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Old 04-25-2018, 03:32 AM
 
Location: Cary, NC
31,633 posts, read 55,362,882 times
Reputation: 30188

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Quote:
Originally Posted by twinkletwinkle22 View Post
I recently saw a property for sale on MLS, ...
What was the source of your MLS information?
Do you have direct access, or were you using an agent's IDX site, or a third party ad site like Craigslist, Zillow, Trulia, etc?
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Old 04-25-2018, 04:17 AM
 
Location: midvalley Oregon and Eastside seattle area
2,941 posts, read 1,356,147 times
Reputation: 2438
Quote:
Originally Posted by photogal9 View Post
I stated previously that some of those comps were over 6 month's old. Would you agree the market has increased in the last 6-8 month's? The $128K was from January of this year, I know the markets increased since then.

What constitutes a stale listing, 1 month, 3 month's? I'm honestly curious as this could direct me on some listings that haven't sold in 30 days. My market area has shown properties go contingent or pending within days of listing.
Seattle area. Our RE says that if the seller isn't getting multiple offers on the first weekend, something is wrong.

We bought a new build townhouse in Feb '18. Just two bidders. Both at Ask. We were first offer. Today, late April '18, we could add 8% (agent commission and fee recovery) and would be under pricing, and promote a bidding.frenzy. Just as in stocks and bonds, RE values change, depending on who wants to buy or sell at a given time and price. It's an interesting "game". Properties that go pending quickly is because someone either wants to sell quickly or someone wants to buy. Both parties will think the sale to be fair- The Agreement .

Nobel prizes for Economics is all about decision making.
You are asking a Nobel Prize question, specifically a near term option.
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Old 04-25-2018, 05:08 AM
 
595 posts, read 377,457 times
Reputation: 1021
Quote:
Originally Posted by leastprime View Post
Seattle area. Our RE says that if the seller isn't getting multiple offers on the first weekend, something is wrong.

We bought a new build townhouse in Feb '18. Just two bidders. Both at Ask. We were first offer. Today, late April '18, we could add 8% (agent commission and fee recovery) and would be under pricing, and promote a bidding.frenzy. Just as in stocks and bonds, RE values change, depending on who wants to buy or sell at a given time and price. It's an interesting "game". Properties that go pending quickly is because someone either wants to sell quickly or someone wants to buy. Both parties will think the sale to be fair- The Agreement .

Nobel prizes for Economics is all about decision making.
You are asking a Nobel Prize question, specifically a near term option.

That's excellent for you, the Seattle is a very hot market. Here we would not see return as quickly, possibly in a year, not month's.

Your point is spot on.
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Old 04-25-2018, 08:50 AM
 
Location: Columbia, SC
8,852 posts, read 17,453,334 times
Reputation: 6212
Quote:
Originally Posted by photogal9 View Post
I stated previously that some of those comps were over 6 month's old. Would you agree the market has increased in the last 6-8 month's? The $128K was from January of this year, I know the markets increased since then.

What constitutes a stale listing, 1 month, 3 month's? I'm honestly curious as this could direct me on some listings that haven't sold in 30 days. My market area has shown properties go contingent or pending within days of listing.
I have no idea what your market has done. Don't recall if your location was ever disclosed but you would probably know better than me.

Stale will vary by market as well depending on what is normal. Nationally a few years ago the averages were something along the lines ~ 3% less after 30 days, 5% after 60 days, 7% after 90 days, 9% after 120 days, and 15% after 180 days. I cannot verify the report or data but from my experience that seems accurate. In a sellers market the percent compared to asking price will be a smaller number but I think the variances could still be accurate.
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Old 04-25-2018, 09:04 AM
 
Location: Columbia, SC
8,852 posts, read 17,453,334 times
Reputation: 6212
Quote:
Originally Posted by emotiioo View Post
With all due respect, whether you call this a "game" or a business strategy, it amounts to the same thing.

...

So OP, agents may not like the "game" word, but that is exactly what this is.
Monopoly is a game. Real estate is a business. I suppose it's a personal choice what you want to call it but I believe to many using the word "game" cheapens a very personal business transaction.

Quote:
Originally Posted by emotiioo View Post
The OP described a property in which the agent was attempting to represent both sides, buyer and seller. If we are talking business strategy and leaving the bad word (game) out of it, we need to ask, who stands to benefit most in a transaction where the realtor represents the buyer and the seller?
Every situation is unique.
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Old 04-25-2018, 10:10 AM
 
Location: midvalley Oregon and Eastside seattle area
2,941 posts, read 1,356,147 times
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Original Post:
If you don't like to work with a seller's agent; Get a buyers agent.
For a novice, a buyers agent will give you valuable guidance.
We are not inexperienced, and use a buyers agent because we don't really want the to know the minutia of transactional real estate, provides a go between, our agent has a known reputation. And in this last transaction, I told our agent that we were prepared to sue and had already opened a file with our lawyer. Our agent probably conveyed this in nicer terms to the seller's agent. Our agent knows us well enough to know that when we contact her, a transaction may be in the horizon.
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Old 04-25-2018, 10:38 AM
 
Location: California
4,445 posts, read 5,175,063 times
Reputation: 9180
Quote:
Originally Posted by emotiioo View Post
With all due respect, whether you call this a "game" or a business strategy, it amounts to the same thing.

The OP described a property in which the agent was attempting to represent both sides, buyer and seller. If we are talking business strategy and leaving the bad word (game) out of it, we need to ask, who stands to benefit most in a transaction where the realtor represents the buyer and the seller? As a real estate professional, would you negotiate a LOWER price for the buyer in this situation, just to be fair? Or might you try and create a false sense of demand with a "come back with your last and best?"

As a few have said, in some markets there is no choice but to bid against multiple offers on each property. But if this market is not such a place, the OP is well justified in thinking that the realtor is attempting to incite a feeding frenzy with a low price and the subsequent "strategy" of "I am reviewing last and best offers at 5 pm on Sunday."

As a buyer, I make it a rule never to negotiate against myself. If I get a whiff of a lukewarm property in a cool to lukewarm market with a sudden spate of offers and demand for last and best, I walk. I don't even waste a moment more of anyone's time. I know there is more out there for me to look at. And every buyer knows that the wait to hear back on an offer can be stressful and distracting. So why even put yourself through that?

As a seller, I have distaste for the creation of a false sense of value to the buyer. I have had agents suggest such strategies to me and I have always pooh poohed them. I think a correctly priced house, if its in demand, will elicit multiple bids on its own. Really, all you need is one good one.

So OP, agents may not like the "game" word, but that is exactly what this is.
Very well said! My heart goes out to first time buyers who don't understand their game or heed your wisdom. Sadly, as long as inexperienced people enter the market their game will continue. I hope all who read your post understand the need to have local, professional legal advice as it will cost them much more if they try to go it alone against trained commissioned salespeople.
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Old 04-25-2018, 11:39 AM
 
Location: Columbia, SC
8,852 posts, read 17,453,334 times
Reputation: 6212
Quote:
Originally Posted by Heidi60 View Post
Very well said! My heart goes out to first time buyers who don't understand their game or heed your wisdom. Sadly, as long as inexperienced people enter the market their game will continue. I hope all who read your post understand the need to have local, professional legal advice as it will cost them much more if they try to go it alone against trained commissioned salespeople.
Who's game - the buyers game, the sellers game, the agents game, the game in general? It's unclear when you say "their". What is the "game" you speak of? That is also unclear.

If by "game" you mean agents doing their fiduciary duty to their client as outlined by state real estate commissions...well you can call it a game if you like, but I'll call it agents following real estate laws and guidelines put in place by the state government.


don't feed the trolls
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Old 04-25-2018, 11:41 AM
 
Location: Raleigh NC
7,781 posts, read 6,132,755 times
Reputation: 6905
in this case, the op is a seasoned buyer who made the conscious choice to go directly to the listing firm - even though within the last 60 days has mentioned having their own realtor.

I too agree wholeheartedly that I feel for innocent and unknowing buyers who call off signs and think that agent is going to routinely do good by them. Can and does it happen - where the agent on the sign can do right by an unknowing buyer - sure. But I'd wager the very first in-person interaction would tell you. And sadly those unknowing buyers don't know what to ask or expect from the agent either.
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Old 04-25-2018, 01:28 PM
 
595 posts, read 377,457 times
Reputation: 1021
Quote:
Originally Posted by BoBromhal View Post
in this case, the op is a seasoned buyer who made the conscious choice to go directly to the listing firm - even though within the last 60 days has mentioned having their own realtor.

I too agree wholeheartedly that I feel for innocent and unknowing buyers who call off signs and think that agent is going to routinely do good by them. Can and does it happen - where the agent on the sign can do right by an unknowing buyer - sure. But I'd wager the very first in-person interaction would tell you. And sadly those unknowing buyers don't know what to ask or expect from the agent either.
I would not say I am seasoned, it just ain't my first rodeo and I do my due diligence. I did have an agent, and we ended our time together mutually. They loved me as a seller(here's my net amount I'd like) and not as a buyer(the comp's aren't matching and you want me to offer $XXXXXX?"). I never sign a buyer's agreement. Quite frankly, I would prefer to use my lawyer and LO and skip the agent thing, however, there are not a lot of FSBO properties, I have checked and keep checking daily and if something comes up I will go that route with no issue's.

What's wrong with using an agent that worked in that properties listing firm? Aren't agent's independent contractor's to the brokerage firm? They have a code of ethics to follow, correct? Unless they are playing games

One can only play games when you have a wiling participant, and I am not playing. If I do not like an agent, we part ways and the same if they do not like me. Not everyone is a good fit.

By your own words you seem to be calling out agents who would take advantage of people, namely first time home buyer's. I suppose anything is possible, probable, predictable???

Last edited by photogal9; 04-25-2018 at 01:46 PM..
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