Why I need $30,000 more than your suggested price.

Here we are, 2 years into this crummy market and we still run into people who have an “I Need”. What’s that, you say. Well here’s one of many “Monty-isms” to come. (That’s what a friend of mine calls these little bits of wisdom that come rolling out of my husband’s mouth with ease, eloquently and on time.) When he first started using this analogy, I thought it was silly, but it really works.

When we talk with sellers, many times they are surprised by the affect of the market on their home price. We go and talk to them and we do detailed research before the appointment. ( Many agents will use the PFA (plucked from the air) method to pricing. I can’t do that. Since I have an appraisal background (even though it was for only one year, this experience runs deep) I try to do as thorough a job as possible. I don’t like to lie to people and I don’t like to raise false hopes.

Real Estate, a Team Sport

So, let’s pretend that you need an oil change and you go to your local Station and say to the proprietor “listen, my car is supposed to have an oil change every 3,000 miles and I want to do that. But, here’s what I propose ... How about you change the oil, check all the fluids and then, in a couple of months, when I’ve determined that my car is OK and the oil change was right, then maybe I’ll pay you....”

That’s not going to happen...

Actually, in writing this, I can’t think of any professions where you can go in, speak to the professional who will render your needed service, and have him/her perform the service without being paid.

Why you can’t always buy a foreclosure for list price.

Boy oh boy, I wish I had some disposable dollars to invest in some of these deals. Yep, they’re out there.

We’ve seen homes that previously sold for $220,000 sell for $145,000. We’ve seen new construction that was priced at $425,000 and undoubtedly would have sold for that price, sell for $275,000. Wow – there are tons of examples.

Some banks will list the property for what they hope to get. Others list for lower than what they hope to get.