In our area, the list price for homes is often artificially low as a tactic to get more buyers to submit offers. Thus the list price is often just a starting point, and the actual sales price will typically be somewhat higher.

If you see a home that is priced at rock-bottom for no apparent reason (i.e. all appliances and fixtures are in place and it’s not trashed), then it could be that the listing agent is playing the bid-war game, hoping to get buyers bidding up the price to an amount above the current market value. Ask your realtor to pull current market data for you, and these will be pretty easy to spot.

Although competition has been fierce in the lower price ranges for the last few months, typically there is a seasonal slow-down during the holiday season. For persistent buyers, this is often a great time to buy, since there may be less competition to deal with.

Keep looking, especially between now and New Year’s, and hopefully you’ll be able to get your offer accepted on a wonderful home before the end of the year.