Special offer

TOO SLOW and TOO LOW

By
Real Estate Broker/Owner CalBRE# 01433049

snailTOO SLOW and TOO LOW

Those are the words I used with a potential buyer today. We've been TOO SLOW and TOO LOW. After writing on 6 properties and losing out on every one of them because of PRICE (low), we are hoping today that we won't lose out because of TIMING (slow).

We submitted an offer on a property TODAY (slow) that we should have submitted YESTERDAY. Why do I say this? Because this morning I received an e-mail saying the seller had lowered their listing price. That means the seller had no acceptable offers in hand YESTERDAY, and they want to renew buyer interest TODAY. We were already interested, darn it!

COMPETITION. When you are a home buyer, your competition is every buyer out there who is looking for a similar house in a similar area. We didn't have any competition YESTERDAY. But with a lower listing price, you can bet we have competition TODAY. Have I said "darn it" already?

So if you are a buyer who is currently looking for a home and it seems that your agent is prodding you, it may be because you're moving a little TOO SLOW for this market. Whether or not you are TOO LOW, well, that's more complicated. Your agent can only help you with your offer price, they have no control over your competition.

This is no time to hem and haw ... if you find a home you like, write an offer ... TODAY!

 

Posted by

 

Cynthia Larsen (707-332-2560) is an independent real estate referral broker in Sonoma County, California as well as a Certified Probate Real Estate Specialist.

CA Broker License #01433049

Comments (50)

Yvette Chisholm
Long & Foster Real Estate, Inc. - Rockville, MD
Associate Broker - Rockville, MD 301-758-9500

Cynthia, you always have something good to say!   It is true that the best time to submit that low offer is before they adjust the price, not after it.   The seller believes that they will have more interest at the lower price and don't want to look at the lower offer until they see what else the market says.   We adjusted the price of two of our listings and within 24 hours had an offer on each property, coincidence?   I think not.

Sep 08, 2013 01:19 AM
Suzanne Otto
Six Twenty Designs - Lansdale, PA
Your Montgomery County PA home stager

Buyers need to find the perfect mix of timing and pricing. They also need to take their trusted real estate agents advice on how to do this, otherwise be prepared to miss out on some properties.

Sep 08, 2013 01:21 AM
Kathy Stoltman
Ventura, CA
RETIRED

Cynthia, I agree, with the red hot market most of us are experiencing, it does not allow for a long drawn out decision process by the buyer and the days of low ball offers are past.

Sep 08, 2013 01:34 AM
Richie Alan Naggar
people first...then business Ran Right Realty - Riverside, CA
agent & author

I cannot believe that buyers today would even think of offering less than what is advertised unless they have a solid ground

Sep 08, 2013 01:48 AM
Richard Iarossi
Coldwell Banker Residential Brokerage - Crofton, MD
Crofton MD Real Estate, Annapolis MD Real Estate

If they haven't learned now after six offers, they never will. You have an enormous amount of patience.

Sep 08, 2013 02:25 AM
Sharon Parisi
United Real Estate Dallas - Dallas, TX
Dallas Homes

Cynthia, I love this post! Some buyers are unable to move quickly and miss opportunities over and over.

Sep 08, 2013 03:00 AM
Lisa Hayashi
Award Referral Network Inc. - Rancho Bernardo, CA
Retired Realtor

Great post! It's all about the motivation; it works on both sides. I've seen both sides drag their feet and sellers could have gotten higher prices and buyers could have gotten bigger houses, if they had only made decisions quicker.

Sep 08, 2013 03:14 AM
Ed Silva, 203-206-0754
Mapleridge Realty, CT 203-206-0754 - Waterbury, CT
Central CT Real Estate Broker Serving all equally

Too slow and too low is a formula guaranteed to bring frustration. If yiu lose out on another home, that buyer will get a harsh education, real quick

Sep 08, 2013 04:35 AM
Justin Dibbs
Fairway Independent Mortgage - Ashburn, VA
Mortgage Advisor

Yeah, six offers is a lot. If they are learning I'd be leaving. Catchy little saying ;-)

Sep 08, 2013 05:29 AM
Kate Elim
Dockside Realty - Spotsylvania, VA
Realtor 540-226-1964, Selling Homes & Land a

Hi Cynthia...Interesting. I had someone look at a house Thursday that he has some interest in but wants to wait until the price is lower. I told him that would more than likely bring the buyers back that have looked at the home already. Better to make an offer when no one else is than waiting for competition. 

Kate

Sep 08, 2013 05:51 AM
Andrew Payne Realtor® Richmond VA Homes For Sale~804-938-5257~
Piedmont Real Estate - Richmond, VA
Richmond, VA, Real Estate, SRES®, NAR Green
Certain zip codes in our market are considered highly desirable, so homes there sell very quickly. I've had a similar situation recently where my buyer moved too slow. However, some buyers just like to take their time. When they see a really great deal, then they'll take action---hopefully!
Sep 08, 2013 05:55 AM
Tamara Inzunza
Realty One Group Capital - Alexandria, VA
Close-In Alexandria and Arlington Living

I always say buyers have to lose a house to 'get it' or understand the market conditions, but to lose six.  Wonder how different that would be if we charged a fee to write contracts.  That's a lot of time, effort, gas, and energy wasted.

Sep 08, 2013 05:56 AM
Jeff Dowler, CRS
eXp Realty of California, Inc. - Carlsbad, CA
The Southern California Relocation Dude

Cynthia

I think "too slow and too low" happens alot, and sometime no matter how much coaching some buyers just need to work through at their own pace and suffer the consequences. But I am finding most, at least those I have worked with, get it - they are watching the market, and they know they have to move fast.

Jeff

Sep 08, 2013 06:17 AM
MichelleCherie Carr Crowe .Just Call. 408-252-8900
Get Results Team...Just Call (408) 252-8900! . DRE #00901962 . Licensed to Sell since 1985 . Altas Realty - San Jose, CA
Family Helping Families Buy & Sell Homes 40+ Years

Yes, buyers want to wait, then are angry when price is lowered and they lose out to competitors.

Sep 08, 2013 07:29 AM
Praful Thakkar
LAER Realty Partners - Andover, MA
Andover, MA: Andover Luxury Homes For Sale

Cynthia, true of this market for sure. My buyer is going to compete with 3 offers for the home his wife loved (and anything for wife, correct? I hope I can make it work for them!)

Sep 09, 2013 02:35 PM
Jack O'Neal
HomeSmart Elite Group - Gilbert, AZ

Great post this is so true in all of our market places. go slow you lose

Sep 10, 2013 01:30 AM
Elizabeth Weintraub Sacramento Broker
Elizabeth Anne Weintraub, Broker - Sacramento, CA
Put 40 years of experience to work for you

It kinda makes you want to sit buyers down, place your hands on their shoulders and stare directly into their eyes to say: When I say jump, you say how high! But they don't listen to us half the time. Still, I tell them that anyway.

Sep 13, 2013 07:42 AM
Wayne Zuhl
Remax First Realty II - Cranford, NJ
The Last Name You'll Ever Need in Real Estate

Timing is just as imortant as price. A day late and a dollar short, as they say....

Sep 13, 2013 09:20 AM
Patricia Kennedy
RLAH@Properties - Washington, DC
Home in the Capital
Cynthia, oh yes, in addition to all of the location stuff, timing, timing and timing are just crucial when a buyer in looking for a new place. They often take a while to learn that, you snooze, you lose - for real.
Sep 14, 2013 08:26 AM
Lawrence "Larry" & Sheila Agranoff. Cell: 631-805-4400
The Top Team @ Charles Rutenberg Realty 255 Executive Dr, Plainview NY 11803 - Plainview, NY
Long Island Condo and Home Specialists

The market is changing. Buyers have to be ready, willing and able to buy NOW!

Sep 19, 2013 10:09 PM