It is a Buyer's Market - So Why Do I See Multiple Offers?
Is a question that is posed to me by my Buyers when trying to purchase a home within the past few weeks. The Buyers want to move on a deal pretty quick so they can take advantage of the $8000 tax credit. We know that the clock is ticking, and the longer we delay, the less chance that we will be successful. However, we are finding that REO's are in high demand and receiving multiple offers, for the same reasons we are offering - short sales take too long.
We know that most banks are finding it advantageous to accept a short sale opposed to forecloseon a home, however the time line between contract on short sale and closing on a short sale is toooooo, long; especially when buyers need to move with in a month or so.
While multiple offers are reminiscent of days of past, these multiple offers are not pushing prices to ridicules highs as in the past. We are finding that pricing is jumping a few thousands, but pretty close to what the comps are showing in a given community overall.
Sometimes the Buyers get discouraged or even frustrated, but I am happy to say that they are pretty focused on staying within their budget or comfort zone, even though they are approved from more than they are currently shopping for in terms of pricing on the homes. They refuse to over bid their comfort zone, which is something we are learning from the past.
Multiple offers- yes, I guess we need them to clean out the muck from the housing fiasco of past. If you are a Buyer hang in there, you too will find the perfect home.
Cynthia Smitherman, CDPE, ABR, GRI, DB, VP AAREB
Emage` Fine Properties, LLC
602 697-4487
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