It's a real estate agents version of a horror movie or what I experienced this summer. As we close out the summer and move on to our fall market, I'll recap, very breifly, what happened.
I wrote lots of offers, and worked with lots of buyers. The problem seemed to be two-fold and on opposite sides of the coin.
I had buyers that were writing offers and were out bid by other buyers. The properties were priced competitively in great locations and it just didn't happen for them. Many of them were foreclosures.
Other buyers were writing good offers on overpriced properties and the sellers refused to budge.
This seems to be the M.O. of the market and it can be particularly frustrating.
My hope is that this fall sellers and buyers realize that they both need to meet at a price that works.
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2 comments:
Do you think Sellers are just trying to break even or just trying to squeeze what ever they can on the price.
Thanks for the blog!
Hi Anon,
Sorry it took me a bit to get back to you, I was basking in the 100 degree sun in LA last week.
I think it is a little of both. I know some sellers are up against the wall with what they owe on their mortgages. So they are trying to get the price they need to avoid a short sale.
In other instances, the banks have refused to allow a short sale for the offer price or have required the seller to hold a promisory note on the balance of what it sells for and what is owed outstanding. I have had sellers and their agents tell me they rather foreclose than short sell and still owe the bank.
And some sellers are still in denial. They think their house is worth x because the neighbors' house sold for so much more last spring.
And then I feel bad for some of the agents that have listings whose sellers' "friends" suggest the agent is under pricing the property. Meanwhile it languishes on the market too long then chases the market down.
Every situation is different and there has been a shot of reality in the market lately. But it may be too late. Buyers are more cautious than ever and rightfully so. It's going to get interesting.
Thanks for the comment!
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