Look to see what other houses in your area have sold for and how much money you may have to put into repairs or renovations. These factors will help you determine how much you should feel comfortable spending.
In addition to the sales price for other homes, here are several other ways you can determine a good amount to offer:
- Overall condition of the house - Is it move-in ready or will it need major repairs?
- The market - Are you in a buyer's or seller's market?
- Your maximum approval amount - What is the maximum amount you can borrow from your mortgage lender?