May you should ask her to find out what the realtor commission is on this place based on sales price.
Here are some cold hearted statements. When people say the market has hit bottom, I will use this case as an example, if a single mother with no savings, previously paying $800/month on rent can still qualify to borrow $200K on a dump the market has further to fall. How will she be able to handle issues that come up with the house (A/C, appliances, electrical, etc). How can she afford $1,500 if she is not able to save with a much lower payment? Until we reach a point where today’s sale is not tomorrow’s foreclosure the market will continue to fall.
