If you are selling, LOWER YOUR PRICE ALREADY!!!! (negotiation, banks, comparable)

[NatasNJ]

Originally Posted by njsocks

right here...Nata--You are quite condescending.
If you are selling and "can't afford to sell at the true market value" of your home (think 1998-2000 prices), then do a short sale, file for foreclosure, etc. Why drag out the inevitable and keep the economy in a nosedive by overpricing your house, having it languish on the market, only to have to go through a short sale/FC in a year or two, and keep adding fuel to the fire of the housing crisis?

What is condescending about my post?

If you can't sell at the current market value then you have several choices. EAT the difference, you took a risk sell for what you can and pay the bank the difference. You can NOT sell and keep the house and continue to pay the mortgage. You can go the way of a short sale or foreclosure if you are forced to sell or get out of the house.

I don't get your point. A seller has several options. They can even do what you suggested and overrprice their house on the market and let it dwindle in price and eventually foreclose. But this is just delaying the inevitable which is the Sellers right if they chose but it is frustrating from a buyers prospective and just delays the housing correction in this country.

[NatasNJ]

Originally Posted by gold*dust1

No kidding NJ, I am offended by the "just do a short sale, foreclosure suggestion." Someone responsible who has been in a house as long as we have would never consider such a thing...those options are for the truly in need people who have to get out of a house and should not be abused!!

I never suggested to just do a short sale or foreclose. But if you are upside down on your house and you NEED to move then either pony up the cash to cover the difference or foreclose if need be. BY listing at a price that NO ONE is going to buy is just wasting everyones time.

[NatasNJ]

Originally Posted by your princess

your totally crazy if you think people are going to lower their prices!i mean duh,dont you think people want to get some money?i work at a jelery store and dude...if you think IM gonna lower my prices you ca forget it!i think others would agree that just because you say to lower prices,dont mean were gonna lower them.no affense but i think your over doing it.yes they need to lower gas and tax but anything else..NO WAY!!!!!!

Why lower gas and taxes only?

There is a market for goods. If you price your 'jelery' at a price higher than what anyone is going to pay you won't have a business for long. Good luck with that thinking.

[gold*dust1]

Originally Posted by NatasNJ

I never suggested to just do a short sale or foreclose. But if you are upside down on your house and you NEED to move then either pony up the cash to cover the difference or foreclose if need be. BY listing at a price that NO ONE is going to buy is just wasting everyones time.

No not you...the OP suggested it.

[crazyma]

Originally Posted by keyweb

The quicker people price their homes correctly, the quicker we will get out of this housing crash--and economic catastrophe!!!

the quicker unrealistic, unqualified buyers realize their caviar dreams might be more suited to tuna fish the better

What is CORRECT?? There is NO Correct, except what the Buyer AND Seller mutually agree upon! So, CORRECT can have many meanings

let me 'splain it to ya. It is real simple.
Pretend you are a contestant on the price is right...to be a winner you need to be prepared and informed.

here are my ideas

Go get qualified by a real live, local to your market, mortgage person, not some drivel qualify here online place. My personal opinion is do it based on one income. Get a letter stating your qualifications and intent to purchase, whatever, they can give you something.

Take that number that you qualify for and find yourself a 'buyers' agent should you so desire. Or wing it and deal direct with the selling agents of homes you may have an interest in.( if you do this you may choose to have a real estate lawyer to reviews papers...)

Make a list of absolute NEEDS versus Wants. Anything from school district to # of bedrooms. Do your list in order of importance.( you NEED 2 full bathrooms...you want a whirlpool tub)

Now look for houses that could possibly meet those NEEDS.

And for clarification here I am referring to 'regular' homes, not foreclosures or true Short Sales- those are a whole other beast.

Start looking at lower priced homes and work your way up 'til something grabs your interest. If you are lucky, you might find what you need. And be quite thrilled with your find.

If you start on the other end, way HIGHER than you qualify for, you might wind up frustrating yourself and dash your expectations. You will wind up comparing the less expensive homes with the cream of the crop so to say. So why set yourself up for a possible disappointment from the get go??

Okay, let's say you found a house.It is over what you can qualify for.

Or its price doesn't reflect the current local market trend.

You and your agent have done you homework and have decided the home IS overpriced for that particular market area.

So you make an informed offer based on the info garnered. and show your seriouness with your qualifying letter. This day and age I would not entertain a offer contigent on 'finding' financing- I WANT to know the Buyer is READY asap ( now that is just me)
A few things could happen.

The seller will say nothing- the offer is a total slap in the face and they can not speak. Nor will they give you the satisfaction of a response. You let it go and say, well I tried. Dust yourself off and move on.Be a big person. It does you no good to twitch and moan about it...they have their reasons.

The seller may come back with a counter offer. Good , now you both have shown interest and maybe a mutually agreeable price and terms can be arrived at

The seller is elated with your offer and both parties can move forward with mutual satisfaction.

why do some people want to make the whole process of home buying into such a difficult endeavor? Sure there are sellers and buyers alike that are total jerks and have no idea what reality is. But you don't have to be one.
Decide to be positive and a proactive buyer or seller.

There is no guarantee what tomorrow holds, locally or nationally. Either jump in ,eyes wide open, being attuned to the past and what can be learned from it. Or stay out of the 'game' if you can't agree there might be risks involved.

[NatasNJ]

Originally Posted by crazyma

the quicker unrealistic, unqualified buyers realize their caviar dreams might be more suited to tuna fish the better

What is CORRECT?? There is NO Correct, except what the Buyer AND Seller mutually agree upon! So, CORECT can have many meanings

let me 'splain it to ya. It is real simple.
Pretend you are a contestant on the price is right...to be a winner you need to be prepared and informed.

here are my ideas

Go get qualified by a real live, local to your market, mortgage person, not some drivel qualify here online place. My personal opinion is do it based on one income. Get a letter stating your qualifications and intent to purchase, whatever, they can give you something.

Take that number that you qualify for and find yourself a 'buyers' agent should you so desire. Or wing it and deal direct with the selling agents of homes you may have an interest in.( if you do this you may choose to have a real estate lawyer to reviews papers...)

Make a list of absolute NEEDS versus Wants. Anything from school district to # of bedrooms. Do your list in order of importance.( you NEED 2 full bathrooms...you want a whirlpool tub)

Now look for houses that could possibly meet those NEEDS.

And for clarification here I am referring to 'regular' homes, not foreclosures or true Short Sales- those are a whole other beast.

Start looking at lower priced homes and work your way up 'til something grabs your interest. If you are lucky, you might find what you need. And be quite thrilled with your find.

If you start on the other end, way HIGHER than you qualify for, you might wind up frustrating yourself and dash your expectations. You will wind up comparing the less expensive homes with the cream of the crop so to say. So why set yourself up for a possible disappointment from the get go??

Okay, let's say you found a house.It is over what you can qualify for.

Or its price doesn't reflect the current local market trend.

You and your agent have done you homework and have decided the home IS overpriced for that particular market area.

So you make an informed offer based on the info garnered. and show your seriouness with your qualifying letter. This day and age I would not entertain a offer contigent on 'finding' financing- I WANT to know the Buyer is READY asap ( now that is just me)
A few things could happen.

The seller will say nothing- the offer is a total slap in the face and they can not speak. Nor will they give you the satisfaction of a response. You let it go and say, well I tried. Dust yourself off and move on.Be a big person. It does you no good to twitch and moan about it...they have their reasons.

The seller may come back with a counter offer. Good , now you both have shown interest and maybe a mutually agreeable price and terms can be arrived at

The seller is elated with your offer and both parties can move forward with mutual satisfaction.

why do some people want to make the whole process of home buying into such a difficult endeavor? Sure there are sellers and buyers alike that are total jerks and have no idea what reality is. But you don't have to be one.
Decide to be positive and a proactive buyer or seller.

There is no guarantee what tomorrow holds, locally or nationally. Either jump in ,eyes wide open, being attuned to the past and what can be learned from it. Or stay out of the 'game' if you can't agree there might be risks involved.

I think this is the first post I have liked of yours.

Agree with it all in regards to this thread. But this thread was made to complain about the jerks on the sellers side of it. So it was a place for buyers to come in and complain about jerk sellers. Can't they have their space to vent?

[goodbyehollywood]

Originally Posted by rubber_factory

Uh-oh. Looks like keyweb stirred up the bridge club!

This perspective doesn't any make sense to me.

It is like saying, "The homes are priced affordably, but nobody can afford them."

You're a property virgin, aren't you?

Whether or not a certain buyer can get a loan has little to do with the FMV of a home. Banks are lending very selectively. A lot of people who want to buy homes simply aren't qualified for the range they want to buy in. The buyers need to lower their sights, instead of expecting sellers to make up their shortfall.

In other words, if someone wants to buy a $400K home and it isn't happening, maybe the buyer needs to make more, instead of expecting the seller to take less. If a seller is priced within the comps, then there are buyers who find that price range affordable, whether you do or not. The person out of sync isn't always the seller.

[NatasNJ]

Originally Posted by goodbyehollywood

You're a property virgin, aren't you?

Whether or not a certain buyer can get a loan has little to do with the FMV of a home. Banks are lending very selectively. A lot of people who want to buy homes simply aren't qualified for the range they want to buy in. The buyers need to lower their sights, instead of expecting sellers to make up their shortfall.

In other words, if someone wants to buy a $400K home and it isn't happening, maybe the buyer needs to make more, instead of expecting the seller to take less. If a seller is priced within the comps, then there are buyers who find that price range affordable, whether you do or not. The person out of sync isn't always the seller.

The thing you seem to leave out of your response is that DUE TO THE HISTORIC CLIMB of home prices over the past 7 have turned some neighborhoods that WERE affordable into untouchable for the same buyer due to prices rising at roughly 5x income levels.

So doesn't it make sense that if the prices of housing comes back to HISTORIC norms and BACK into line with peoples income levels that they should be able to afford the areas they once could?

Why should people values that are unrealistic just a few years ago but today are considered FAIR MARKET?

[njsocks]

Originally Posted by goodbyehollywood

You're a property virgin, aren't you?

Whether or not a certain buyer can get a loan has little to do with the FMV of a home. Banks are lending very selectively. A lot of people who want to buy homes simply aren't qualified for the range they want to buy in. The buyers need to lower their sights, instead of expecting sellers to make up their shortfall.

In other words, if someone wants to buy a $400K home and it isn't happening, maybe the buyer needs to make more, instead of expecting the seller to take less. If a seller is priced within the comps, then there are buyers who find that price range affordable, whether you do or not. The person out of sync isn't always the seller.

HOLLYWOOD -great post!!! Many buyers are bitter *cough cough*lol and cannot afford the price range so they get nasty and insult people. i.e. above poster!

[Flat2MT]

Originally Posted by goodbyehollywood

A lot of people who want to buy homes simply aren't qualified for the range they want to buy in. The buyers need to lower their sights, instead of expecting sellers to make up their shortfall.

But it's a two way street. Go back to the height of the bubble tell me how you would defend the out- of-sync prices sellers were getting for their homes.

What goes around comes around....and greed goes both ways.