Realestate Buyers need to Hold the line (Vienna: houses, job market)

[tigger37708]

Originally Posted by hilsmom

Most of the people I was talking about already are homeowners, looking to move up. They have been staying put for a while to see how everything shakes out. But many of them are getting ready to put their houses on the market and move on. Myself included.

Yes, I am aware of the shadow market, but do you think that percentage is going to be as high in this area as it might be in other areas? That is an honest question - my gut tells me no.

I agree with you. I do think NOVA is better off in that regard.
The Foreclosure problem is smaller here, but it still exists.
If I lived in any other market I would not be thinking about buying now.
It is only because I live in NOVA that I am looking to buy.

[JulzRulez]

Originally Posted by hilsmom

I had a thread going on my requirements...IF we are still in the area AND my husband agrees to stay for 5+more years. We're trying to stay below $400K with $450K likely our max. We have a TH to sell in North Point Reston area and are hoping to walk away with a decent profit since we bought in 2003 and the prices still remain a decent amount higher than what we owe.

...we used to live in a TH in Northpoint on Twisted Oak...Don't miss those days.

[JulzRulez]

Originally Posted by LynchburgLover

Not always . . . lots of appraisals are done from the street.

A lot? Where is this general location?

I used to be an appraiser when I lived in WI, 8 yrs ago. Still contemplating joining the industry here, but not in appraisal.

Anyhoo, I never completed an appraisal from the street. I guess in some smaller areas, this can be done, just don't see how it's fair to the home owner.

[hilsmom]

Originally Posted by JulzRulez

A lot? Where is this general location?

I used to be an appraiser when I lived in WI, 8 yrs ago. Still contemplating joining the industry here, but not in appraisal.

Anyhoo, I never completed an appraisal from the street. I guess in some smaller areas, this can be done, just don't see how it's fair to the home owner.

this was done more frequently during the boom. Not as much anymore.

[JulzRulez]

:lol:

[guyincognito]

The idea that Buyers act in any sort of organized fashion is simply false. In fact, it's buyers competing against buyers which drives home prices up. A good home with the right features in the right place in the right condition will attract a lot of offers, and I'll tell you right now that any of you will pay more than you thought you would once you've walked through a dozen decrepit houses and then finally find the one.

I'm speaking as both a seller and a buyer last year. It was incredibly frustrating to be in a down market and find myself in bidding wars for houses that marginally met my requirements. This area has the best job market in the country though and more people are coming in than leaving. Prices will maintain.

[tigger37708]

Originally Posted by guyincognito

The idea that Buyers act in any sort of organized fashion is simply false. In fact, it's buyers competing against buyers which drives home prices up. A good home with the right features in the right place in the right condition will attract a lot of offers, and I'll tell you right now that any of you will pay more than you thought you would once you've walked through a dozen decrepit houses and then finally find the one.

I'm speaking as both a seller and a buyer last year. It was incredibly frustrating to be in a down market and find myself in bidding wars for houses that marginally met my requirements. This area has the best job market in the country though and more people are coming in than leaving. Prices will maintain.

Buyers Unite!!!
Hold the Line!!!

[LynchburgLover]

You better not wait too terribly long . . . the timing is optimum for buying a house in the DC metro area right now. The job market is stable, the prices aren't dropping, they're pretty much holding and interest rates are good.

Once it starts rebounding, look out. I'm old . . . and I've watched enough cycles in real estate to know that you better not dawdle too long.

[kevinm]

Originally Posted by tigger37708

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.

That is all true, but I am referring to the buyers that will "low ball" a forclosed or short sale property and the bank accepts the offer which in turn destroys the market for comparable properties. It becomes a race to the bottom and there are lots of unscupulous immigrants the just want to unload their homes and have no intention of paying the deficiency.

[Margery]

Originally Posted by kevinm

That is all true, but I am referring to the buyers that will "low ball" a forclosed or short sale property and the bank accepts the offer which in turn destroys the market for comparable properties. It becomes a race to the bottom and there are lots of unscupulous immigrants the just want to unload their homes and have no intention of paying the deficiency.

All buyers want to offer lower than the asking price, it is part of the negotiation process. However, in this market not so common. The bank or mortgage company has received at least three opinions of market value from experienced Realtors in the area and will specify to use fair market sales as comparables and not to use foreclosures. There certainly is no "race to the bottom", prices are up in most areas from last year this time. As far as "unscrupulous immigrants", I don't know where you came up with that opinion. There are many unscrupulous native born. Could you please cite your source?

The owner of the home in foreclosure or short sale does not decide what the sale price of a home will be. It is up to the bank or mortgage company to set the asking price, agree to the sale price, and it is up to the bank or mortgage company to decide whether or not to pursue the deficiency.