With a recession in full swing and lenders stingy with the cash, cash buyers understand they have the upper hand and are patiently waiting on the fences for the rare good deals.
So who is selling today ? Definitely not the sellers stuck in 2005 pricing. A recession means receding prices due to reduced availability of cash and buyers' tendency to postpone purchasing. Uncertainty and fear about what is going on in the country and the world have put a damper on activity.
Many sellers have also decided to sit tight and wait for better times to list. The sellers currently listing and selling are motivated sellers. They have to sell.
Some colleagues say it is the time to list, implying that listing your property is an impulsive herd-like type of behavior. What they are not disclosing is that only the motivated sellers are selling, at current market value, and not at some rosy inflated 2005 prices...
This is a painful market for honest listing agents like myself who are facing a huge dilemma: humor and mislead an unrealistic seller and take the listing at a high price knowing eventually the market will beat the seller down; or, pass on listing overpriced properties and play this disgusting game.
The bottom line is this: list if you must sell and if you are ready for pricing at current market prices. This market is not a "let's try it at this price first". You are wasting your time and money.
Oh, one last thing: before you sign the listing agreement test your listing agent and ask if you can cancel the one year typical luxury listing agreement if you do not sell within 6 months and within 10% of your listing price.
If you are thinking about selling, contact me for an honest consultation.
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