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Old 02-02-2011, 02:45 PM
 
3,164 posts, read 6,948,567 times
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Quote:
Originally Posted by tigger37708 View Post
Not so fast.
If there were truly lots of pent up demand homes currently on the market would be selling.

I would say that there is a desire to see fresh listings.
And
I anticipate that "demand" will be saturated by the large number of new For Sale signs hitting the streets after the Superbowl.

The only thing that prevents a total swamping of that "Demand" is the restraint by the banks in not flooding the market with Foreclosures.
You mean that ol' supply and demand thing again? Good point.
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Old 02-02-2011, 02:46 PM
 
5,121 posts, read 6,800,412 times
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I was recently a seller... Well, technically I still am since a contract can fall through. But if my house were still sitting on the market, I would not care that I was paying a mortgage. If it wasn't that it would be rent (which isn't tax deductible ) or it would be another mortgage. I have to live somewhere after all. As for maintenance, I'd rather pay the few hundred dollars a quarter it cost me than give away $50k or so. I didn't need to sell, I wanted to. Not all sellers are desperate. If mine had not gone under contract, I would have waited. Of course as a buyer I'd like a "steal" but more than anything I want choices. I'm hoping more homes go on the market soon as I hate to waste money paying rent (which is going to be high as a mortgage payment).

Last edited by jillabean; 02-02-2011 at 03:45 PM..
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Old 02-02-2011, 02:58 PM
 
Location: Spartanburg, SC
4,899 posts, read 7,441,179 times
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Quote:
Originally Posted by ghett61 View Post
But they are throwing their money away on repairs and maintaining the house in hopes that it will sell. So the seller is also throwing away money too. It works both ways.
If you truly think repairs, etc are throwing money away, why are you interested in buying a home?

My point is homeownership in the long run (not short-term flipping for profit) is always going to be a winner.

We bought our house a little over ten years ago. Yes, we've made improvements, repairs, paid our mortgage, taxes etc., but even with the drop in the market, it's still worth about $150k or so more than it was at the time. Plus our mortgage balance has gone down, the mortgage and taxes are deductible etc.

If we had rented a comparable house in this neighborhood for those ten years, what would we have? A lot of cancelled checks that paid a landlord's mortgage so he gains equity and get richer.

But back to my original point: Both sides need to give a little to get this market going again. Once that happens, the economy will seriously rebound.
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Old 02-02-2011, 02:59 PM
 
Location: Spartanburg, SC
4,899 posts, read 7,441,179 times
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Quote:
Originally Posted by Denton56 View Post
Appraisals include all those upgrades. Appraisers come into the home and make note of the upgrades.
Not always . . . lots of appraisals are done from the street.
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Old 02-02-2011, 03:29 PM
 
430 posts, read 1,059,013 times
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Quote:
Originally Posted by LynchburgLover View Post
My point is homeownership in the long run (not short-term flipping for profit) is always going to be a winner.

We bought our house a little over ten years ago. Yes, we've made improvements, repairs, paid our mortgage, taxes etc., but even with the drop in the market, it's still worth about $150k or so more than it was at the time. Plus our mortgage balance has gone down, the mortgage and taxes are deductible etc.

But back to my original point: Both sides need to give a little to get this market going again. Once that happens, the economy will seriously rebound.
Long run is a very generic term and you did not specify times. I am sure the stock market beat out the real estate market many times in history. If you can be sure you can stay in one location for 7+ years then yes you can end up in better shape. But in my opinion, that is a very hard thing to be able to promise.

I do agree with your original point of both sides give some. But one of the reasons the housing is in a mess is because in the past buyers kept giving too much and the sellers just took it all. Now its the sellers' turn to give a whole lot.
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Old 02-02-2011, 03:39 PM
 
373 posts, read 869,825 times
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Quote:
Originally Posted by kevinm View Post
I am a seller and am not going to allow you to STEAL my home. If you want it, you will pay fair market value which includes paying off my mortgage. I am not going to help you pay for it.
Fair market value has nothing to do with your mortgage.
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Old 02-02-2011, 03:48 PM
 
Location: Washington DC
487 posts, read 1,357,622 times
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Quote:
Originally Posted by kevinm View Post
I am a seller and am not going to allow you to STEAL my home. If you want it, you will pay fair market value which includes paying off my mortgage. I am not going to help you pay for it.
Fair enough.

But keep in mind.

But Fair market value is determined by what We as Buyers are willing to pay.

It has nothing at all to do with what your mortgage balance it.

And it has nothing to do with your feeling about what your home is worth.

with this one small exception.
If you price your home too high, then in essense you are saying that it is worth that much to you and are in effect your own buyer.
If you can follow that.

But this has zero impact on fair market value because it will just be viewed as a home that never sold.
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Old 02-02-2011, 03:50 PM
 
5,121 posts, read 6,800,412 times
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Quote:
Originally Posted by ghett61 View Post

But one of the reasons the housing is in a mess is because in the past buyers kept giving too much and the sellers just took it all. Now its the sellers' turn to give a whole lot.
The problem is, the sellers now were the buyers in the past--which is why a lot are holding on to their properties. A lot gave a whole lot then and can't give a whole lot more again now. It's better to just hold on to the house and hunker down if you are in that situation.

I don't want to pay a lot either, but I don't know if things are really going to go much, much cheaper. Again, I am holding out for Spring,I think that will be the best time to buy. More to choose from and more competition.
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Old 02-02-2011, 03:54 PM
 
1,646 posts, read 2,372,847 times
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I believe houses in pw county will go cheaper... Fairfax maybe not
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Old 02-02-2011, 03:56 PM
 
Location: Washington DC
487 posts, read 1,357,622 times
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Quote:
Originally Posted by LynchburgLover View Post
If the buyers were truly in control, they would not be buyers, they would be homeowners. . .

The sellers still have the house and not all sales are foreclosures.
Buyers control this market by not buying overpriced homes.

Buyers cause prices to decline by exercising restraint until home prices come down to a level that We the collective buyers feel comfortable with.

Home ownership is our goal.
But not at any price.
We saw what that got us in the last mad housing bubble.
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