| DANIELHOMAN 2006-08-20, 9:25 am |
| In looking over the available properties in my area, I have a question: Why
are most sellers happier to see their home in print than to receive an
excellent offer on their home? I think the answer to that is the first step
to understanding the large quantity of inventory we are facing.
Try this for the second question: The financing on a home was over 100%
when it was purchased. It is a gorgeous house and should sell quickly at
the right price, with the right cobroke. Now the financing is still 5%
above market value. In order to pay commission and closing costs and leave
the seller with a few bucks to move, you need to price the house 20% above
market and with a lower commission than what is being offered in your area -
oh yes they need to sell in two months considering the market what do you
do? a) take the listing high price with low commission and hope the market
comes way up during the two months you list it for? b) cut the listing side
commission to almost nothing and offer a high cobroke? c) Prepare a net
sheet and call the lien holders to verify the seller's information, and also
verify that the seller has the cash to buy his way out of the mess? d)
Walk away from the deal for now and contact the seller when the listing
expires? The reason there is so much worthless inventory on the market is
because of the way the majority of agents answer that question.
|