I need help with negotiating on a house PLEASE HELP.?

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I offered $ 126,000 on a $ 125,000 home they counter offer me. I was going to pay half of the mortgage title fee, 1/2 the owners title fee, termite insp.,tangabile tax, recording on the deed and mortgage, loan origination, basically everything, but realestate fee’s tax service fees, underwriting and 1/2 the mortgage title. basically I was paying 13 out of 17 of the fees and now he counter offered 15 out of the 17 fees. Is he being greedy or am I being petty? Should I counter or should I not bother. my closing costs plus va funding fee equal 10,000 so I will end up paying about 136,000? I’m going nuts please give me some insight

  1. Reply
    Denise B
    January 20, 2011 at 2:12 pm

    What lender are you using? You didn’t say what state you were in but it sounds like there is no one protecting your interests. Do you have a realtor? If you have no representation, speak with an attorney.

  2. Reply
    January 20, 2011 at 2:25 pm

    He’s being greedy and you’re being petty – yes.

    So, now what? If the house is the one you absolutely want, is it worth the extra two items he countered? Only you can answer that.

    There are certain items with a VA loan that the seller MUST pay – you should find that out and ensure you’re protected!

  3. Reply
    January 20, 2011 at 2:27 pm

    Well, it depends on how badly you want this house, and if it’s a “good deal”, and also, how much more are those other 2 fees going to cost, are they inexpensive fees or expensive fees? Personally, if it were me, i’d prolly go ahead and do it, because looking and finding a house that is acceptable is a real pain:) Good luck:)

  4. Reply
    January 20, 2011 at 2:36 pm

    On a VA loan the buyer always pays the funding fee, so this is not negotiable to the seller.
    The VA will NOT allow you to pay the termite inspection. Please review this with your lender.
    The other fee’s are negotiable and you just have to decide how bad you want the house. It’s all a game between buyer and seller as to who will give the most.
    I’m guessing you’ve mostly been dealing with your Realtor regarding the fees, please call your lender and discuss them with him also, it may help to settle things for both of you.

  5. Reply
    Tim Nolder
    January 20, 2011 at 3:25 pm

    As a real estate agent for Howard Hanna in Pittsburgh, PA I have quite a bit of experience on this subject.

    Just a quick note though, for a buyer is its entirely FREE to have an agent represent you. Therefore trying to go it alone doesn’t make a lot of sense since you get all of the services of a professional agent and the seller pays commision on the home to your representative. If the home is For Sale By the Owner then ask if they will pay a buyer’s agent, the services you both will recieve in return is well worth the price of half a normal commision on the seller.

    As far as your situation there may be a way around this. Depending on your state they may allow what is called ‘seller assist’. What this means is that you offer whatever your base price for the home plus 6% to be credited to you at closing to help cover your fees. With the seller assist it allows you to have the seller pay your fees at closing and add the cost into your mortgage significantly reducing what terms you have to negotiate on.

    For example:
    Your base price: $ 126,000
    6% of the base price: $ 7,560

    At closing you will be credited $ 7,560 from the seller. And your mortgage will be for $ 133,560 (the 6% plus the base amount)reducing the amount of money you need to bring to closing. This money is credited against any of your fees such as the title insurance/deed prep etc.

    As far as what you think is fair thats up to you. I look at it like this. The seller is only required to pay for costs such as their share of the transfer taxes, any municipal letters, and testing required by the area. Your mortgage costs and the title insurance/deed and prep work are your responsibility. I’d start by asking them to pay their half. I’d need more information but it seems they are forfilling their side. If you can get them to help pay your mortgage costs then you are really ahead. But don’t count on it.

    I hope this helps.

  6. Reply
    Samantha D
    January 20, 2011 at 4:20 pm

    I just saw the question you posted. I work in Real Estate, and right now its a buyers market. You have the upper hand. You should look further into this home, if its really “the one”. How long has it been on the market? How many times have they lowered the price? Ect. This will tell you how desperate they are to get rid of it. If you end up counter offering, you should say ok to the 15 of the 17 fees but you should put “seller contributes $ 2500 or whatever to closing costs. A LOT of sellers are doing this now in desperation of getting rid of their investments.

  7. Reply
    January 20, 2011 at 4:42 pm

    I think you should call your friend Waldo and tell him to stop responding to your questions with ridiculous answers. I’m sorry. I’ll stop now.

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