A year ago the market was ripe for buyers to try and negotiate the deal of the century with REO properties. Fast forward to spring 2009 and the chances of getting a lowball offer accepted are quickly becoming history.
The market in Northern Virginia especially in the Prince William County has shifted and instead of decent properties sitting on the market for weeks or months they are snapped up in days, most with multiple offers. For buyers who are still thinking that the opportunity to make an offer 10-20% below list price is a good idea you should seriously reconsider your plans. Lowball offers aren’t even a consideration on most properties.
A recent search through the MLS and personal experience with buyers has proven that if you snooze you lose. For example in the Lake Ridge area 50% of the townhouses that have sold recently have sold for ABOVE asking price!
The usual cautions are in place when buying a foreclosure. You are buying a property “AS IS” and this means that though you can have an inspection for information purposes only. As a buyer you are going to be responsible for having the utilities turned on, the home de-winterized and pay for any repairs that need to be made to the property. All of which factor into the price you should pay for a new home.
If you are looking at purchasing a new home in the lower price brackets (under 200K) this spring in Prince William County make sure you have talked to a local lender and gotten your pre-qualification ready. Have enough money in your checkbook to write a small earnest money deposit and be prepared to act fast.