Location, Location, Location ???

[tomhelp]

Sometimes, as a seller, you have to think from the other side of the game: image you are a buyer. Because you want to sell your house to the people who really want to buy.

As you mentioned below:
We bought our home based on the number one rule of real estate "Location, Location, Location". Has that rule fell to the wayside?
Our home is for sale and has a great location.
We are priced within market value.
We have a blue ribbion school.
Easy access to NYC and surrounding Long Island. Quiet street.............

But here is my analysis as a buyer:

1. Today's majority buyers will be first time home buyer only, no investors, no speculators, and no home upgraders (they have to sell their homes first, which is not an easy task).

2. And only first time buyers with sufficient funds or savings - who can be this kind of person? Young doctors, lawyers and professionals. And they are busy with their job and kids. And where are they? They have to work in the city - So, how long it will take from your home to train station? This is one of the key factors. I have seen many people do not drive to work any more, spend less on lunch food or even taking lunch bag, cut off other budget (I am talking about managers working at wall street firms). And how long it will take from door-to-door commuting?

3. Different preferences, my wife hates big trees, while my piano teacher for kids love all big trees. Due to the tree reason, a lot of houses are excluded by my wife though sellers do not know.

[UpsonDowns]

Originally Posted by tomhelp

Sometimes, as a seller, you have to think from the other side of the game: image you are a buyer. Because you want to sell your house to the people who really want to buy.

As you mentioned below:
We bought our home based on the number one rule of real estate "Location, Location, Location". Has that rule fell to the wayside?
Our home is for sale and has a great location.
We are priced within market value.
We have a blue ribbion school.
Easy access to NYC and surrounding Long Island. Quiet street.............

But here is my analysis as a buyer:

1. Today's majority buyers will be first time home buyer only, no investors, no speculators, and no home upgraders (they have to sell their homes first, which is not an easy task).

2. And only first time buyers with sufficient funds or savings - who can be this kind of person? Young doctors, lawyers and professionals. And they are busy with their job and kids. And where are they? They have to work in the city - So, how long it will take from your home to train station? This is one of the key factors. I have seen many people do not drive to work any more, spend less on lunch food or even taking lunch bag, cut off other budget (I am talking about managers working at wall street firms). And how long it will take from door-to-door commuting?

3. Different preferences, my wife hates big trees, while my piano teacher for kids love all big trees. Due to the tree reason, a lot of houses are excluded by my wife though sellers do not know.

Wow, that is fantastic analysis. I wish I had a home to sell so you could do my breakdown.

[nancy thereader]

my wife hates big trees


I am just trying to imagine why anyone would hate trees.

[OhBeeHave]

Originally Posted by YankeeOnTheMove21

Thanks for all the great responses to my original post:

To address a few of the questions:
The house has tons of curb appeal. We re-did the front of the house only a few years ago. Big front porch, columns, stone & cedar shingles. The house still looks great. The house itself is in great condition, move in condition. House was recently painted. Rooms are large and open. Lots of living space. The kitchen would need to be re-done, however that allows a buyer to put their own touches into the house. The kitchen is “ready to customize”. The lay out of the kitchen is good and its a real good size with windows over looking the 2 plus acres with pool & waterfall.

The location of the house is on the North Shore of Long Island in a very sought after blue ribbon school district.

Not everyone wants a big front porch, columns, stone and cedar shingles. For the record: I love the look when it is done right. There are a fair number of larger homes in my area (North Shore, desirable school district, large properties, waterfront) which have had this done to them. Some of them were done right: tastefully, accentuating the home. Others look like someone pulled out the Architectural Digest & Homes magazine and said, "I want this!" not realizing the application does not look quite right on the particular style of home, despite being built correctly.

Random example: Some homes look like they should be in Tuscany, not Head of the Harbor or Cold Spring Harbor. They look beautiful but do not fit in with the look of the area. Some folks are going to pass on that.

Why did you do only the front? Did you cedar side the whole house? If not, what's up on the remaining sides of the house?

The kitchen needing to be redone could be the killer. If the house is looking perfect all around, and is priced comparably to homes in the area which do not need kitchens, you might have your answer there. It's like wearing a new custom tailored imported suit with a stain on the lapel. The suit's gorgeous, but the stain is what the people will see.

If your home is in an upscale area, a homeowner is not going to cheap out on the kitchen. You could be looking at $80K easily for a new kitchen. Put that on top of what your asking and it might make some folks shy away.

Granted, the opportunity to make the kitchen whatever the new owner wants has appeal for some folks (me being one) but some people are too squeamish when it comes to the thought of moving and starting a large construction project during the transition.

[brassbin]

Originally Posted by Transpl

I don't want to over simplify but I firmly believe that a good house in a good school district at a good price will sell.

From the desription it sounds like a great house in a great school, that only leaves.....

that damn buyer who will surely fall in love with the house and hence willing to pay the asking price to...show up, where are you damn it!!!!

[jmax]

Originally Posted by nancy thereader

my wife hates big trees


I am just trying to imagine why anyone would hate trees.

We had a big tree in our front yard growing up - it caused a lot of damage and expense. The roots - pushed up our driveway and sidewalk, both had to be replaced. They also caused damage to the water pipes. One of the limbs grew over our house and became a hazard during bad storms - it cost a ton remove that limb and trim the tree. I hated that tree because of all the leaves I had to rake in the fall. My neighbors had a big tree in the backyard near the telephone wires - The phone company showed up one day to trim trees near the lines - they destroyed it. Cut off so many limbs that it is now the ugliest thing you have ever seen - a huge trunk with a few tiny limbs shooting off in different directions. I would never buy their house solely for that ugly tree in the backyard. The lots are too small in Nassau for big trees. I wouldn't buy a house with big trees.

[YankeeOnTheMove21]

We did not just throw on a front porch. We added the porch, wrapped the entire house in cedar shingles. Our home is about one of five in our development that have this craftsman look. With small children we chose not to live through a kitchen redo with the other work going on. We expanded our garage, expanded our guest area, expanded a bath with an outside door that can be used as a cabana and finished the basement. I can assure you we are not a Tuscany home in Cold Spring Harbor! I don’t know if I agree with you about folks being shy about making changes. The last three homes sold surrounding us have been TORN DOWN and rebuilt. This area is not SHY….. I do think everyone is looking for a bargain.
Which brings me back to my original question. Have buyers forgotten the number one rule. Location, Location, Location.

[yankee73]

I think the number one rule has become Economy, Economy, Economy.

[vilzvet]

Originally Posted by YankeeOnTheMove21

We bought our home based on the number one rule of real estate "Location, Location, Location". Has that rule fell to the wayside?
Our home is for sale and has a great location.
We are priced within market value.
We have a blue ribbion school.
Easy access to NYC and surrounding Long Island. Quiet street.............

Are the buyers that are out there so consumend with price that they are forgetting the first rule of real estate ?

>
Hey Yankee, you never did say where you are going?? I am heading to NC myself if I can get my house sold too!

[OhBeeHave]

Originally Posted by YankeeOnTheMove21

We did not just throw on a front porch. We added the porch, wrapped the entire house in cedar shingles. Our home is about one of five in our development that have this craftsman look. With small children we chose not to live through a kitchen redo with the other work going on. We expanded our garage, expanded our guest area, expanded a bath with an outside door that can be used as a cabana and finished the basement. I can assure you we are not a Tuscany home in Cold Spring Harbor! I don’t know if I agree with you about folks being shy about making changes. The last three homes sold surrounding us have been TORN DOWN and rebuilt. This area is not SHY….. I do think everyone is looking for a bargain.
Which brings me back to my original question. Have buyers forgotten the number one rule. Location, Location, Location.

Never said you did. You transformed a development house into a craftsman style house.

If you noticed, I prefaced the Tuscany comment with the remark "Random" meaning any not specifically your home. You have to admit though: there are a lot more people doing the stucco look the past few years and it looks out of place in many developments and communities. That's what I was referring to -- the general populace. Please don't take it personally.

Just like you didn't want work going on in the house with small children, the new prospective owner might feel very much the same way. People usually want one of two things: a fixer upper or a turn key home. Your house sounds like it is not quite 100% turn key because of the kitchen. Or as I wrote before, your home (while priced reasonably for the area in your opinion) might be in line with homes which are turn key and have a new kitchen, or a fairly recent high end kitchen.

Some people might see the tear downs and think about doing the same themselves to get the exact house they want as opposed to buying a lovely home at a higher price which is almost want they want, but needs tweaks in their eyes.

As for your original question:

Someone else replied people are more about economy, economy, economy and I believe that the economy is coming into play here, as well as the mortgage crisis and consumer confidence. I nearly bought a $950K fixer upper in Head of the Harbor and was going to take a fixed mortgage and an ARM as a bridge mortgage until my house was sold. This was 2 years ago just as the downturn was starting and prices were still very high. The products that I could be placed into to make this deal happen were coming at me from every direction. I wasn't comfortable with the fact that I would have a mortgage on my primary home, a mortgage on my vacation home and then a jumbo mortgage and ARM on my new home. The housing market made me concerned as well. There was only so long I could go paying 4 mortgages before I would crash and burn. (For the record -- the man who bought the house when I backed out is selling it -- for a loss)

Long story short, I believe confidence is down with the perspective homebuyers -- if I spend $X on YankeeOnTheMove's lovely home, will it be worth less the day after I close?

It's only my opinion. If my house were on the market, they'd be asking the same thing I would bet.