Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
I've seen sellers sit on their houses for months without selling, and they don't lower their price. Why is that? Are they just seeing what they can get?
I finally made my first offer on a house that's been for sale for months. It was overpriced, IMO, for the area. The seller finally lowered it $5k. I made an offer based on recent comps (just 2 comps,and both were higher grade...with higher end features like stainless appliances, crown molding, windows that go down to the floor, storage shed, back yards fully fenced, new a/c unit in one, etc. But they were recent comps by the same builder, I think, and similar in structure & floor plan.). The 2 comps were $106 per square foot and $118 per square foot (the latter being 4 years newer and less sf, which are usually higher cost psf). Both same size or larger lots than the house I was interested in.
I determined that the house for sell was probably worth about $107-$108 psf (it didn't have those higher end features and needed a new a/c unit and some fencing). I offered a price that was $107.50 psf. This was 6% off asking price.
Seller countered with 2% off asking price. That was still almost $112 psf and left a $10k gap. I thought about splitting the difference, but that would have put me paying almost $110 psf and still having to pay $13k for fence and a new a/c, another $3k expense, and some cosmetic updates. So even though I was willing to go up some, I opted not to counter his counter, since it seemed pointless. He seemed dug in to a certain range.
I know this isn't an exact science, and a house is worth whatever someone wants to pay for it. But really, do sellers ever sit down and really compare their houses with others that have sold recently, to see what differences there are, to get a value for their own home? Aren't their agents supposed to point those things out to them?
I'm super disappointed this didn't work out. But I just can't pay more than what the comps say is a reasonable price for a house. I'm not that sort of person. I don't necessarily need a steal, but I will pay what a house is worth, according to recent comps. (I am a cash buyer, if that makes a difference. I thought it might, but apparently didn't.)
It doesn't matter what you think is or isn`t a reasonable offer. They obviously aren't in a hurry to sell. There is no right or wrong price. The only price is the one someone is willing to pay.
It doesn't matter what you think is or isn`t a reasonable offer. They obviously aren't in a hurry to sell. There is no right or wrong price. The only price is the one someone is willing to pay.
Well, really, it takes two to tango...
The price is what a seller is willing to accept. And, that someone will pay.
I had kind of a similar experience with a potential applicant for a rental property I had on the market.
This fellow calls me and attempts to negotiate the rental price. He`ll pay this if I upgrade that. When I refused he got upset and wanted to know why I wouldn`t counter his offer.
At which point I decided don`t want the guy in my property regardless of the rental price. Fortunately he moved on.
A stalemate was reached at less than 4.5% apart. How long in this particular market will it take to see 4.5% appreciation for this house that the buyer apparently wanted? It would be less than a year in my market for the last several years.
A stalemate was reached at less than 4.5% apart. How long in this particular market will it take to see 4.5% appreciation for this house that the buyer apparently wanted? It would be less than a year in my market for the last several years.
In the radius I serve, it could be 6 months.
It could be 3 years.
Micro-markets.
We are segmented by price and location.
And it could be Monday, when someone sees that the property fits their wants and needs and jumps on it. No matter if it has been on the market for 6 minutes, 6 months, or 6 years.
Stuff sells when it sells.
Well the main reason why people ask for high prices is just because they can. There will always be some people urgently looking for a house, or want a house in a very specific area, condition, size or whatever. It all depends on your reasons to sell, but after buying a house for $250k for yourself you could just list it for $350k and wait if there is somebody stupid or urgent enough to buy it.
A stalemate was reached at less than 4.5% apart. How long in this particular market will it take to see 4.5% appreciation for this house that the buyer apparently wanted? It would be less than a year in my market for the last several years.
O.k. I have a property worth $206,000. Say 4.5% or $9270 is what kept the sale from going through.
Appreciation in the area is a solid 2-3%. Could be more but 2-3% is a good estimate.
So, if I`m the buyer I have to ask myself is it worth paying a bit more for the house I want?
If I don`t close the deal what are the odds of home prices going up in the next year?
$9270 is money which could be used towards repairs after moving in. However, if you pass what are the odds home prices in the area you want will stay flat over the next 12 months?
bpollen, I am so glad you started this thread. It is interesting to see people's differing perspectives. I know you said you are ready to move on to other homes, but one comment I want to make about the issue with the neighbor having a big gate that currently opens onto the property you originally wanted. All you would need to have done was to have sunken one post in front of the gate so it would not have swung into the property. Also, if you were going to put up a fence your fence would have blocked the neighbor's gate. Maybe the issue down deep was that you did not want that guy as a neighbor. In that case it is good you have moved on. Good luck in your quest.
They need that price as they owe a certain amount on the house.
They deserve that price as their upgrades are worth it.
There Zestimate tells them it is the correct price.
They are delusional.
They are idiots.
They really don't want to sell. At any price.
This.
Or they are willing to sell the house if they get the exact price they want, but they don't actually have to move.
There's quite a bit of this around here. Retirees.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
