Real Estate Market "Comeback" and improving everyday. 2008 looks GREAT ! (Sussex: for sale, foreclosures)

[PARelo]

I'm amazed at the number of MLS closings/sales all over the North/South East coast in November. I would like to hear from Agents. Why now ? Are Sellers giving into "Lowballers"(Buyers) ? Is the Real Estate market making a "comeback" ? Are Buyers finally giving in to the stagnant home inventory on the market ? I always thought Real Estate sales were slow this time of year. Should Sellers start pricing their homes a bit higher now ? Thanks for your input.

[JERSEY MAN]

I guess you don't follow the news, Foreclosures ALL TIME HIGH. People are on this forum saying thet can't sell. When people realize they must drop the prices to a level where other people think its fair, then the market will stabilize and then possibly move forward. For all the people that say I CAN'T SELL. Yes you can if YOU LOWER YOUR PRICE. Homes are an investment just like stocks, bonds, CDs. They go up and down. If you bought Citibank at 58 dollars(biggest financial bank in world) you bought to high its only worth 30 today. You had brokers HIGHLY recommending to buy it at 58. Now they are telling you to sell at 30. Same applies to housing. If they lower the price enuf it will sell. One example, we went to Greenbriar community in Waretown to look at a retirement home. They have 3,000 Sq.ft. houses for sale with options for 329 and they still are having difficulty finding buyers. Some people bought the same houses for 500K two years ago and are trying to sell them at 500K. DUH which house do you think anyone will buy.SUPPLY AND DEMAND AND PRICING. Nuf said

[Cigar56a]

I think we're in the midst of a prolonged market correction. The shakeout could continue for another year or two. Once we reach the bottom it won't be business as usual again. We're not likely to see rapid home appreciations for quite some time.

[apvbguy]

Originally Posted by JERSEY MAN

I guess you don't follow the news, Foreclosures ALL TIME HIGH. People are on this forum saying thet can't sell. When people realize they must drop the prices to a level where other people think its fair, then the market will stabilize and then possibly move forward. For all the people that say I CAN'T SELL. Yes you can if YOU LOWER YOUR PRICE. Homes are an investment just like stocks, bonds, CDs. They go up and down. If you bought Citibank at 58 dollars(biggest financial bank in world) you bought to high its only worth 30 today. You had brokers HIGHLY recommending to buy it at 58. Now they are telling you to sell at 30. Same applies to housing. If they lower the price enuf it will sell. One example, we went to Greenbriar community in Waretown to look at a retirement home. They have 3,000 Sq.ft. houses for sale with options for 329 and they still are having difficulty finding buyers. Some people bought the same houses for 500K two years ago and are trying to sell them at 500K. DUH which house do you think anyone will buy.SUPPLY AND DEMAND AND PRICING. Nuf said

you're generalizing and that doesn't work in real estate, all markets are local and in some places real estate is holding it's own. Things are slow and houses aren't selling fast but if a home is priced right and is in a desirable location things aren't so bad, those houses are selling.
If you need a house, it is a great time to be a buyer, large inventory and motivated sellers make things easier for buyers and if history provides any clue to what will happen down the road people who step up and buy now will be rewarded in the long term.
Sure some people who bought recently and now have to sell are in a bad position but that is a minority of people, most people are not mortgaged up to their eyeballs, most people don't need to sell their homes now and contrary to the media reports mortgage resets are not forcing people out of their homes, so brush aside the sky is falling cries from the media and carry on.

[JERSEY MAN]

APV, agreed to a certain extent. But what about the posters here that are saying they can not sell. Wouldn't you agree with the notion that if they LOWERED the price enough it would sell.

[emanon]

I think the lowball buyers are having their way in the less desirable neighborhoods. Smart buyers know that location, schools, are the most important things to consider and are willing to pay the fair price for a home.
The realtors are the ones pushing sellers to lower their prices, no sale equals no commision.
I am sure everybody has experienced the realtor sales pitch of "I can get you $XXXXXXXX because your house shows beautiful" as soon as the first $50k below asking price offer comes in they want you to take the deal.
Quick sale equals money in the bank for realtor and then they are on to the next house.

I wonder how many realtors are willing to low ball the sale of their own homes just for the commision?

E

[Cigar56a]

People are making lowball offers in EVERY neighborhood. As a buyer, you'd be foolish not to, given the market. Ultimately, the sellers have all the control. A house is worth only what somebody is willing to pay. It's up to the seller to accept the offer.

A real estate agent is merely a consultant. It's up to the seller to decide whether to accept the agent's advice. The most vulnerable sellers now are those to have to move. A job loss or divorce can put someone in a desperate situation -- no matter how desirable their nighborhood.

[Bill Keegan]

Originally Posted by emanon

The realtors are the ones pushing sellers to lower their prices, no sale equals no commision.
<SNIP>
I wonder how many realtors are willing to low ball the sale of their own homes just for the commision?

E

No sale also equals no sale. That's a bigger issue for the home seller than it is for the real estate agent, usually. If this house doesn't sell, it's one paycheck the real estate agent doesn't get, and some wasted time, effort & marketing expense. Not what he wants to do every day, but certainly not a life stopping failure, as it may be for the seller whose house is stuck on the market. The seller oftentimes has to literally put their life on hold, waiting for the money from that sale so they can go get into their new house, perhaps while bills continue to add up, and expenses eat away at the total sale price. It's an unreasonable person who insists, "I need to sell in a month, in a very tough buyers market, and I will not lower my price to what people are willing to pay for it."
And the agent who says they can get you $xxx,xxx for your house? Yep, some agents will give a seller prospect the number they want to hear, to "buy" the listing. That's a sign of a poor real estate agent, desperate for a listing, especially in a buyers market. If the agent can't justify the price, show you how they arrived at that number, then they probably can't achieve it.

[SheSellsNJ]

PARelo, no offense but your headline truly read like an agent cheerleader rally. Can you site the source that is showing you massive sales? Actually my market which is Morris, Sussex and Bergen County are NOT showing great activity in either sector. Yes, there have been sales however resales are showing downward pressure on prices, as actually are new construction. Sales are happening but not in any great mode.

And Emanon, a home is worth only what the buyer is willing to pay and the seller is willing to accept.

If the seller is needs to move and one offer comes in that can only be negotiated upwards so far, either they take the offer and sell, or they do not move. If they want to wait for another offer to come by, that's their decision too. No REALTOR can force a homeowner to take an offer.

The REALTORS are NOT the "ones pushing sellers to lower their prices." The MARKET is. If your house is listed at $500K and there are 5 other homes which are comparable listed at $450K, which house do you think the buyers will flock to? A REALTOR is supposed to know the inventory in their market and price their listings accordingly.

The REALTOR "sales pitch" of "I can get you $XX because your house shows beautiful" is extinct. If your home is about to go on the market, a REALTOR will prepare a comparative market analysis to JUSTIFY a list price. Got it? Just as when an offer comes in and the buyer seeks financing, the lender will send an APPRAISER to JUSTIFY the home's value. No valid comps, no mortgage, no sale.

So that blows your argument out of the water.

A home is only worth what the buyer is willing to pay and the seller is willing to accept.

The MARKET doesn't treat REALTORS homes differently. It's the same concept all around.

Before you color an entire industry with your negative broad strokes based on limited and biased perceptions, educate yourself on the facts and principles of the matter.

[apvbguy]

Originally Posted by JERSEY MAN

APV, agreed to a certain extent. But what about the posters here that are saying they can not sell. Wouldn't you agree with the notion that if they LOWERED the price enough it would sell.

sometimes some houses won't be an easy sell even in the best of markets.
Location Location Location, after that price and quality is what sells homes.