The real estate market in the Phoenix, Arizona and Mesa, Arizona valley is going through more twists and turns as more short sales and foreclosed homes come onto the market.
Unfortunately, many buyers are competing against cash buyers – and losing. The old saying, “cash is king” is true in this competitive real estate market.
Recently one of my buyers made an offer on a foreclosed property. Over asking price, very clean, and a desirable offer to any potential seller. However, the buyer lost out to a cash buyer even though the cash buyer offered less. Even the REO agent wanted my buyer to get the home, but has no say!
Why? You might ask? Would the bank accept a lower offer? In our market, appraisals are all over the place. As of May 1, in order to “fix” or “remedy” the problem, a new federal Home Valuation Code of Conduct was placed into effect. No longer are the lenders allowed to speak with the appraisers – nor are they allowed to “choose” or "select" the appraisers they know to be reputable, savvy, and aware of the market in which the property is located. Bottom line? It’s a mess!
The left hand doesn’t know what the right is doing, homes are not appraising, and there are multiple bids on the most desirable homes.
In spite of these issues we face, Realtors will continue to push through the paperwork, the difficult appraisals, and we will write two, three, four and more offers in order to get our buyers a home. Ridiculous? Yes!! BUT, this, too, shall pass! Maybe, just maybe, we'll get a seller, a seller's agent, a good appraisal, and close on a home like we did in years' past. Could happen!
Mesa, Arizona Real Estate. Call me at: 480.216-3334 for information on purchasing or selling a home in Mesa, Arizona or surrounding towns. OR email me: Teri@TeriEllis.com. Feel free to visit one of my websites: HomesAzRE.com, ServingMesaArizona, MoveToMesaAz.com or MoveToSunnyAz.com. Or stop by my blogs at: MesaAzRealEstateVoice; or Phoenix Valley Real Estate Blog