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Apartment offer

Posted: Wed Mar 14, 2018 10:59 pm
by fybian
Dear all,

Thanks for your help in my previous posts.
Now we are considering to buy an apartment. In the current Chilean market situation, what is a reasonable offer to make to the seller to buy the properties, say 5% off or 10% off?

Thanks,
Frank

Re: Apartment offer

Posted: Thu Mar 15, 2018 8:35 am
by admin
10%, unless you have some mega leverage. Even with leverage sellers in chile will often just refuse to drop the price.

More than 10% the sellers tend to get imsulted and will not sell at any price.

Re: Apartment offer

Posted: Thu Mar 15, 2018 10:41 am
by Donnybrook
Have an argument for dropping the price. What would need doing - painting, redoing the kitchen etc. If buying a flat ask if there is a savings fund for future big shared expenses, how many owe their monthly "gastos comunes". These are very important in a small building as fewer are contributing. When a lift needs replacing in an older building this can matter a lot. Check the flat is debt free.

Re: Apartment offer

Posted: Thu Mar 15, 2018 11:26 am
by eeuunikkeiexpat
Donnybrook wrote:
Thu Mar 15, 2018 10:41 am
Have an argument for dropping the price. What would need doing - painting, redoing the kitchen etc. If buying a flat ask if there is a savings fund for future big shared expenses, how many owe their monthly "gastos comunes". These are very important in a small building as fewer are contributing. When a lift needs replacing in an older building this can matter a lot. Check the flat is debt free.
Very good advice.

And realize, these things can change quickly to the negative if the administration commits fraud.

Re: Apartment offer

Posted: Thu Mar 15, 2018 1:37 pm
by fybian
Donnybrook wrote:
Thu Mar 15, 2018 10:41 am
Have an argument for dropping the price. What would need doing - painting, redoing the kitchen etc. If buying a flat ask if there is a savings fund for future big shared expenses, how many owe their monthly "gastos comunes". These are very important in a small building as fewer are contributing. When a lift needs replacing in an older building this can matter a lot. Check the flat is debt free.
Thanks for the suggestions! Where can I get the information that how much they owe their "gastos comunes"? From their agent?

Re: Apartment offer

Posted: Thu Mar 15, 2018 2:37 pm
by at46
fybian wrote:
Thu Mar 15, 2018 1:37 pm
Donnybrook wrote:
Thu Mar 15, 2018 10:41 am
Have an argument for dropping the price. What would need doing - painting, redoing the kitchen etc. If buying a flat ask if there is a savings fund for future big shared expenses, how many owe their monthly "gastos comunes". These are very important in a small building as fewer are contributing. When a lift needs replacing in an older building this can matter a lot. Check the flat is debt free.
Thanks for the suggestions! Where can I get the information that how much they owe their "gastos comunes"? From their agent?
Talk to the administrador/mayordomo of the building about gastos. As to asking for a discount, find out how much the apartment has been on the market. If not much, they're not likely to move. So just wait it out. But if you have researched the market and are really interested in that specific apartment, maybe offer 5% off or just pay the full price before someone else snaps it up.

Re: Apartment offer

Posted: Thu Mar 15, 2018 4:32 pm
by fybian
Thank all for the help and suggestions! Is there a checklist for buying an apartment in Chile.

Re: Apartment offer

Posted: Thu Mar 15, 2018 8:34 pm
by paladin
fybian wrote:
Thu Mar 15, 2018 4:32 pm
Thank all for the help and suggestions! Is there a checklist for buying an apartment in Chile.
I would suggest you dont believe anything the real estate agent tells you, even though you’ll no doubt be paying him/her, and that you use a reliable lawyer. It will obviously cost a little, but from my experience, it’s well worth it, as there are many ways to slip up, and perhaps gind yourself with major problems.

Re: Apartment offer

Posted: Thu Mar 15, 2018 10:22 pm
by at46
paladin wrote:
Thu Mar 15, 2018 8:34 pm
fybian wrote:
Thu Mar 15, 2018 4:32 pm
Thank all for the help and suggestions! Is there a checklist for buying an apartment in Chile.
I would suggest you dont believe anything the real estate agent tells you, even though you’ll no doubt be paying him/her, and that you use a reliable lawyer. It will obviously cost a little, but from my experience, it’s well worth it, as there are many ways to slip up, and perhaps gind yourself with major problems.
I used both an agent for local knowledge etc. and a lawyer for the documentation. It worked really well.

BTW, they're more likely to move on price if you're paying cash.

Re: Apartment offer

Posted: Fri Mar 16, 2018 5:40 pm
by fybian
Another thing I would like to ask is that the mortgage. What is the current mortgage rate now? Which bank offers the best interests rate?

Thanks,
Frank