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He just put in an offer on a house listed for $200,000. He offered $212,000 and $5,000 due diligence fee. He lost the bid. He's now out of the market. The house is on a creek, the lot is a marsh, and the sides of the creek are eroding into the yard.
I can only work with what you've offered, and at that, I'm spot on.
No you're not. You're a prolific poster here, and you are accomplished at twisting things into saying what you want them to say. That is clear. Based on the PMs I'm receiving, I'm not alone in what I'm seeing.
We will see a "price" recession at some point. We always have, and there's no reason to think we won't always. We are fortunate here that since we don't rise as quickly, we don't fall as much - and in your son's price range, prices will generally recover fastest (homes < $250K in "Cary" had fully recovered value by Dec '09 for example).
Buyers that just had to buy a house and overlooked "structural" issues like "crappy lot", "backs to major road" etc - they're going to have a harder time selling down the road.
He just put in an offer on a house listed for $200,000. He offered $212,000 and $5,000 due diligence fee. He lost the bid. He's now out of the market. The house is on a creek, the lot is a marsh, and the sides of the creek are eroding into the yard.
What would you have government do to get your son a house?
He was outbid, I bet, regardless of DD Fee, and you haven't offered any offer terms. Should he be guaranteed success on his own terms?
I just did a $325,000 offer on a $290,000 listing.
No sale.
20 offers and several beat my client. That site was also compromised, IMO.
It is their third loss, all well over list price.
$212,000 on a $200,000? Why would a seller accept that offer when there are better offers? Why would you have the government involved?
Lender told me a couple of weeks ago about a $200,000 listing.
Buyer offered $230,000 with $20,000 DD fee. And, didn't get the house.
I have no clue how to fix that, and you present none either.
You get PMs. I work in real estate. And, I have more frustrated buyers right now than ever due to market conditions.
If you think I am happy with the current market, you are totally wrong. I haven't been happy for a couple of years, and this is just crazier than ever.
.
Why make an offer on a house with a crappy lot? They're getting desperate for a place to live. They're coming to grips with the reality that they are probably better off renting for a year, saving more money, and moving up some in the price they can afford.
Quote:
We will see a "price" recession at some point. We always have, and there's no reason to think we won't always. We are fortunate here that since we don't rise as quickly, we don't fall as much - and in your son's price range, prices will generally recover fastest (homes < $250K in "Cary" had fully recovered value by Dec '09 for example).
Buyers that just had to buy a house and overlooked "structural" issues like "crappy lot", "backs to major road" etc - they're going to have a harder time selling down the road.
My business sense tells me you're correct, even though some other agents in this thread disagree. I've also spoken in person with a very successful local real estate agent and an appraiser who echo your thoughts.
We will see a "price" recession at some point. We always have, and there's no reason to think we won't always. We are fortunate here that since we don't rise as quickly, we don't fall as much - and in your son's price range, prices will generally recover fastest (homes < $250K in "Cary" had fully recovered value by Dec '09 for example).
Buyers that just had to buy a house and overlooked "structural" issues like "crappy lot", "backs to major road" etc - they're going to have a harder time selling down the road.
Quote:
Originally Posted by mcp6453
Why make an offer on a house with a crappy lot? They're getting desperate for a place to live. They're coming to grips with the reality that they are probably better off renting for a year, saving more money, and moving up some in the price they can afford.
My business sense tells me you're correct, even though some other agents in this thread disagree. I've also spoken in person with a very successful local real estate agent and an appraiser who echo your thoughts.
I don't see anyone disagreeing with Bo on market forces in the thread or elsewhere for that matter.
Who? Vicki? I don't see it.
Nick? I don't see it there, either.
Me? I agree with almost all statistical data and analysis Bo ever offers, including the post above.
Of course, lower price ranges recover quickest.
People can always buy down easier than buy up. The guy who is looking at $350,000 today can always decide that he can live with a $250,000 property.
It is a LOT harder for most people to buy up.
What would you have government do to get your son a house?
He was outbid, I bet, regardless of DD Fee, and you haven't offered any offer terms. Should he be guaranteed success on his own terms?
Mike, you are obviously being argumentative because I know you're not that thick. Making a DD refundable is not the same as the government getting my son a house. Your comments are ridiculous. Of course he was outbid. I was simply sharing what happened to illustrate to others who are not as omnipotent as you are as to how crazy this market is.
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$212,000 on a $200,000? Why would a seller accept that offer when there are better offers? Why would you have the government involved?
See above.
Quote:
You get PMs. I work in real estate. And, I have more frustrated buyers right now than ever due to market conditions.
Back in 2008, I remember hearing so many people, including those in real estate, lending, etc., say that although there is a real estate bubble, it won't affect us in the Triangle area because our homes appreciate 4% to 6% per year, not like Florida (they were appreciating DAILY).
I believed that and agreed with that.
We were all wrong.
So...I no longer believe anyone that predicts the housing market nor the weather!
Now, having said that, I am not doing like MikeJ - I do not have coveralls and I'm not planning on crawling around getting filthy in a crawl space. Look in there, go where I can duck around? Sure. I'm also not climbing out windows onto roofs.
To be fair, Bo, IIRC you did stop me from scampering up an exceptionally treacherous ladder into an attic and did it yourself.
Mike, you are obviously being argumentative because I know you're not that thick. Making a DD refundable is not the same as the government getting my son a house. Your comments are ridiculous. Of course he was outbid. I was simply sharing what happened to illustrate to others who are not as omnipotent as you are as to how crazy this market is.
See above.
I'm sure you do.
No. I am not being argumentative. I am just not drinking some of the bilge pump output.
You have the right to limit your DD Fee, all day, every day. You can use the addendum an attorney/agent used on one of my listings a couple of years ago, that the DD Fee would be refunded if the house did not appraise at contract price and the seller would not meet the appraised price.
You have the right not to succeed, just like thousands of other buyers.
However repeatedly and clearly you proposed government regulation of the process and restriction of market forces. Bo offered an alternative to DD Fees.
And, I know I am not omnipotent about anything. Vicki, Bo, Nick, and I are living this market, and I don't feel high risk at all to say they don't feel it is healthy either.
It isn't fun for listing agents, either.
There are not very many happy buyers right now anywhere. HAH. I get spam daily from scammer lead services telling me they can fix me up with 10-20 prequalified buyer appointments every month.
Sheesh. Just shoot me.
Wanna succeed?
1. Offer to pay full contract price regardless of appraisal value, if borrowing. In written addendum to the highest Offer over list price.
2. Show 20% down or more in loan parameters. Cash is king, however.
3. Stipulate that the sellers will be asked to do no repairs after inspection.
4. Ask for no personal property. No appliances. Nothing.
5. Occupied house? Offer a rent back to the sellers for 2 or 3 weeks for $1.00.
6. Vacant house? Offer to close in 21 days.
Just a few sweeteners, to help.
I got one last November with most of that for my buyers, including a 60 day rent back while the new house was being completed.
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