they will receive.

And, that includes the seller's agent.

I do want to do a bit of my own homework before calling in the experts .... I just need to know how ... and no, no one has even tried to tell me how to successfully do that.

The attitude seems to be that I am trying to take money out of their pocket, and I am, but only to the point of an informed, fair market price.

If you or anybody receives 10% of the fair market value for all your hard work, that's great!
But, in my Original Post, 10% (or whatever) of an inflated $114,900.00 is out of the question.

I wouldn't expect to sell my car for $100,000.00 because it isn't worth it.
I don't expect to pay $114,900.00 for that house because it isn't worth it.

Now, he may be able to hold out and one day, someone may meet his asking price .... that's great, too!

But, I can rest easy in the knowledge that I did NOT pay $50,000 more than I should have.

Make any sense?

Go to the title company and research records on area sales, and then compare the features of those properties, and then make minus and plus cost adjustments to account for the variable differences among the comps, and then factor in population and growth trends for your area and the economic livelihood of the area, and adjust for progression and regression in the neighborhood.

Or

Figure the value of the land and then have a general contractor tell you how much it will cost to build a comparable home new, and then subtract out depreciation, making any allowances for the economic life of capital improvements made at different dates.

Or

Gather data on the gross rent multipliers for your area and then multiply what the property you are considering buying would rent for by that multiplier.

It's as easy as that.

I can understand that you are completely frustrated with the fact that the seller does not take your word that the property is worth much less than the listing price based on your drive-by of the area.

What is the most you would pay for the property with no regrets? Why don't you offer that amount? If it's accepted, you'll have a deal. If not, at least you tried your best.

Touche, Cave Man!

I'd hire you in a minute!

I did make an offer of $50,000 which was countered, the agent said, with $114,900.

I don't think I can do any of that ..... is that your point?

So you made an offer of 50,000 for a property they countered at 114,900??

You haven't been watching those late night TV infommercials have you??

Are you trying to flip the property,rent it out,or live in yourself?

To answer your other question it comes down to market knowledge. In my market I know what the values are,the right questions to ask to determine motivation,and what the appreciation trends are for the area.


Why don't you just call a broker to give you th emost recent solds for that street??? If you don't want to do that check the tax records and recording dates.

It just seems if you want to do everything yourself just go to school and get your agent's liscense.

Knowone on here is going to write a book on determining value.

Yes, the home is on the market for $114,900 and I offered $50,000.
Yes, his agent/broker said he counter offered $114,900.
His agent/broker said it was appraised at more than $114,900.
His agent/broker said he owed more than $50,000 on it.
No, I haven't watched those infomercials.
I would live in it. So, you think I can I get a better counter offer if I would tell them I plan to rent it out or flip it? Makes no sense to me, but OK. Is it required to declare my plans to the seller's agent/broker? Come to think of it, though, his agent/broker never did ask.

I just can't figure out why it never occured to me to call a real estate office agent/broker and trust them 100%.

Sometimes you just miss the obvious, I guess.

Truly I say unto you, you are wasting your time and ours with your questions and comments.

It is clear from your comments and sarcasm that you don't trust agents/brokers/appraisers or any real estate professional. You don't want to hire an expert because you don't trust experts. You trust your own opinion. So you want to make your own valuation, yet you don't know how to do it, and so you want some real estate professional to help you -- but darn if those aren't the very people you don't trust and would rather insult.

There's no point in carrying on any further dialogue in this forum on this topic. You haven't appreciated any comments or advice given out and that won't change.

Since your best offer was not successful, it is time for you to shop elsewhere for a home and probably a good time for you to post messages elsewhere. You would just be wasting your time and ours with any more questions.

I have insulted no one.

However, I can say, if the shoe fits and let it go at that.

Sure, I would likt to know how to know these things, but I don't expect to receive that information here.

Let me tell you a little story: A man tried to sell his almost new home FSBO for $80,000. He wasn't successful.
He contacted an agent/broker who put it on the market for $89,000.00. HER price; not his.
A lady had a small shop she wanted $20,000 for. This same agent/broker insisted it be listed for $30,000.
The house sold; the shop didn't. (I'm not privy to the final sale price on the house, sorry!)
Same agent/broker I dealt with, as well, who is asking $114,000.00 and she tells me I can't speak to the owner directly.
Is this the professional you want me to place all my trust in?

And, I'll tell you again: I haven't gotten far enough into it to get my own buyers agent. When I'm ready, I will.

That's because she has legal responsibility to the seller to screen buyers and perform ALL negotiations on there behalf. It's called a listing contract and it spells out duties to the seller for the client brokerage relationship.

Whether you flip,rent,or live in it would determine tax ramifications,assett protection,and offer price based on exit strategy.It's obvious from your post you are unknowledgable about the real estate market. People are not GIVING away properties. If you want to low ball offers do it on properties that need alot of work and that will be where the profit lies and value is created.

I won't post on this anymore. If you want free info pick a brokers brain locally. I charge 2,000 an hour

All the best to you.........