Archive for the 'Buyers' Category

How DARE You Waste My Gas!!!!!

July 18th, 2008 category: Buyers, Real Estate NewsNo Comments »

I read something today in which a buyer wondered if they would have the ability, after viewing a house with a listing agent, to get their own representation for the purchase.

A response from some in the real estate contingent brought up “procuring cause”, “ethics to the agent”, and wasted time and gas on the part of the agent, at the behest of the buyer.

Additionally, there were responses indicating that, without fail, the listing agents ALWAYS ask of buyers if they “have a Realtor”, or if they’re “working with anyone.”

For consumers, THAT’S NOT SPECIFIC ENOUGH. At least in New York, and a number of other states that permit dual agency- not by a long shot.

The question isn’t “are you working with someone.” If a real estate agent has made it to the appointment with the buyer, the conversation should go more like this:

(after niceties): “I am obligated by law to disclose to you that I, and all in my firm, are working at this point for the seller in this transaction- this home is represented by xyz firm. What that means is that it is my responsibility to watch out for the interests of the SELLER. Anything that you share with me, if it advances the end result for the seller, will be shared with them.

If you would like to move forward with an offer at any time, it might be possible to offer you a dual agency situation, in which I can facilitate the transaction. I am available to do that at your discretion, subject to seller approval. Just initial here- the one that reads: enter into this agency with caution.

In the event that you’d like your own representation, it will not be possible if you make the purchase through our firm, however that option is available to you under buyer agency.”

Sometimes, as happened to us, a buyer will say, “I like the house, and don’t need a Realtor. I’m offering x amount, and if your seller won’t take it, I’m not taking the house.” In this case, we represented the seller only, advocating for the seller only.

Sometimes, too, a blank stare with silence will follow your explanation. This is not good, because it means that despite looking at potentially numerous houses, they have not once had the required NYDOS disclosure explained to them.

When I worked on site for a builder, I routinely asked customers that came in if they “had a Realtor”. I did this because I wanted to protect the real estate agent that had likely taken the prospects to numerous places, and I wanted to see them get paid- often, trips to a model home were impromptu. Consumers didn’t “get it.”

The NYDOS “spiel” is not about real estate agents getting paid. It’s about following a law enacted to protect consumers that are entitled to a fair transaction out of the gate. They are entitled to “get it”.

If you are a consumer seeking to purchase a home, and the real estate agent that you’ve selected has collected any information from you without having the NYDOS disclosure explained and signed by you at your first “substantive” contact (read: ANY info collected from you), it would behoove you to request it.

The exception to this requirement (in New York) is a home that is a fourplex or more.

If you are a Realtor meeting a prospective customer at a home listed by you or your company in a dual agency state, do NOT complain about the gas and time unless the person with whom you are showing your listing has reviewed (to full comprehension) the agency disclosure.

For a link to industry comments, click here.

The Content here and The Photos here are: Copyright 2008 Options Realty!

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Just What Long Island Real Estate Consumers Need…More Junk Fees

July 11th, 2008 category: Buyers, SellersNo Comments »

Bob Sullivan from MSNBC’s Red Tape Chronicles posted this today. We thought it was valuable enough to show it to you here, at least the opening paragraph. Click here to read his entire post over at the Red Tape Chronicles.

“Traditionally, buying a home has been “free,” at least with regard to real estate agents. Sellers pay steep commissions — usually around 6 percent – which are split with the shoppers’ agent. That allows home buyers to focus their energy on hunting for hidden fees from their mortgage provider.”

To home sellers and buyers on the North Fork of Long Island: Please click here to read the entire article.

While I had heard of vague “administrative fees” becoming common, it was something that seemed minor relative to the rest of certain real estate issues that occur on Long Island, in addition to an ever changing market.

Deciding, as a broker, to add fees that (if they are explained as competently as the agency disclosure often is…NOT…you will likely view this inserted creative “fee” at closing) is unacceptable, whether in a slow market or not.

Not because there are certain administrative tasks associated with a real estate transaction, but because fees charged to consumers is for the purpose of a completed transaction. Isn’t that what “commission” is supposed to cover?

Hopefully, awareness of what we concur is a sneaky and unacceptable “fee” (what- paying a real estate agent along with an attorney isn’t enough for Long Island consumers??) will eliminate it. Awareness is everything, and administrative fees coming from a real estate broker/owner are completely ridiculous. Opinion, of course…

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An Update on Buyer Agency in New York

July 3rd, 2008 category: Buyers, Real Estate PhilosophyNo Comments »

As buyer agency becomes more common in New York, myths and misunderstandings abound.

A consumer misunderstanding involves seller perception. While the term “buyers agent” might strike fear in the heart of a seller accustomed to both parties working with a buyer on behalf of the seller, it’s actually clarification for both parties in the transaction that tends to afford the process an ethical and smooth conclusion.

Working on behalf of a buyer does not eliminate required “fairness to the seller” intrinsic to all transactions.

The idea is NOT to create issues for the seller, or offers without merit. Rather, it is to clearly define the parameters of a fair price, fair terms, and in all likelihood, required pricing commensurate with value that will ultimately be determined by an appraiser.

Another myth that appears to be perpetuated by some Realtors on Long Island is that a buyer agency contract is required in order for a buyer to obtain representation. Realtors on Long Island tend to concern themselves with a “liability” issue which, so far, I’m simply not seeing as an issue at all. It is no different than liability present when Realtors represent (with fiduciary) a seller.

Confused, many agents feel that a contract guarantees THE BROKER payment, eliminating the possibility of a buyer locating a property after a Realtor has presented properties to a buyer. Indeed, it is from our view a “hostage” situation.

Our philosophy is that if we haven’t established the necessary trust between ourselves and a buyer, we haven’t established the right to compensation. While some might consider this perception risky, we have found that buyers with loyalty earned by us are more than willing to keep us as their agent, irrespective of the possibility of a property located without our involvement (i.e., open house, fsbo , etc.).

In the event that a buyer does locate and consummate a transaction despite our involvement, we are inclined to look to ourselves for the problem- surely, had we operated with an acceptable level of integrity and trust, we would be included in the transaction.

Another problem with a signed agreement from the buyer (outside of the NYDOS disclosure) is that there are many Long Island Realtors that intentionally, or out of ignorance, either counsel sellers to discourage buyer agency compensation (but include, in the price of the house, a fee to be paid to an agent that brings a buyer, representing the seller), or don’t alert sellers that this compensation is not included in their listing agreement.

For this reason, holding a buyer hostage via a contract that may well require payment out of the pocket of the buyer is a violation of the fundamental practice of buyer agency on Long Island, and the accompanying fiduciary incumbent upon the Realtor- causing an unnecessary expense is a violation of fiduciary, and therefore unacceptable.

If we can’t convey to the listing agent and seller that payment is to come out of the proceeds included in the price of the house via a fee that OUR BUYER is paying in the price of the house, we aren’t doing our job. Period.

Until listing agents reduce their fee to include ONLY the listing “side” (typically, a total seller fee is 6%, with 3% going to the buyer’s agent) it is incumbent upon all of those seeking to represent buyers to comprehend FIDUCIARY to the buyer through a full understanding of what the buyer is paying in the price of the house for representation.

It is appalling to imagine that a buyer’s agent would require payment from a buyer, knowing that the fee for the buyer is IN THE PRICE OF THE PROPERTY, AS WELL.

Long Island is tricky. Were it like most areas that are full of seasoned and competent Realtors accustomed to buyer agency as the only way to conduct real estate, there would be no concern that a buyer would be compensating their agent once through the listing fee in the house, and again out of pocket to the agent. It simply isn’t a problem in many areas, as ALL listings fully anticipate, and offer payment to, a buyer’s agent in the MLS system.

Until this is true in New York, and specifically on Long Island, it is dicey, and unacceptable to demand a contract from a buyer seeking representation.

We don’t do things the way that Long Island “does things”, because it has been far too unethical in our opinion, for BOTH parties in the transaction. The resultant disdain that most consumers have toward the real estate industry in general on Long Island is a deserved assumption.

Working to become an integral part of a fair transaction does not seem an unreasonable request on the part of consumers. Hey, it has to start somewhere.

If you are seeking a property on the North Fork of Long Island, or would like a review of our consumer friendly rates to list your home with the utmost care, please contact us. We are happy to answer any questions that you may have. Our goal is your goal- a transaction that is clear, defined, and puts integrity ahead of self-gain.

photos: iStockPhoto

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Great News for Home Buyers on the North Fork of Long Island, New York

May 19th, 2008 category: Buyers, Real Estate News3 Comments »

FINALLY- and end to “declining market status”, which forced an additional 5% down from home buyers.

That this policy was enacted at all is really troublesome, in this writer’s opinion- since when, in any downswing, has it been OK for Fannie Mae to jeopardize the abilities of the buying public by “hedging bets” on how the real estate market will perform?

For those seeking to sell a home on the North Fork of Long Island, know that the elimination of this policy will create new opportunities for buyers that (but for that pesky additional percentage down) would have considered a purchase, but found themselves short on cash.

Additionally, the requirement that appraisers maintain awareness of the declining market being eliminated takes away some of the unease that sellers faced with respect to the appraisal itself coming in low.

This move, in conjunction with the increased limits offered with FHA loans (good through Dec. ‘08) will create a nice opportunity for buyers to re-consider the benefits of this particular loan, once widely used, but abandoned when pricing exceeded the typical FHA limits imposed on home buyers. With a bit more latitude offered, I’m guessing that FHA loans are preparing for a resurgence, another positive for home sellers and buyers.

There are currently entities lobbying to make the increased limit permanent- we’ll offer an update if that occurs.

FINALLY, SOME GOOD NEWS.

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Buyer Agency In New York Is The Only Way To Go

April 21st, 2008 category: Buyers1 Comment »

 

I’ve been asked before why I hate sub agency in real estate, and why I appreciate buyer agency.

When my real estate addiction began, it was a time of certainty for me- 24 years old, a two year old, and a mortgage. There was no question, at that age, that this was it- the “job” that worked for me. I realized that combining a genuine interest in houses with a genuine interest in sharing the “pride of ownership” with my prospective home owners was exactly where passions intertwined- I got my real estate license.

Because buyer agency was not yet available to the real estate community in Denver at that time (1980’s), it was with no existence of an alternative that I presented my ” agency status” to my first buyers- they were clear that I represented the seller in any home purchase that I might locate for them- disclosure was required.

We looked at many homes, laughed a lot, and developed rapport, culminating in a view (from their eyes) that was exactly in tandem with how I viewed my contribution: home locator, advisor, participant in a very important mission. We connected, these buyers and I.

Out of the blue, they called me to let me know that they had attended an open house, and it was “the one.” They followed this news up with: “But you’re our Realtor, so we told the guy that we want to buy it with you- we would never leave you out, Laurie.” The listing agent, being an agent of integrity, honored their request to have “their Realtor” involved. As “their Realtor”, I had never crossed paths with the seller or the listing agent, but the listing agent knew that he had a sale for his sellers, and wasn’t going to screw it up in an effort to get paid the full listing commission as opposed to splitting it with me.

He demonstrated ethical fiduciary to his seller; now it was my turn to provide my fiduciary duty to the seller.

Except, I’d never met them. I was, in the eyes of the buyers, “their Realtor.”

The market was good- the buyers offered the full price of $90,000. Upon the inspection, items of substance (if not expensive, annoying repairs) arose, and very cognizant of the fact that “fairness” to the buyers was also a requirement, I added an addendum to the contract stipulating very specifically what was to be repaired before closing (people didn’t, and generally still don’t, use attorneys for closings or advice or paperwork in Denver, Co. or the majority of States).

The items were not completed at the walk through, but the buyers wanted to move in (they knew that they had the items agreed to by the seller, in writing) so proceeded to close. A week later, nothing repaired.

When the sellers ultimately refused to do the agreed to repairs, the buyers called me, and let me know that they had a small claims court date- could I make it? I had, after all, facilitated the addendum.

I was horrified (really) when my broker reminded me that no, attending was not possible, because my fiduciary responsibility was to the seller, not the buyers.

 

While my awareness of my status with the sellers had compelled me to get advice from the broker (ultimately liable were I to appear in court on behalf of the buyers, at least, in his estimation) it took that murky, convoluted term “seller agency” to a level that was, bottom line, unfair to the buyers.

Because the items had been recorded and signed off by the sellers, the buyers won monetary compensation from the court, and all ended up even for them. They called to let me know, saying with legitimate sarcasm,

“We won the case, NO THANKS TO YOU.” We didn’t speak at all after that call.

Even in a situation in which it was possible to support the notion of “seller agency” when working with buyers, STUFF HAPPENS. Clearly, there was enough confusion in Denver to eliminate seller agency altogether- buyer agency permitted, for BOTH parties, a defined line by which their expectations could be met- it started very shortly thereafter (late ’80’s) and continues today as the way to conduct real estate.

Sellers, by the very nature of their listing agreement, receive full fiduciary out of the gate from their listing broker in NY (and elsewhere). When a seller of a home in NY commits to a real estate individual (and brokerage), they choose that person for many reasons, among them a awareness that they’re receiving fiduciary representation (and they are, or should be).

Sellers don’t NEED two agents, one who has listed the home, and one bringing a buyer, in order to receive double fiduciary. If a home seller feels that the listing agent isn’t enough protection, they picked the wrong agent.

Buyers, on the other hand, are equal participants, and when confusion about who represents whom disturbs the purchase, the feeling of getting “taken” or “lied to” is a possible (and unacceptable) result when they are without a buyers agent. Both the buyer and the seller (by extension- they’re dealing with an uncertain buyer) pay the piper in aggravation, if not money. Just ask any seller who has struggled with “concessions” from a wary buyer.

BUYERS: You Are Better Off Going It Alone Than Accepting Sub Agency (or broker agency) from “Your” Realtor. Anything that you disclose to your sub agency Realtor that benefits the seller will be relayed to the seller, as required. If you aren’t clear on this, your transaction will likely be sour for both you and the seller.

So, with an ongoing agenda of promoting buyer agency for sellers and buyers, just a cautionary tale to Realtors that might (as I did) find themselves wondering if real estate works from an ethical perspective- being called “their Realtor” and having it rescinded is a devastatingly AVOIDABLE event with buyers or sellers of real estate. It wasn’t avoidable in the 1980’s; IT IS AVOIDABLE NOW, New York.

Buyers agents, you are welcome to view our listings- we have our sellers covered. If your buyer wants to buy, we have sellers that want to sell. We’ll make certain that we watch every move; you do the same for your buyer. Getting houses sold with happy clients reaps rewards for all.

*A footnote: buyer agency is established via the NYDOS required disclosure at the time of your first substantive meeting with any Realtor. It is NOT required that you sign a contract. Call if you have any questions.

We also refuse to engage in “dual agency”, but that’s another blog…

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Working with Buyers on the North Fork of Long Island

April 11th, 2008 category: Buyers, SellersNo Comments »

SELLERS OF HOMES ON THE NORTH FORK OF LONG ISLAND: YOUR BUYER IS OUT THERE.

 

While frustration has been, of late, the order of the day for home sellers in general, there are homes going under contract, and there are buyers looking for properties.

The homes that go “quickly” are priced in such a way as to get the buyer to land, with a bit of negotiating on occasion, and a willingness on the part of both buyers and sellers to compromise.

Nationally, we are in a precarious place- with the recent down payment increases becoming common, buyers are educating themselves in impressive numbers, as they decide if things are close to “hitting bottom” in a declining market.

Presentation of your home on the Internet is critical- a single photo on Realtor.com (a spin off of the MLSLI) doesn’t cut it with today’s home buying contingent. Additionally, while exposure on numerous websites has gained ground, there are still hold outs that are not maximizing the exposure needed for your home.

Pricing is tantamount to success- with buyers deciding that a fence upon which to sit is a safe route, offering a home that is accurately priced is still the best formula. Determining this can be tricky, but there are several ways in which to approach the dilemma- not the least of which is to take a hard look at your competition.

While ignoring the headlines in favor of local results is difficult for both sellers and buyers, the fact remains that real estate is LOCAL, and our area appeals to many outside of the North Fork. A home priced within the range of recently closed properties is far more practical than pulling up properties that closed more than a few months ago- while we haven’t seen NEARLY the disastrous market in evidence in other states, there is a knowledge among buyers that things have dropped from the highs of a few years ago.

Viewing the entire process as one in which cooperation is essential will provide sellers with able buyers, and buyers with properties that don’t run the risk of being “under” appraised- starting out with accuracy is, and always has been, a key component.

CALL US FOR AN ACCURATE ESTIMATION OF THE VALUE OF YOUR HOME. GETTING BUYERS TO LAND ON YOUR HOME IS OUR PRIORITY.

(PHOTO OF OSPREY AND A VISITOR- Options Realty)

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A NON Vacation Home on the North fork of Long Island

April 7th, 2008 category: Buyers, North Fork NeighborhoodsNo Comments »

The North Fork of Long Island- Vacation Homes for the Non-Vacation Home Minded…

Let’s face it- the thought of a retreat is appealing to everyone. I’ve visited friends at their “retreats” in Connecticut, or upstate NY, and the homes are made for relaxation- woods, lakes, deer…the whole serene dream.

Until it’s time to pick up the milk that was forgotten on the way up- how far back was that little grocery store??

On the North Fork of Long Island, amidst the beaches, woods, deer and open spaces, the grocery stores are conveniently close.

While this may seem trivial when making up a checklist of second home requirements, it only takes one absent carton of milk to interrupt a day designed for sleeping in, exploring, and relaxing.

Especially if, like me, you have a child that has one absolute requirement of their own: a bowl of Cap’n Crunch in the morning. Ok- I like Lucky Charms in the morning.

Southold, in addition to a new Starbucks, is also home to the IGA on Main Street- while we live in a “house in the woods”, the store is five driving minutes away. As a “guest-ination”, summer provokes visitors, and trips to the store are a daily routine.

Cutchogue and Mattituck, NY, also have their own grocery stores within a few miles of the furthest homes- both Waldbaums (Mattituck) and King Kullen (Cutchogue) provide all that is needed for a weekend retreat.

A vacation/second home does not have to mean complete isolation, and one visit to the North Fork of Long Island will have you thinking about additional trips. Call to find out more about real estate on the North Fork- the milk’s on us.

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Buying Power on the North Fork

March 26th, 2008 category: Buyers, East End LI Foreclosures, Real Estate PhilosophyNo Comments »

Recently, we’ve received several inquiries from people interested in vacation/second/retirement homes on the North Fork of Long Island, New York.

While the majority of people are in the early stages, there is confusion- take the plunge, or wait?

Statistics are offering a clear indication that we are in a buyer-friendly market. As buyers, you control the market- a welcomed change from the days of frantic bidding wars, and disappointment.

Do buyers truly understand the power that they wield? I don’t think so- at least, not in New York.

And certainly, not on the North Fork. Here’s why:

The North Fork is a “last bastion” of seller-friendly real estate agents (one in which both agents operate on behalf of the seller, leaving the buyer unrepresented). While many are willing to go “out on a limb” in order to represent buyers with a broker agency capacity, few are willing to offer fiduciary (and the accompanying “liability”) to the current MVP- the BUYER.

Buyers have been forced to participate in the buying process in a two-on-one game- with both real estate agents representing the best interests of the seller. That this creates vicarious liability (not good) for sellers has gone unnoticed- or is simply misunderstood.

The resounding word used by local agents that eschew buyer agency is “liability”. Hmmm. Fear of a buyer suing an agent for violating the required fiduciary spelled out in a BUYER AGENCY AGREEMENT.

The question that I would pose is: WHAT IS TO FEAR? The notion that there is more to fear from the buyer (as opposed to the seller) is confounding to a company with buyer agency experience. Taking the same cautious steps and performing due diligence is what we are PAID FOR.

Anything contrary to what has been represented by a seller is something that a buyer is entitled to, irrespective of agency- inherent fairness is a requirement of representation for both parties. A buyer is also entitled, as the “boss”, to make an offer commensurate with their comfort level- and with the input of a Realtor that provides a comprehensive view of market conditions as a basis for that offer.

Buyers, until very recently, have been unable to secure a real estate representative that is “on their side“- and make no mistake- there are very defined lines.

Proponents of buyer agency are not the enemy of sellers. To the contrary, buyers with representation are better informed, and are working within parameters that are still set by the seller- they are simply represented. This commitment on the part of a buyers agent does, indeed, remove vicarious liability for the seller- liability falls to the buyers agent.

A real estate agent comfortable with the information provided to their buyer is as immune from legal ramifications as the agent representing the seller is- it’s all about providing ethical service, and achieving the “best possible price” for the buyer. Again: buyers control the market right now. If sellers want to sell, representation is moot. Offers are the name of the game.

PROSPECTIVE BUYERS OF HOMES ON THE NORTH FORK: You deserve- no- are ENTITLED to representation from a real estate agent that has the goal of your “best possible price” at the forefront. No games; no nonsense- just ethical, focused representation.

Call us to explore your buyer agency opportunity. Experienced with buyer agency, we view “liability” as a non-issue. I’d rather participate in a “fair” transaction than one in which a buyer is making an offer based on the input of real estate agents that have promised the seller the “best possible price.”

And that, folks, is what happens with every transaction that does not include buyer representation.

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Before You Buy or Sell a Home on The North Fork of Long Island

March 17th, 2008 category: Buyers, Real Estate News, Real Estate Philosophy, SellersNo Comments »

Before you buy or sell a home in New York, you might want to read the article The practice of Sub-Agency is Dead. For Gosh Sakes, Let’s Bury It!
by Avery Yarbrough located here.

While we strive to provide updated market information, the above article does a better job than many others of explaining the practice of agency relationships, as presented to consumers in New York. If your listing agent is offering compensation for a “sub” agent, vicarious liability is present in the purchase. Something to think about.

Read the article Vicarious Liability
From James Kimmons here.

If you are considering a home on the North Fork of Long Island, check this out before you list your home, or purchase a home. Engaging in “dual agency” is a bad plan; better for all simply to have your real estate agent represent you, and allow the buyer’s agent to have their own representation (for whom you carry no vicarious liability).

We operate with the knowledge, having practiced Real Estate in other areas of the country, that is offered in the above article. Long Island, New York is one of only a few areas having difficulty with a transition that took place in many areas over ten years ago- don’t be behind the times!

images: Tory Byrne - stock.xchng.com

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North Fork -Long Island Real Estate Market Update

February 5th, 2008 category: Buyers, Real Estate News, SellersNo Comments »

What has gone under contract so far in 2008 on the North Fork of Long Island?

The following report, using figures from mlsli, indicates properties that (while some are not closed) have enjoyed a contract in 2008. These transactions occurred from Jan.01, 2008- February 5, 2008.

The towns included in the search are: Aquebogue, Baiting Hollow, Calverton, East Marion, Jamesport, Laurel, Mattituck, Riverhead, and Southold, New York. Included in the search, but showing no contracts, are Greenport and Orient/Orient Point, New York. *Always check figures with MLSLI for the most up-to-date numbers.

Aquebogue: 2 U/C. One was priced at $339k, the other at $375k. The days on market average is:231.5
Baiting Hollow: 1 U/C. This home was priced at $599,750. The days on market average : 59
Calverton: 2 U/C. One was priced at $369k, the other at $649,999. The days on market average:168.5
East Marion: 1 U/C. This home was priced at $865k. The days on market average:92
Jamesport: 3 U/C. One was priced at $479,846, one at $544k, one at 599k. The days on market average:183
Laurel: 1 U/C. This home was priced at $469k. Days on market was:259
Mattituck: 3 U/C. One was priced at $470k, one at $525k, one at $799k. Days on market average:303. This figure is skewed by a home that spent 772 DOM.
Riverhead (excluding mobile home sales): 8 U/C. Pricing: $150k; 225k; 290k; 428k; 450k; 469k; 599k; 649k. Days on market average: 196.
Southold: 2 U/C. One was priced at $525k; the other at $699k. Average days on the market:81

This snapshot provides activity (buyers) making their presence known (performing a contract) from Jan.01, 2008 to Feb.7, 2008.

It does NOT include buyers that may have entered into a contract prior to Jan 01.

The following is a report on available homes on the North Fork, Long Island.

Aquebogue (excluding mobile homes/seasonal cottages): 60
Baiting Hollow (excluding mobile homes/seasonal cottages): 50
Calverton (excluding mobile homes/seasonal cottages):19
Cutchogue: 46
East Marion: 25
Greenport: 35
Jamesport: 27
Laurel: 17
Mattituck: 47
Nassau Point: 3 (likely located under Cutchogue)
Orient: 16
Riverhead (excluding mobile homes/seasonal cottages): 145
South Jamesport: 8
Southold: 104

TOTAL PROPERTIES AVAILABLE: 487
TOTAL HOMES U/C IN THE FIRST MONTH OF 2008: 23

To sellers of homes on the North Fork of Long Island: competition is accumulating. While selling your home is always a possibility, it is critical (in a market that shows no indication of immediate improvement) to determine whether the need to sell is paramount. If not, based on reports of a challenging year, it might be better to hold off, and sell when things begin to improve. Patrick McGeehan at The NY Times, recently quoted Jeffrey Otteau about this in his article entitled Home Prices Start to Dip, Recalling ’90s Slump.

Homeowners who are waiting for the market to rebound to sell their houses will regret that decision, Mr. Otteau said.

“For those sellers who’ve decided to wait until spring to get what they think their house is worth, the spring they’re waiting for is a very long time off,” Mr. Otteau said. “Unless you have the ability to wait this out for five years, waiting is a losing game.”

While it is very early in the year, we are in a “buyers market”- and as those buyers consider properties, pricing appropriately is paramount to success. Choices are plentiful, but the reason behind the choice is clear: we’ve lost many of our “first time” buyers. Lenders have tightened the grip, preventing many from purchasing. This impairs the “move up” buyer- and so on. We haven’t seen the impact of foreclosed properties yet- while they are present (often the result of those that purchased in the last few years, and are now upside-down) the impact has not been fully recognized in this area- YET.

There are occasions in real estate that make it sensible to “test the waters”. In our opinion, we are not experiencing one of those times- to the contrary, less is (for the market as a whole) a better alternative- properties that are languishing with reluctant sellers are impacting the area negatively. Buyers are making their ability/interest clear: if it’s not priced appropriately to the current buying climate, it isn’t going to sell.

If you NEED to sell your home, get a current, accurate market analysis. Don’t gamble in a downward market by shutting out buyers that may have an interest, but are waiting. Accommodate buyers by pricing correctly.

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