With all the articles out there by many opinionated professionals what are Real Estate Investors & Professionals supposed to believe.
Volatility and uncertainty always paralyze financial and real estate markets however somehow the right players always make money. How?
According to this article by Forbes:
“Pricing is the most important thing that a seller can focus on right now if they need to sell,” Mason & Morse’s Wells advises. “Markets have a seasonality component to them since each one is unique. But across the board there are many buyers right now looking for a deal so positioning a property at the right price point is critical if someone needs to sell.”
“If you’re selling, get your property on the market,” he advises. “Don’t wait until ‘better times’. We don’t know when that will be, and most MLSs are pausing the Days On Market counter at the moment so sellers aren’t prejudiced in this regard. Also, don’t price based off the ‘outlier’ or premium comp. You need to create urgency by pricing ahead of the market. If you are new to the market, then you want your price to be compelling. If you are already on the market, then you don’t want your reduction to be a non-needle mover; you don’t want to be the tree that falls in the forest that no one hears. Sellers also need to be mindful that now is not the time to be trying to drive a hard bargain. Don’t scare buyers off. Be accommodating if you want to sell.”
Every time there is a drastic economic impact there is money to be made. Motivated Sellers are as intimidated as cash buyers however if they were motivated before, they are more than likely more motivated now and know they aren't in the market to price shop. We have seen a 22% increase in response rate from prospect sellers in the past 45 days and an increase in agreements signed. The greater picture of the way of doing things has changed and some of those changes will remain however when the following types of situations have happen across the country regarding essential and non-essential, it can't help but make you wonder if this is more about control, or safety? **I believe food and *shelter to be essential items so how is it possible that it's ok to jam into a foodstore as long as you're a few feet apart but you can't see a house in person with a mask on when those meetings typically entail only 2 parties meeting?
**Uniformly, every realtor in America right now seems to agree on one thing: the industry’s “non-essential” status in many states and cities is crushing the market—exactly when the spring selling season should be opening the flood gates.
For many real estate brokers, it’s hard not to whiff some political favoritism here. Pennsylvania Governor Tom Wolf put bike repair shops on his “life-sustaining” business list—as well as his own kitchen cabinet supply company—but placed realtors on lockdown. In Massachusetts, wood chippers still grind away since someone effectively lobbied Governor Charlie Baker’s office to make landscapers essential, while real estate agents sit idly at home.
Real estate’s non-vital status hasn’t gone over without a fight—including hours of internal debate at the highest levels of America’s largest brokerages like Compass and Berkshire Hathaway.
“Last Friday, the Pennsylvania Association of Realtors (PAR) filed an amicus brief supporting a lawsuit filed against Governor Tom Wolf,” explains Kristin McFeely, owner of Compass’s founding Philadelphia brokerage. “The lawsuit specifically requests that the Governor designate real estate services as a life-sustaining business, contending that the three essentials to life are food, clothing and shelter. The basic premise is that the Governor is preventing Pennsylvanians’ ability to gain shelter.”