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Frustrated Again!

I do not know about you but I am getting very tired of the media not giving out good information regarding the market in my area! They paint a picture of buyers being able to get great deals on properties by making low offers!

I have three buyers who think they can lowball on properties and actually get the offer accepted. I had one buyer just call me to inquire about a cute detached single family cottage and the listing price is what one can get for a one bedroom condo. I told her that it is a short sale and has two offers that have not been submitted to the bank yet. Her response was that I want to pay less than list price. The other couple I have been working with argue with me that the banks do not want to keep the properties so they will negotiate. WRONG!! I have a third buyer in which his offer has been submitted to the bank. The competing buyers backed out and we are the only offer. He offered $250 over asking. He lost an REO with 5 competing offers and couldn't understand why his $20,000 below asking price offer didn't get accepted! He was putting 30% down and thought that would do it!

A majority of these listings are receiving multiple offers and the buyers do not get it! I keep telling these buyers that the homes are on SALE (sellers paid around 50% more for these properties) and even paying a little more than asking price is a deal. Interest rates are still low. They are all pre-approved by lenders.

I just needed to air my frustrations again! Thanks for listening!!!

Posted by Jean Powers CRS,PMN,ASP Broker, Northern California on 05/25/2008 08:18 PM

Comments (12)

short sales, reos, alameda real estate, real estate market

Post is included in group: Everything California
Post is included in group: CALIFORNIA REAL ESTATE

12 Comments on Frustrated Again!

Jean, I agree with you 100%. I have buyers who say that the media, their families and all of their friends tell them that they shouldn't pay more than 20% off the asking price. I show them comps where houses are selling within 97% of asking price and they can't believe it. Then they have a hard time making a decision because they are so programmed by what they hear.

05/25/2008 08:23 PM

by Lisa Friedman Central New Jersey Real Estate (Pinnacle Realtors)

Jean: First of all, the national media can only give out more correct information if they actually cared about doing it right. They would much rather paint the news as bad news with a broad brush, and hope the sensationalism raises their ratngs.

05/25/2008 08:28 PM

by Fort Worth Real Estate - - - Karen Anne Stone (RE/MAX Trinity)

Lisa and Karen-thanks for your comments

05/25/2008 08:32 PM

by Jean Powers CRS,PMN,ASP Broker, Northern California (Kane & Associates)

Touchee! I'm right there with you! The buyers always want to offer way below list price which is already rock bottom! it is so frustrating. We can do this! Gina Gulliford, Long & Foster, Columbia, MD

05/25/2008 08:36 PM

by Gina Gulliford (Long & Foster)

Gina, thank you for your comment and support!

05/25/2008 08:45 PM

by Jean Powers CRS,PMN,ASP Broker, Northern California (Kane & Associates)

The media reports what they think will sell. not always the whole thruth.

05/25/2008 08:47 PM

by Shaun Wren (Western & Southern Life)

Shaun hit it on the nose. The print what will sell, not what is always accurate.

05/25/2008 09:00 PM

by Steve Glose, Keller Williams Central Florida (Keller Williams)

Jean, you're right these homes are already "on sale" and the buyers aren't getting this and they think they can drop it another 20%. Too much talk is going on with the neighbors who have no idea what they're advising these home buyers. What about the Buyers Agents however, why are they advising them to low ball? I don't get it.

05/25/2008 10:09 PM

Sorry Jean...the last comment was from me - I wasn't logged on.

05/25/2008 10:12 PM

by Lynn Pineda - Realtor in and around Coral Springs Real Estate (Keller Williams Realty)

Jean.....I feel you pain. Unfortunately this kind of behavior and media is really prevelant right now. The media just wants to sell papers.

05/26/2008 01:35 PM

by Pam Winterbauer ~ 2006 REALTOR® of the Year (Windermere Welcome Home)

Jean - yep, the buyers want the deals, but the banks want their money, too. Just because a property is a short sale does not mean you will get it for 20% below market - the bank is only going to forgive so muc. Plus you will compete with other folks who are willing to pay what the bank wants too.

Jeff

05/27/2008 02:10 AM

by Jeff Dowler ~ Carlsbad Real Estate (RE/MAX Associates)

Jean, Great post. It is sad that the media feeds off of negative reporting. And it is a proven fact that when you surround yourself with negativity you then become negative. That is why it is so important for those of us in the industry (not just a reporter on the sidelines) to stay positive and inform our clients. The attitude that someone can offer 50% of an asking price just because its a foreclosure or short sale is not a good outlook and takes up realtors valuable time. Good luck to you

06/03/2008 10:41 AM

by Dione Sage (Nova Home Loans)

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