Jim Valentine on Real Estate
In times of multiple offers, overbidding, and other activities symbolic of a dynamic market there is always the question of what decisions to make and when.
Buyers are trying to buy what they want where they want to be and are wondering if they are over or under paying for the propert(ies) they are offering on. Agents are trying to help them but their crystal ball can get smudged with so much use for future visuals that the answers aren’t always clear. In other words, they don’t know what will happen for sure.
We all have ideas based on signs and experience but no one ever knows for sure until it happens and then it is in the now, not the then.
Sellers start by wondering if this is the time to sell. Unless they have a definite need to sell they can spend quite a bit of pondering time considering their options. Are they chasing a high price? Do they have better uses for the money invested in a particular property that they can sell at the peak of the market? Is this the peak? Am I selling to soon, will it go up? Have I missed the market – is it going down?
Once on the market and the offers come in, sellers have more decisions to make. If you get a good offer right off the bat, do you accept or wait for higher offers to come in.
Stories abound about homes selling for more than asking price, sometimes much more. Is yours one of those that will become a real estate story legend? Are you hoping/dreaming, or do you actually have a property that warrants overbidding? Did you price too low, or are you priced way too high such that the offers you are receiving reflect the reality of the market but your expectations don’t meet reality … yet.
No matter what offers you receive, you have nothing until you accept one. You might receive a fantastic offer, delay your acceptance decision, and find they’ve moved on to another home, or at least away from yours.
A fair offer is a fair offer. In this market you can hit a home run without it being a grand slam. Don’t be greedy, be wise and look at the many other factors that make for a healthy transaction. Price is one thing, terms – all cash, large down for small loan, etc., length of escrow, are they accepting it as is or with few repairs, can you rent back while you find a replacement property if needed, etc.? There is a lot to consider not withstanding the quality of people those making the offer are to the extent you can find out about them.
Buyers should remain flexible, and not chase the auction frenzy unless they have more than financial reasons to own the specific property. Buyers can get rejected or countered in this market only to find out that the seller changed their mind, or had their circumstances change, i.e.- the first buyer fell through for one reason or another.
Don’t fall in love with the house until you are accepted and past your inspection period. If you do your decision-making abilities may be compromised by the emotion you are feeling toward the house. Sure, you have to like the home to offer, but don’t “fall in love” with it.
Sellers should not be too proud of their property thinking they are “the prettiest gal at the dance.” Buyers are smart these days and are looking at more properties than just your home. Not only are they looking at other homes, but they know that change is constant and things will change given enough time. If you are impudent enough during the process you may find nobody wants to buy your home through no fault of your home. Be receptive, nice and fair and you will navigate and thrive in this market.
When you make a decision to buy or sell, commit, act, and don’t look back. We all remember the car or property that got away over the years. Good stories to tell, but nothing to lament about as you get on with your life in the period contemporaneously with the event. That is for future conversation when you realize that these are the good ole days.
When it comes to choosing professionals to assist you with your Real Estate needs… Experience is Priceless! Jim Valentine, RE/MAX Realty Affiliates, 775-781-3704. Email firstname.lastname@example.org.