What is Zillow’s strategy here? (Phoenix, Mesa: renters, insurance, crime)

[DetroitN8V]

Originally Posted by pathrunner

LOL "did I design it?" That's funny. Did you look at the photos? It's been renovated.

Not recently or the maybe they were going for the 90s look.

[asufan]

Originally Posted by MN-Born-n-Raised

People are going to smell blood and lowball their properties. I would as they have an open wound.

Low-ball offers won't work in this market as long as the house is exposed to the market (MLS) whether the seller is under duress or not. Maybe if an institutional investor made a cash quick bulk sale type offer but not for individuals.

[MN-Born-n-Raised]

Originally Posted by asufan

Low-ball offers won't work in this market as long as the house is exposed to the market (MLS) whether the seller is under duress or not. Maybe if an institutional investor made a cash quick bulk sale type offer but not for individuals.

Bad choice of words "low-ball" on my part. I meant to say offer under the market. They could be motivated to clean things up fast and not have it linger. Plus, we all know that when you price something wrong, it can cost you more than pricing it correctly out of the gate. As in, it goes for under market because you the house lingers. I did lowball the buyer in my current AZ home. They tried the typical formula: the price of what they paid for it plus what they put into it plus the RE fees. As in, they wanted to break even and forgot they were competing against some new builds. And the seller had 3 homes and simply refused to budge for over a year. They refuse to stage it or take offers higher than mine. So I went to the listing agent to feel their temp. And like normally happens, the greedy listing agent convinces the seller that their house isn't worth as much. Because of all of those mortgage forbearance homes that were supposedly about to be released and change the market! In reality, the agent loved those double commissions. I digress..

Let's see what happens with these Zillow listings. My bag of popcorn is ready!

[john3232]

Because I own a number of properties I am bombarded daily... and I mean everyday with calls/text asking if I am interested in selling. (I never pick up the phone/respond to text messages but they keep coming despite being blocked.)

Earlier this year I made the mistake of following up with one of those calls. I wasn't planning to sell but was curious what I would be offered.

After speaking with the person in charge I was emailed a purchase agreement. They would take the house "as is" and I could pick up a check for 87k the next day.. (Zillow/Redfin est. around $340k.)

All such buyers need is one. One person who for whatever the reason needs cash right away.

[asufan]

Originally Posted by MN-Born-n-Raised

Bad choice of words "low-ball" on my part. I meant to say offer under the market. They could be motivated to clean things up fast and not have it linger. Plus, we all know that when you price something wrong, it can cost you more than pricing it correctly out of the gate. As in, it goes for under market because you the house lingers. I did lowball the buyer in my current AZ home. They tried the typical formula: the price of what they paid for it plus what they put into it plus the RE fees. As in, they wanted to break even and forgot they were competing against some new builds. And the seller had 3 homes and simply refused to budge for over a year. They refuse to stage it or take offers higher than mine. So I went to the listing agent to feel their temp. And like normally happens, the greedy listing agent convinces the seller that their house isn't worth as much. Because of all of those mortgage forbearance homes that were supposedly about to be released and change the market! In reality, the agent loved those double commissions. I digress..

Let's see what happens with these Zillow listings. My bag of popcorn is ready!

If they are exposed to the open market, it would be hard to get a below market offer accepted the way the market is now because there would be more than one person interested in each property. Now if this was a normal market, your scenario would be possible.

[asufan]

Originally Posted by john3232

Because I own a number of properties I am bombarded daily... and I mean everyday with calls/text asking if I am interested in selling. (I never pick up the phone/respond to text messages but they keep coming despite being blocked.)

Earlier this year I made the mistake of following up with one of those calls. I wasn't planning to sell but was curious what I would be offered.

After speaking with the person in charge I was emailed a purchase agreement. They would take the house "as is" and I could pick up a check for 87k the next day.. (Zillow/Redfin est. around $340k.)

All such buyers need is one. One person who for whatever the reason needs cash right away.

I get at least 5 texts a week. I simply block the number then another one pops up the next day.

[MN-Born-n-Raised]

Originally Posted by asufan

If they are exposed to the open market, it would be hard to get a below market offer accepted the way the market is now because there would be more than one person interested in each property. Now if this was a normal market, your scenario would be possible.

You might be right. I'm guessing now that they tripped on their ding dong and it is all over the press, at least a certain percentage of people (agents) are going to view the seller as somewhat hurt. I'm not sure how to qualify that statement. Personally, my best offer (Nov. 2021) would be lower now. But maybe I'm not typical. That all might change come January when the typical buying season kicks into gear.

[rjsurfer]

Maybe I missed an earlier post but Zillow just announced they are out of the home buying business.

Coincidentally their stock prices took a dive today.

Ron

[trailtramp]

These companies that are buying up homes are contributing to over inflated home values.

[Prickly Pear]

Originally Posted by trailtramp

These companies that are buying up homes are contributing to over inflated home values.

That and because now Zillow is trying to unload all these properties they are going to end up selling to large property management companies and create even more landlords. Anything to hinder the average person to build wealth in this company. That and professional house flippers. Leave the cheap fixer uppers to the middle class please.

Amsterdam passed a law stating housing under 520k must be lived in for 4 continuous years before it can be rented. It is estimated to affect 60% of homes there, and the price limit is adjusted every year. This is to open up the housing market there, and limit the power of landlords. It’ll also prevent corporations from buying residential property.

We don’t need Amsterdam’s law, but we need something. Housing should not be owned by corporations. And most housing should be for purchase, not for rent.