A house in a decent/nice neighborhood will be listing soon, and I managed to talk to the owner before it hits the market next week. He and his agent will be listing it at $375k. Unprompted, the owner mentioned that he might be willing to sell the house as-is for $365k. We haven’t gotten to view the house yet because he’s still moving things out, but here are the general details.
The house has had some updates according to the owner (new floors downstairs, new water tank, and 1.5 of the 2.5 bathrooms have been updated). However, the owner is also claiming that the house is ~2200 sqft. According to the county assessor’s page, the house is actually 2000 sqft. I’m a bit of a skeptic, so I feel like the owner is lying about this info and trying to sell it for more than its worth. OTOH, my fiance thinks the owner may have just finished off the attic space and is counting that as extra, unaccounted for square footage.
The average price per sqft here is $150/sqft, so even if the owner is correct about the size, the house should only be about $330k – which is exactly what another 2300 sqft house in this neighborhood recently sold for (and this other house had MUCH more extensive upgrades). And if he is wrong about the size and it really is 2000 sqft, then the house should only be $300k (again, which is about what another 2000 sqft house in the neighborhood sold for recently).
We’re exhausted with this house hunting process, so I don’t want to ruin what might be a solid opportunity. However, I feel like we’d be getting majorly screwed over if we just accept this offer despite the math not mathing. The owner is going to give us a call on Sunday to further discuss this, and I want to know if it’s worth it to mention my concerns. My fiance thinks we should just take the guy’s word for it and offer $350k max. Thoughts?
ETA: I’m also concerned about a potential appraisal issue. The other 2000 sqft house in the neighborhood sold for $310k, and appraised at $320k. We would definitely keep our appraisal contingency, but I can’t imagine his realtor wouldn’t notice the potential appraisal issue by listing it so high)