What's the best way to decide how much to offer for a house?

Once you've found a house you like and have the financial resources to buy, you must determine how much to offer. A professional real estate agent has access to current data regarding sales of similar properties in the area and can assist you make an informed decision as to the value of the property and what would be an appropriate figure to offer. When making an offer to purchase, consider the following factors: Is the house “Hot” will it attract multiple offers? Has it been on the market for long – if so why?

Remember the Advertised Price Of The House – is frequently a guide to what the seller would like to receive, and recognize that sellers price houses very differently - Some deliberately overprice, others ask pretty close to what they hope to get and a few (often the smartest) under-price their houses with the intent to generate buyer excitement, competing buyers and multiple offers to increase the selling price.

Important notice: When figuring out the cost of the house, be sure to factor in the closing costs, which will be about 2%-5% of the purchase price.