I want to stay around 700k for next home. My relator want me to look at houses around 600k with the intention of “overbidding” to secure the property. Anyone heard of this method?

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Yup. Very tight inventory, almost everything is going over asking price in my area

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In a competitive market this makes a lot of sense otherwise you’ll just consistently get outbid.

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Not since 2022 in my area. Sounds like a great way to go upside down on house value and be trapped there if unemployment spikes. Which is looking more and more likely with the data coming in. They’ve been propping up jobs numbers, changing the way inflation is calculated, GDP is slowing, credit card balances are increasing. Cracks are forming. It’s all pointing to a slower economy. Even vehicles are dropping in price. I wouldn’t trust a used house salesmen with my financial future. Do your own due diligence. Run a rent vs buy analysis.

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It’s very hard to generalize about real estate, or predict prices. I’m near Seattle up 10% yoy, Portland is down 4%. As this job market worsens, people tend to migrate like birds to more prosperous areas.

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Mine suggested the same! What area you in?

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Yes this is annoyingly common in my area

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I am a real estate agent. It is very good advice to shop below your price point. Too many buyers lose deals at closing because insurance or taxes were much higher than estimated and they were too close to their budget max. A good agent will do a weekly market report for you, so you can easily sales prices and if homes are closing above asking price. If there is less than 3 months inventory, they you should be prepared for multiple offers on decent, move-in ready homes.

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This makes sense to give you wiggle room. I recently met with a realtor to sell my house and she suggested selling at $20k below what it will probably go for to get people in the door and for a quicker sale. I’ve been checking the list and sale prices in the area I’m relocating to and almost all went above asking.

This is also because your agent wants a quick sell to get their commission

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