Top Realtors Share The Secrets of Their Markets.
I’m back after attending a real estate conference in San Diego with many of the top Realtors in the country. It was interesting to learn that many of them have experienced exactly what we have experienced here. They, along with the organization’s leader Brian Buffini, have shared with me that the real estate market bottomed out 3 months ago. In many parts of the country, Realtors are dealing with multiple offers on residential properties. They also mentioned that the media in their areas haven’t quite caught on to this trend which confuses their clients (I can attest to this). The buyers we are working with hear the media say that the market is terrible and you should be able to undercut any listed price. However, in reality buyers are often bidding over list price to get the home they want. These agents also explained that there is just not enough inventory of homes for sale in many areas of the country. When I asked about the next wave of upcoming foreclosures and why we haven’t seen them hit the market, they said that banks are slow rolling them. I’ve heard a range of opinions as to why this is this is happening. Honestly, I don’t know for sure what’s fact and what’s conjecture, but here’s what the agents I spoke to said:
· Banks don’t want to overload the market like they did last time and cause prices to drop again
· Banks want to make the Obama administration look good by showing improvement in the market
· Investor groups are buying up 50-60 homes at a time at a steep discount directly from the banks so they never hit the market
· 5/1 ARMs that were scheduled to adjust to higher payments this year have adjusted to very low interest rates that home owners can still afford
The comment about the Obama administration sounded like a bit if a stretch to me, but one never knows. After all the banks did get (gulp) billions of our money. Oh, by the way, San Diego was a lot of fun. I went to Pacific Beach for a bicycle ride, La Jolla for some body surfing, and to Coronado Island beach for some boogie boarding. Not a bad way to spend some “down time”. But now I’m to back to reality so if you know of someone interested in selling their home, please give me a call, I’d love to share this information with them. (408) 247-4029 www.GaryNobile.com