How unfortunate for the home buyer(s) who fall in love with a home, wants to write an offer and doesn't because they feel there are better deals out there. When a home buyer is interested in a home, typically a good Buyers Agent will look at and go over all the homes that have sold nearby in the past three to six months with the prospective home buyer. In the case of the home I listed a few weeks ago at 12496 Sulky Ct in Lake Ridge VA much of the Buyers Agents feedback was, nice house, great condition, however the buyers felt it was overpriced.
We can't blame the Buyers Agents, they are powerless and have no way of showing the buyer how the home looked when it was a foreclosure compared to the house they see today. Buyers do not trust and believe sellers are just being greedy. "It doesn't help that the information on the previous MLS Listing has no photo's and very little written in the description. This is where Listing Agents do a huge disservice to their clients and the community and the real estate market as a whole. Let me go on record to say I hate lazy listing agents!"
When I listed this house, I knew I was faced with a huge challenge. The homeowners had only purchased the home about six months earlier as a bank foreclosure. They were asking $345,000 when it was advertised as For Sale By Owner. I knew that was too much, however I was impressed with the quality of workmanship and how much the homeowner had done in six months. The only reason they were moving is because they needed to relocate. They were heart broken knowing they had sunk more that $70,000 into renovations. The tricky part was they had only purchased the home for $237,000 a few months before.
I met with them and I agreed to list the home. We listed in MLS for $330,000.
Traffic was good, the marketing brought several dozen buyers into the house within the first two weeks. "That said, even though many buyers loved the home, but passed thinking they would find a better deal and that just maybe the seller would come down in price over time. WRONG!"
In the end two smart home buyers who saw the value of buying a home in Lake Ridge Virginia made offers. The homeowners accepted one and the home went under contract.
Now comes the nerve racking part. The Appraisal Process. As the sellers agent it is my job to coach them on their options and to help them get their price.
- I asked the seller to place Before and After Photo's on the dining room table for the appriaser
- I pulled the most recent comparable homes sold with interior photo's on the table as well.
- I asked the seller to draft up an expense breakdown of all of the improvements he had made in the home since they bought the home.
- Then we all kept our fingers crossed.
This weekend I was able to call the sellers to tell them the good news! The home appraised for $330,000! Exactly what I listed if for. So yesterday I was able to change the status of the home in MLS to Contract and now they are heading to settlement at the end of the month!
The Moral Of The Story.
Buyers: if you like the house and it fits your lifestyle and you can see yourself living there for the long haul. Put in an offer. Don't pass on your dream home just because you think it is overpriced. Let the appraisal process do what it is suppose to do. Determine the Fair Market Value.
Homeowners:If you are thinking of selling your home, give me a call. I take great pride in helping homeowners get top dollar for their home.
Do You Need Help Selling or Buying A Home? I'm Only A Phone Call Away,
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Call or Contact Peggy James- Realtor® - Exit 1st Choice Realty ... Visit Our Website: www.erickandcompany.com Erick And Company-Exit First Choice Realty My Direct #(703) 851-3085 or Office # (703)590-2252
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The views expressed herein are my personal views and do not reflect the views of Exit 1st Choice Realty.
Just got a call yesterday from clients inquiring about a home they saw several months ago, numerous times. They just couldn't make a decision to move forward. Instead, they wanted to see EVERYTHING else that even remotely represented what they wanted in a new home. Finally, yesterday, they decide that THAT house was really the best fit. Unfortunately, THAT house is "long gone". The search will go on.
Hi Tom, I hear you. In our area what we are doing since so many of the home buyers are frustrated and keep hesitating and waiting is we keep a running record of the homes they viewed and passed on. Then as each go to settlement with share with them what the home ultimately sold for and what closing costs the seller paid ( if any). Slowly the lightbulb comes on.
Yep it is a buyers market, when the buyer is ready it may be available and it may not be available, but it is a buyers market. Good Post.
Peggy, you wrote a great post with 2 super points: 1) buyers often lose out on a great house thinking something better will come along, and 2) sometimes one needs to go the extra mile to prove value to the appraiser.
Congratulations to you for being so dedicated to your client's interests.
Folks have to get past the "Let's Make a Deal" syndrome and realize that some houses really ARE priced to sell...not to sit !
I'm with you. Buyers won't know what they can get a home for or what it will appraise for, if they don't put in an offer.
Sally and David, yup the "deal days" here in Prince William County Virginia were back in October 2008. Back then houses so many homes had been abondoned and banks were giving homes away. We have many clients who purchased homes in 2008 who's homes have gone up tens of thousands of dollars. I love making those market update calls to past buyers.
Tammie- thanks for stopping in today. For a real estate transaction to go forward there has to be a win for both buyer and seller. Make an offer on the house you love. If you think it's overpriced negotitate!
Lottie- that's what I love about blogging! The consumer can really get a feel for who we are and how we can help them.