Right now, it is still a buyer's market.
Real estate is cyclical, moving back and forth from a buyer's market to a seller's market. As more and more buyers enter the market and try to scoop up a super terrific deal for themselves, there is more competition.
When it is a slower market, the sellers may be more willing to accept a ridiculously low ball offer. As things pick up, there are more buyers "knocking on the door" of that listing--showing interest in it by asking their realtor to see it. As a way to separate the emotions associated with buying and selling a house, realtors are involved, however with ridiculously low ball offers still can "upset" the seller.
Recently I had two customers make extremely low offers. In one instance, the seller countered back at nearly the current asking price, then raised the price of what they would accept.
(The seller had already lowered their asking price by nearly $30K, they felt their price was extremely fair and the house had never been lived in.)
On the other house which was a shortsale, the buyer who I have been working with for a few months now, had offered a low price and asked for closing costs to boot. The bank came back and countered somewhat higher. My buyer had told me that they would be ok with the price that the bank came back at, but instead of accepting it, they countered at $5K less. In the meantime, another buyer came along who didn't ask for closing costs and the bank took their offer instead. My buyer didn't get the house and was feeling extremely frustrated.
Buyers, if you are working with an experienced realtor who is assisting you in purchasing a house, if you feel they know what they are talking about, cut a lot of frustration out of your life by...listening to them. If they have integrity, they will be working for your benefit. A good realtor will be honest with you and will help you in setting your expectations in purchasing a home.
Also, mortgage companies are tightening up their guidelines and cutting out programs that they have had in the past trying to protect themselves from loans that are riskier. As time goes on, it may become increasingly difficult to get the loan that you want with the payment that is comfortable for you.
Right now is the Right Time to buy. With interest rates as low as they are, you are going to be able to afford a really nice home. As interest rates go up, many homeowners may get "priced out of the market".
Please let me know if there are any questions I can answer for you.
Warmly,
Stephanie LeFew, Your Zephyrhills Realtor
Solaris Realty of Tampa Bay
813-624-3332
Buyer Incentives Available
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