December 3rd, 2007 5:13 PM by Manuel Couto, CRS, CRB
Well, it's happening. I'm getting more phone calls AND OFFERS from investors looking for the "Good Deal". Soon, the end users will get tired of paying rent and start buying THEIR slice of the American Dream.
GOOD! At least SOME are realizing that good credit and buying smart will make you money in the long run. What I have a hard time doing now is educating Sellers that:
1. Last years pricing was last years....
2. Waiting for next year, or the year after may not get you last years pricing, but only cost you two years of taxes and maintenance.
3. The buyers are controlling the market now, and you have to price your home according to what your neighbor is pricing his at, not what your other neighbor's cousin who lives in a worse part of town, and has a smaller house with no basement and sold only 15 months ago for.... xxxx amount of dollars.
In other words, we are back to reality; supply and demand rules of economics combined with an areas affordable index. Buyers will buy what they feel the house is worth, while negotiating with a seller who THINKS he knows what the house is worth. Our job as Realtors, is to bring them both together and let them both believe they got the best of the deal.
The last few years have been extremely kind to sellers, with values almost outpacing their dream values of what the house is worth. Realtors were scorned and looked upon as uneducated sales people who didn't keep up with the market. In reality, we did, it was the market that outpaced our knowledge and in many cases, sellers dream pricing. ("Would have, could have, should have sold for more")
Now, it's more of the Buyer market, with buyers offering what they feel the house may be worth in the next year, rather than what you are asking for it.
Stay the course, HIRE a good Realtor (r), and ask what your neighbor is selling their house for, and what homes are under contract rather than what they sold for the last 12 months.
Call me today for a free computerized market analysis of your home, Manuel Couto 201-997-7860 x16 or email me at Homes@MCoutoRealtor.com