We just got low balled on our house--WTF *?&!

[Big_Hitter]

There is also a lot of the details not told by the OP as to why the early sale on a house that was their "dream home". Speculating on unknowns is just a waste of time.

is that a known unknown or an unknown unknown?

 

[SumDay]

Our realtor priced our house extremely high, which got DH's hopes up. We ended up taking 20% less because the neighborhood wasn't getting any better and the realtor said we could be taking a 50% drop in price if we waited another year. It was VERY hard on DH because there was a great deal of his sweat in the enhancements. We finally realize the goal was to move, and we could afford to take the hit. It took him months to get over it, even after we moved into our much smaller dream house.

If you built it, then it's like a member of the family, and in your eyes it should be worth what you perceive. Unfortunately, perception isn't always reality.

 

[aja8888]

is that a known unknown or an unknown unknown?

It's a combination of both!

 

[dallas27]

We just got low balled on our house--WTF *?&!

My neighbor has put their house up for sale three times in the last few years as prices have increased. Each time they have gotten offers at or above asking, only to not sell because they later realize the impulse house they wanted to buy next is more than the banks want to lend them because are so foolish with their money. And their kids are starting to move out yet they want a bigger house and the husband just had a heart attack meanwhile the wife has never worked yet they have maids come to clean all the time while the garbage cans overflow with empty beer containers.

We are the sum of our decisions, and our decisions are based on our perceptions of reality.


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[Quantum Sufficit]

Additional details are not at all important to the sale. My point was 600k on a well comped 700k sell point was low. We countered. We will see where it goes. Have another showing in a couple days. Suffice it to say I found a new dream home thus a sale of the first dream home.

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[ivinsfan]

Additional details are not at all important to the sale. My point was 600k on a well comped 700k sell point was low. We countered. We will see where it goes. Have another showing in a couple days. Suffice it to say I found a new dream home thus a sale of the first dream home.

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I think you and I have a different definition of "dream home"

 

[travelover]

............Speculating on unknowns is [-]just a waste of time[/-] a major past time here.

FIFY

 

[ducky911]

I have seen in my areas that expensive upgrades don't get full value. They do make the homes sell quicker if done nicely and at the top end of square foot prices. Most expensive homes on the block are slow sellers I think buyers see little upside.

You state "well comped" Not according to what I see on zillow for sold homes. It would be interesting if you could get an appraisal at 700k.

 

[Shanky]

My neighbor has put their house up for sale three times in the last few years as prices have increased. Each time they have gotten offers at or above asking, only to not sell because they later realize the impulse house they wanted to buy next is more than the banks want to lend them because are so foolish with their money. And their kids are starting to move out yet they want a bigger house and the husband just had a heart attack meanwhile the wife has never worked yet they have maids come to clean all the time while the garbage cans overflow with empty beer containers.

We are the sum of our decisions, and our decisions are based on our perceptions of reality.




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How can you know all of this?

 

[dallas27]

Because they tell everyone on the cul de sac about their plans, and even got one neighbor to "emergency" landscape their yard the one morning they just "decided" to sell and had buyers coming that evening.


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[Dawg52]

Our trash collection will pick up large items one day each week. However, I have never put anything out that didn't disappear within an hour or so. I often wonder how the scavengers manage to come up with a truck so fast.

I put out an old old sofa my mom had and it was scooped up in an hour. She had a slip cover on it to make it look somewhat decent but when I put it out, I pulled the cover off and trashed it. The sofa really looked bad w/o it....but someone still wanted it. It had to be 40 years old.

 

[ShokWaveRider]

Most people really do not know how to buy a home and realtors know that. Remember Information is like gold.

What we have done when we liked a home to buy is thoroughly research the owners (and the home). All info is public record and in Florida it is all on line and free.


Important factors are, what is the owners mortgage, any other liens or encumbrances on the property, or is it owned outright.


If they are mortgaged fully, they are less likely to accept a low offer less than their leveraged amount.

If they own it outright, that is another opportunity to offer less as the seller is not gong to be out of pocket. (Remember we NEVER count home equity in our retirement nest egg)

If they are leveraged and the amount is 30% - 40% less than the perceived value of the home you can offer as low as the mortgage + RE fees and it will be considered.


Case in point, In 2006 a home was listed in a nice development in Florida for $1.2m, that was at the height of market. It came off the market and the owners rented it for 2 years, in 2008 it went back up for $870k. The buyers researched the owners, they had a $575k mortgage on the home and another home in California that was also mortgaged for $650k.

The original home was listed for 2 months and reduced to $740k. A buyer placed a cash offer with some contingencies for $500k, it was rejected. After 1 week, the same buyer place a cash offer of $595k No Contingencies (other than home inspection) and stated it was the last offer from this buyer and would expire permanently in 48 hours. 1 hour prior to the expiry it was accepted.

 

[BeachOrCity]

So i read your post and alot of the comments. My thoughts:
- i did not see anyone mention that you consider lowering your asking price substantially before accepting an offer 100k below your current asking. Percentages aside most buyers who are looking under 650 or are willing to pay that probably skip your listing.
- you have a one year lead time so major +1 on trying to sell in late fall or winter.

Suggested path forward:
-- find out how long it takes in your mls for "days on market" to completely reset. Make a plan to withdraw listing for that period of time if it hasnt sold so that you can fresh list it late in the fall.
-- during above time find three houses in the neighborhood that have sold and contact the BUYERS agent. Get three broker price opinions from them on your place
-- market the home over late fall or winter at price consistent with Bpo

In the mean time for this listing i would not consider an offer more than 50k below asking without testing the waters by lowering the price. A 50k price drop would bring buyers in since they may have skipped before. On this last point, no rush since you have a year.

 

[Amethyst]

Wow! I can't imagine getting a neighbor to do anything like that.

Their money management skills may not be too great, but their people-manipulation skills appear to be top-drawer.

Because they tell everyone on the cul de sac about their plans, and even got one neighbor to "emergency" landscape their yard the one morning they just "decided" to sell and had buyers coming that evening.


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[dallas27]

Wow! I can't imagine getting a neighbor to do anything like that.

Their money management skills may not be too great, but their people-manipulation skills appear to be top-drawer.

Ya, my poor neighbor thought she was being nice to help them landscape in a hurry and help them move out as a last favor, got totally screwed and now is bitter.


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[UpAnchor]

We just got low balled on our house--WTF *?&!

Ya, my poor neighbor thought she was being nice to help them landscape in a hurry and help them move out as a last favor, got totally screwed and now is bitter.

I don't know. Sounds to me like helping them move out could be a favor to the cul-de-sac.

 

[RenoJay]

Generally price moves homes. If you're under priced you'll quickly get full price competing offers. If you're at market, you'll get offers near asking within 1-3 months. If you're above market you'll attract low ballets. I don't get emotional about deal making; I just try to read the market based on the reactions I get.


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[carnivalday]

Interestingly enough, the price dropped today by $50,000.

 

[dallas27]

Interestingly enough, the price dropped today by $50,000.

Lol, how did you know?


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[carnivalday]

The price cut worked. Seems theres now a pending offer.

 

[check6]

One thing to keep in mind is that nobody in their right mind is in FL looking for real estate right now. If you want to get the highest price, take it off the market and put it back on in Nov or so. Just having to go look at a place in mid 90 degree weather with very high humidity would cause me to lowball an offer. Plus, as a property owner in SWFL, the market is not as high as realtors make it seem. I've seen a lot of properties listed, but very few get offers anywhere near the asking price. Seems to me the sellers are living in hopeful land more than reality.

I just sold my mother's home in southern AZ this month.

 

[Gumby]

The price cut worked. Seems theres now a pending offer.

Congrats! Hope everything works out well.

 

[Quantum Sufficit]

Yes we did well. Full ask on the price cut. Feel very good!

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[Big_Hitter]

hey congrats!

 

[Quantum Sufficit]

One thing to keep in mind is that nobody in their right mind is in FL looking for real estate right now. If you want to get the highest price, take it off the market and put it back on in Nov or so. Just having to go look at a place in mid 90 degree weather with very high humidity would cause me to lowball an offer. Plus, as a property owner in SWFL, the market is not as high as realtors make it seem. I've seen a lot of properties listed, but very few get offers anywhere near the asking price. Seems to me the sellers are living in hopeful land more than reality.

Harley,

Actually you would not believe it but most sales occur march to august and it is consistent last 5 y.

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