Buyers overpaying again?

Those numbers seem so high in small rural markets. Where for $800,000 you could buy a slew of homes priced in the $teens, $20,000, $30,000! Every real estate market is so so different. Less layers of players in small town ones. no stagers, one lawyer, one agent and buyers wicked savvy and in the trades, like the rest of their famlies in the show and tell turn your head and cough.

Margaret,

If that's happening, some buyers have a short memory of the 2007 crash. It can happen again.

Rich

Most folks buying with the crowd wind up sorry later.

Here in my area of Phoenix, we are seeing inventory go down, but not yet seeing multiple offers.  Time will tell as it seems we may see inventory continue to shrink a bit.  Funny thing though here, prices have been REAL stable.

Oh crap! Not again!

Margaret, I am seeing high prices here in Metro Detroit too.  I believe you should be so over the top that you will be years underwater 

Margaret, I experienced first hand last weekend on a property in Silicon Valley. The accepted offer was $50k over listed price, for a fixer up property no bigger than 500sqfeet. It is crazy what is happening in the Bay area. But I have to say that economics is playing a big factor as many local companies  started hiring and even offering sign in bonuses. There just isn't enough inventory for buyers and the rental situation is not any better. There is even a run on hotel rooms...It does feel like 2007-2008, however, home prices are way above what it use to be...(buyers/investors sure have a short term memory)

For Southern California - Riverside County, we finally saw an up tick in home prices last three weeks. (S)

Sounds like Marin County is experiencing a strong seller's market for results like that.

Oh, Margaret, I think they call it appreciation!  And I think this crazy multiple offer stuff is going on in a lot of places.  We are certainly seeing it in the DC Metro area.

Wow - I hope that things don't overheat.  We certainly don't want a repeat of the last several years!

Margaret Kapranos - it does not happen in all the towns here in MA. And afterall, it's always supply and demand, correct?

Margaret - We aren't seen numbers quite like that though we've seen a lot of competition and multiple offers. 

The market has fluctuated quite a bit these days in the last few years, but we could all do more, I believe!

I suppose we are back to the reality of "buyers pay for a home what they think it's worth to them."

When both sellers and buyers can fare well, then we have a balanced market.

We have way too much inventory in my market. About four and a half months worth and it's been supressing resale home prices for about a year now. 

Margaret, I read just today an article about what looks like another tech bubble in the Silicon Valley.  Any time people are waiving contingencies, ignoring appraisals (along with common sense and recent history), it's a recipe for bad things.  When inventory is so low in such a popular area, and so much money is being made, things get a little out of control.  Hoping this bubble quietly deflates rather than bursts.