There’s no doubt that we have a buyers market in real estate today. With the lending crashes and rampant foreclosures, times are tough on homeowners. But let’s look at this in realistic eyes.
Over the past months, there’s been more and more foreclosures, doom and gloom in the media about the housing market, but home buyers have to understand that this isn’t the golden carrot hanging in front of them. Many of my colleagues and I are starting to see some ridiculous offers on homes for sale. Buyers have to be aware that while yes – they want to get the best price possible – there is a realm of reason that must be present.
If you want to offer extremely low prices that probably won’t be accepted by any rational home seller, then make the offers on a bank-owned property so you don’t waste your time or the sellers time. Put yourself in the sellers position. Many sellers are taking job transfers and have to sell their home, so they can’t afford a ridiculous offer. To waste your time, the Realtors time, and the home owners time making an offer that probably won’t go through, it’s costing everyone money, gas, and time.
This is where your Realtor comes in. We can run the numbers and find a good median point to where the offer can flow into a contract. By offering a ridiculously low price, you’re not only telling the homeowner that his house isn’t very nice, but you also make them question why you want to buy it in the first place. If you’re going to buy a home to live in, you have to plan on what it’s going to be down the road. Whether you live in the house a few years before you take another job or transfer or move up, or if this your home that will last 10 to 15 years or maybe longer, real estate is a long-term commitment. Investors will risk their money in short-term investments, but homeowners should secure their money in long-term investments – just like in the stock market.
Don’t insult the seller. Don’t waste your time. None of us want to leave money on the table, but don’t kill a deal before it ever gets started.
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September 24, 2008 at 1:15 pm
The Buyers Market « Middle Tennessee Real Estate
[...] rarely writes posted some of his insights yesterday – proof positive that still waters run deep. He talked tough about the buyers market and I wanted to share… Many of my colleagues and I are starting to see some ridiculous offers on homes for sale. Buyers [...]