Having listed numerous bank owned homes as a listing agent and assisting buyers in buying foreclosed homes, the tide has turned for some properties listed at $150K or less.

Just this past week 23 offers were received on a Vallejo property listed for $60K.  My partner and I have a bank owned property in Vallejo that the bank dropped the price to $121,900.  We have had this property listed since last summer.  It started at $197,000.  Never thought we would get an offer back then for that price.  BUT, we did and the deal fell through because of the financing for the buyer.

This home stayed under the radar, as we say, for 5 months with gradual price reductions.  Four bedroom, 2 bath with new stove, laminate floors, updated kitchen.  It did need new carpeting (too many pets!) and paint. Overall a decent home for a buyer or investor. 

We lowered the price to $121,900 it still did not get any offers, many calls and viewings, but no offers.  Out of the blue 5 offers at one time with three over asking price.

The past few weeks we have been showing property in Vacaville, again in the $150K price range.  We put an offer in for a home that needed work and had no offers for over 80 days.  Well everyone else must have decided to do something as this house got 3 offers the same weekend.

Just yesterday, AGAIN out looking at homes just listed on the market in Vacaville, three of the homes had multiple offers or accepted offers---two days on the market. 

Our buyer looks at the number of cards when he goes in to a home and silently shudders wondering how many offers on this place.  And it has been on the market only a couple of days?  Agents must be waiting at the door for when the lockbox is installed!

Another home that languished on the market for at least a year in Vallejo, listed for $169,900 had 6 offers and one accepted before we could even put an offer in.  As agents we HAVE to call every listing agent before showing the property as you never know if there are pending offers.  We can then counsel our clients and strategize if they want to put their offer in with all the others.  It is one more step we need to do in the process of being a buyer's agent.  It is a horrible experience to show a home, a client love it, put together an offer, and find out the bank has already accepted an offer, but the agent has not updated the MLS.  No matter what, even if we call and there are no offers at that time, those fax machines work 24hrs a day and that agent could be receiving an offer as we spoke and not realize it.

Lesson learned is have your agent do as much due diligence as possible, realizing we cannot control others actions!

I had written a blog about Collective Market Conscience.  Now more than ever this is happening.

That is not to say there are not great opportunities out there, just be prepared to put your running shoes on to grab one!  It is still worth your time to buy a home in today's real estate market.