Offering 'Only' $100K More, Homebuyer Was Outbid On A $650K Home That Went For $810K. It Was Their 5th Loss—'I Don't Understand This Market'

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A frustrated homebuyer in Southeast Pennsylvania says they were outbid yet again, this time after offering nearly $100,000 over the asking price. Despite a $750,000 offer on a $650,000 listing, the winning bid came in even higher: $810,000.
'I got nothing... We were almost $100K over ask and I thought that was insane,' the homebuyer wrote in the r/RealEstate subreddit. Their real estate agent advised against going that high, but the buyer believed it might be enough to compete. 'Someone came in $60K higher, waived everything and more.'
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The thread quickly filled with others sharing similar stories, especially from high-demand areas in the Northeast. One commenter wrote, 'You'll see a gut job crack house that needs $100K of work with a crumbling foundation list for $320K get 12 offers in 1 day, and sell for $400K. It really is that bad.'
Several commenters pointed to developers as a major driver of skyrocketing bids. One explained that a developer in their area bought a $329,000 ranch home, bid it up to $445,000, then bought two neighboring homes for $500,000 each. All three were demolished and replaced with $1.4 million new construction.
'Because the developer can overpay... it destroys the comps in the local market,' one person explained. 'Now dated 3/2 ranchers... are going to be listed at $499,000... A first-time home buyer who is willing to put in sweat equity won't be able to afford the price of the house and the cost of renovations.'
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Many warned that asking prices are often set low to create bidding wars. 'Ask price is irrelevant,' one user wrote. Even if a home is severely underpriced, it will usually still sell for what the market is willing to pay.
Another chimed in: 'That $650K price was just bait. They knew it would sell for at least $800K.'
While some urged the original poster to keep trying, others suggested sitting it out. 'You dodged a bullet,' one person wrote. 'The rest of the country is either flat or declining already. NE is lagging, and you do not want to be on the tail end of this wild market.'
The sentiment was similar across most comments: homebuying in hot markets like SE Pennsylvania has become brutal, especially for those without all-cash offers or the ability to waive contingencies.
'The market isn't real here,' a commenter from the region concluded. 'It's just the all-cash, waive-everything market. Sorry OP, the struggle is real for everyone here.'
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With Point, you can get up to $500,000 in cash from your property with no monthly payments and no income requirements — even if your credit isn't perfect.This article Offering 'Only' $100K More, Homebuyer Was Outbid On A $650K Home That Went For $810K. It Was Their 5th Loss—'I Don't Understand This Market' originally appeared on Benzinga.com