Our real estate market here in Brevard County is flooded with short sales and foreclosure properties. There are some absolutely fantastic deals for buyers today. There are short sales at under $100,000 that are 1700 square foot homes, 3 bedroom, 2 bath, 2 car garages, on .23 acres, 2-3 years old, many never lived in. The deals are phenomenal!
Over the past couple of months I have seen a trend with buyers. Buyers are not interested in what comparable homes have been selling for in an area. They are interested primarily in what THEY WANT TO PAY for a property. PERIOD! It seems there is no rhyme nor reason to the numbers that buyers are attempting to throw out there to purchase these properties. Now, don't get me wrong, when I buy real estate, I want to pay the lowest price possible. I think we all do. But, I keep hearing buyers say that they know they can pay pennies on the dollar for a property. Just where are they getting this information? Late night TV?
Some of these low ball offers are being signed off on by desperate home sellers on short sale listings. Then, they are forwarded to the third party lenders for approval, where they will never have a chance of being accepted! These offers are clogging up the system and back logging the lenders and title/escrow/closing companies or attorneys offices.
Well, I suppose that turnabout is fairplay. In 2005, sellers were asking outrageous prices for their homes and getting their price, because homes were in such short supply.
In 99% of the cases, today's lowball offers are being rejected.
Maybe it's that 1% chance that they're hoping that their offer will be accepted.
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