Buyers’ Market!

May 4, 2010

Here comes guest blogger Rebecca with some advice for all of you would-be buyers or sellers out there:

As a real estate agent, I am always giving my clients, both buyers and sellers, advice in many aspects of real estate. I thought it might be fun to share them with you on this blog. (Keep in mind that I sell in the suburbs, so for you city folk some information might or might not pertain to your market.)

Question: How do you know if your house is priced correctly?

Answer: In this current market, which is called the “spring market,” houses are selling.  Shocked that I said ARE SELLING?  That means if your house is priced well, it will sell.  Keep in mind that it may not sell immediately, and the average time a house is on the market is approximately 6-9 months.   A good rule of thumb would be:  If your house has been on the market for the past year, and you have had price reductions and still no offers, there is a serious pricing problem.  As a listing agent, I would want to sit down with the sellers and evaluate if they are truly motivated to move or are just having fun watching me talk to them week after week till I am blue in the face.

Question: How do you find a good agent?

Answer: I am an agent specific recommender, not an agency specific recommender.  By that I mean, the seller or buyer should have a good rapport with the agent and most of all should trust the agent’s advice.  Even if the agent is not at the big name agency.  The agency is not going to be doing all the due diligence work for you the buyer or seller, it is all handled by the specific agent you are working with.

Question: “My price range is $500,000 don’t show me any houses above that.” (Okay, that isn’t exactly a question, but more of a common realtor/buyer conversation.)

Answer: I like to honor the buyer’s request, but in this current market I do not advise that way of thinking, for you could overlook your dream home. The following is some good advice for buyers.  Sellers today have no choice but to be negotiable.  Here is an example.  There is a house that is currently on the market for $599,000. It has been sitting there like a dead dog for 6 months, wondering why it is not getting any offers. This seller needs this $500,000 buyer to have been looking above the $500,000 range, so that they find this particular house and make an offer. Even though the buyer might think they are making too low of an offer, most likely this house is going to fall into the sale price that the buyer is willing to pay.  This is one of the best buyer’s markets and buyers shouldn’t be afraid to jump in.

If there are any real estate questions that anyone has, I would love to have you send them to me through the comments section and I can answer them for you on the blog.  If you would like to contact me directly I can be reached at rebeccaberman@pruholmes.com.

Happy house hunting!

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