Shifting with the Market~

By
Real Estate Agent with KB Home Bre # 01424127

Shifting with the market is critical. Subject to Interior Inspection....Ahhh (Charlie Brown groan) that phrase drives me crazy especially when I see it under agent remarks. Normally this is code for me to ignore the listing and scratch it off my list.  It usually elicits a long tirade from me about the arrogance of the seller and his agent.

I mean really who is submitting offers based on a drive-by, subject to an interior inspection at a later date? Sure a few agents may comply but on the whole I find it a difficult concept to explain to my buyers. Yet the low inventory levels are forcing me to reassess my strategies particularly in the price house with rain cloudsrange of $250,000 and under. The most sought after price range in Riverside.

Surprise, Surprise, I tried something new today. I called the agent who was seeking offers based on a drive-by cursory viewing. Guess what? Although the home has been on the market for 77 days, unheard of in Riverside which has an average of 30 days on the market, the agent had received zero offers. Duh! Obviously other agents shared my opinion about this sellers request.

Responding to my call the desperate agent gave me the tenants number and suggested I contact her to see about scheduling a visit. The tenant agreed to allow me to show the home. As we stood outside the home after viewing, my client was estatic. She loved the home. We submitted an offer the next day and we are now in escrow.

I highly recommend reassessing your strategy periodically. The market shifts and we have to shift with it. If I had not bent my rule about ignoring any home which contained the dreaded phrase "Drive-by, offers subject to interior inspection" I would not have a client in escrow about to achieve her dream home. 

Of course she thinks I am just the best Realtor in Riverside.

If you are looking to sell or buy in Riverside, creative strategies are a must. Call me!

Posted by

 

If you are considering  buying or selling new construction in the Inland Empire ~ Give me call or email me 

Cause We Like Em' New!

 

Kristal Wilson                                           

cell: 951- 288-7079

Shoot for the moon & if you miss you'll be among the stars

 

 

Comments (34)

Christina Sanchez Hood
Palo Alto, CA
#SiliconValleyHOODS | Inspired Living
Kristal , cheers to you! So happy to have your client in escrow and, also to know that there is hope for those 'drive by only' listings :)
Jan 10, 2013 10:16 AM
Joan Whitebook
BHG The Masiello Group - Nashua, NH
Consumer Focused Real Estate Services

Interesting.. I have never seen a listing "Drive-by, offers subject to interior inspection" .. One of the buyers that contacted me did this and now she is in a women's prison.  I'm glad this worked out for you.

Jan 10, 2013 11:16 AM
Melissa Zavala
Broadpoint Properties - Escondido, CA
Broker, Escondido Real Estate, San Diego County
I read that book "Shift" a few years back and it helped me to change my perspective. I have seen and offered drive by listings on occasion. It's not my favorite way to go, but it does work.
Jan 10, 2013 12:13 PM
Tammie White, Broker
Franklin Homes Realty LLC - Franklin, TN
Franklin TN Homes for Sale

Kristal, we aren't seeing this happen here, even though our inventory is incredibly low and we're in a sellers' market. Good for you for pursuing the listing anyway and find the right home for your buyer.

Jan 10, 2013 03:24 PM
Rafi Footerman
Mid Jersey Inspections - Edison, NJ
Home Inspector, Mold Inspector, Radon and More!

Good for you, that would never fly around here unless it was a complete teardown.

Jan 10, 2013 09:13 PM
Valerie M. Blake
RLAH Real Estate - Washington, DC
Distinctive Marketing - Exceptional Service

We see this from time to time with uncooperative tenants in the property who will not allow showings.  A property like that is usually sold to an investor who will pay cash for keys to the tenant or it will be relisted after the tenant as vacated. 

Jan 10, 2013 10:03 PM
Tina Turner
Ormond Beach, FL

very interesting....I have not seen that term or selling directive at all in Central FL.  But interestingly, I have come to the conclusion that buyers have to put in offers sight unseen if they even want to get in the game in the $ 150-$ 200k price range most sought after in the corridor from Daytona Beach through Orlando, esp closer to Orlando, because of the huge competition and multitude of cash buyers. Inevitably there's a "call" for "highest and best", but if their offer's not their at the time, they're out.  But if they're in, we go looking then, during the negotiation period. I think, in effect, I do what's discussed here, even though the selling agent's not asking for it.  So I "educate" my buyer right from the get go.  Don't force them, but tell them straight out they're going to lose if the don't do it my way.  80% do what I suggest, and the others...it just takes losing a house or 2 to see and then they are "sold".

Jan 10, 2013 10:32 PM
Stephanie Arnett
ERA Town & Campus Realty - Starkville, MS
SRS, IMSD, Broker Associate, REALTOR

I've never seen it, but I doubt I would have done what you did.  If the seller doesn't want to sell, so be it.  (Yes that's the wrong attitude for a Buyer's Agent, but that's why I work w/Sellers :P )

Jan 11, 2013 12:55 AM
Sherry Peckhoon Sim
Sims & Company - Cayucos, CA
Broker/Owner, Covering the Beautiful Central Coast

Congrats on helping your client find a home that she likes. Ultimately, we need to look out for our clients' interest, and adjust.

Jan 11, 2013 01:19 AM
Sharon Parisi
United Real Estate Dallas - Dallas, TX
Dallas Homes

Great job for your client, Krystal.  Flexibility is key in our business.  Although I have not seen the phrase "subject to interior inspection"  in the Dallas market,  I do see listings that say "serious buyers only, or 24 hour notice."  Like you, I call the agent, who is always frustrated with the seller. Some tenants do not understand the importance of allowing buyers to see the property and are frustrated by the interruptions.  When I list a tenant occupied home, the seller and I meet with the tenant to work out a showing schedule that works for the tenant and the tenant signs an agreement.  This seems to work well for listing agents and buyer's agents.  Thanks for this great post!

Jan 11, 2013 01:29 AM
Michael Setunsky
Woodbridge, VA
Your Commercial Real Estate Link to Northern VA

Kristal, your flexibility has paid off. I wonder how many other people passed on this home because of this. Good job!

Jan 11, 2013 01:37 AM
Kristal Wilson
KB Home - Fontana, CA
Cause We Like 'Em New ~ New Home Specialist!

Kim ~ this is such a common occurrence here and I did not realize other parts of the country were not seeing the same situation.

Jerry ~ It was huge that the tenant allowed us to view the home.

Carla ~Normally it eliminates the listing for me immediately but I'm glad I tried something different.

Christina ~ I am regarding those "drive-by only's" with new eyes.

Joan ~ with short sale transactions this may sometimes requested in our area.

Melissa ~ I am definitely willing to look at them with different eyes, particularly if we are familiar that model.

Tammie ~ Good luck with the sellers market, how times are shifting.

Rafi ~ one does what one must!

Valeria ~ we also see a lot of the cash investors willing to deal with the cash for keys.

Tina ~ Highest & Best are sometimes called for at the initial listing, it is so competitive around here.

Steph ~ I am shifting with the times & the market, working with both buyers and sellers.

Sherry ~ I felt like this was a success story for all involved.

Sharon ~ I like the idea of meeting with the tenant and securing their agreement also.

Micheal ~ their loss was our gain.

 

Jan 11, 2013 03:39 AM
Sylvia Jonathan
Coldwell Banker Platinum Properties - Irvine, CA
Broker Associate, SFR

Good for you to push for a showing! In my experience the listings that are drive-by only belong to agents who want to drive their own deals the seller's way. It's insider trading many times, especially in short sales, and it is shameful.

Jan 11, 2013 04:01 AM
Rob Renk
Center Street Lending - McKinney, TX
AE | Fast Fix/Flip Loans for Residential Investors

Great post thanks for sharing your experience with that oddly worded phrase in the listing.  that would scare off most potential buyers.

Jan 11, 2013 04:07 AM
Ric Mills
Keller Williams Southern Az - Tucson, AZ
Integrity, Honesty, and Vast Real Estate Knowledge

Great job of being persistant and with low inventories we will have to all do more to see all of the homes we can.

Jan 11, 2013 05:04 AM
Marte Cliff
Marte Cliff Copywriting - Priest River, ID
Your real estate writer

Wow - I can't imagine going to the effort to make an offer if you hadn't seen the interior. Sounds like a lazy listing agent and/or an uncooperative occupant to me.

But - in this case I'm glad they chose that path (and you broke your own rule.) Had they allowed the house to be shown, your client might not be in escrow today. Congratulations!

Watching for those listings and calling when they're getting stale on the market just might give your future buyers an edge in finding their dream homes without the nuisance of competing buyers. Something to think about.

Jan 11, 2013 08:06 AM
Bob Miller
Keller Williams Cornerstone Realty - Ocala, FL
The Ocala Dream Team

Hi Kristal, we agree, mabe if cheap enough and good interior photos, an investor may bite.

Jan 12, 2013 01:34 AM
Jacqueline Drake CRS
Jacqueline Drake Realty - Saint David, AZ
Southeast Arizona land, farms & horse properties

This is not uncommon to see that clause on listings on income properties with tenants. I can't say that I like working with properties where inspection can only be done with an accepted contract. I sold a duplex with tenants and when my client and I inspected the interior one unit was in good shape and the other had a long term tenant who had been hard on the property. My client could have canceled but thought the value was still good and closed on the property.

Jan 12, 2013 02:11 AM
Kristal Wilson
KB Home - Fontana, CA
Cause We Like 'Em New ~ New Home Specialist!
Sylvia ~ it would be a shame if this is a devise used to discourage other buyers. I' m just glad I overcame my reluctance. Rob ~ some buyer are becoming so desperate they will consider some untenable options. Ric ~ thinking outside the box is critical. Marte ~ thanks for sharing another idea to find homes for buyers. Bob ~ that's another compliant of mine - I hate the one picture listings. Jacqueline ~ we are all learning to shift with the market as Gary Keller stated.
Jan 12, 2013 04:09 AM
Gene Riemenschneider
Home Point Real Estate - Brentwood, CA
Turning Houses into Homes

It never hurts to ask.  Sometimes asking gets you the deal.  It has worked for me when I sold the "No VA Offer Home" to a VA buyer.

Jan 24, 2013 05:35 AM