There is a widely detailed information that you have mentioned in the blog, i read your whole blog and i really liked it because its worthful.

Home buyers north of the border are not much different. Since our markets have not seen the foreclosures that the US has you would think that they would not be so disillusioned, but they are! Everyone just wants to personally gain by a bad situation. But what they don't do it put themselves in the sellers shoes. Just how is a seller gonna respond to an offer that is $40k lower than their asking price...??
My recent post 315 Apen Glen Place SW – 1-199-900

If they're not ready to buy in this market with depressed prices and 3.75% 15 year fixed interest rates, they're probably insane. Lots of great opportunity out there!

Most people believe what they read or hear on the news. In my area you would think we're back to the good old days, 2004-2005. No we're not and won't be for a long time. They also believe that they can buy a home in Newport Beach for the median Orange County price. Not much different anywhere. The more things change the more they stay the same.

You bring up a great point about how “local” real estate really is. Property values can have major differences from one street to the next. Values change within a street if one side backs on to a busy street or railroad track. There are some in demand neighbourhoods where its almost impossible to get a “bargain”. I do find bargains on condos that have problems with the Condo Corporation and management. Fraud or serious maintenance & repair problems will severely lower condo values. If it looks like the management problems will be resolved in the near future you may be able to get a great bargain. But the maintenance fees may be so high that it isn’t worth buying for a dollar!

Some Real Estate Agents, although it's their job, sometimes tend to coerce buyers and make themselves sound that something is really urgent. For a home buyer like myself, I'd like to take my time in buying a home because this is not just a pair of shoes that if you don't like it, you'll just have to buy a new pair. This is a long term decision and they have to understand that.

This is all the media's fault, of course. If you tell buyers for years to expect the world, of course they are going to.

Absolutely fabulous post! Thank you for taking the time to break down the numbers to illustrate your point! While wearing my REALTOR hat, I've had several clients want to write low-ball offers on well-priced properties. What a waste of time!

It is an interesting phenomenon when homes that had been priced at $500,000 are now closer to $300,000 and people still aren't sure it is a good deal. Offer $270. Right. Not going to happen. Especially foreclosures. They are priced to sell quickly, and they normally sell over asking price.

Ha Ha, so true Jay! Here in Los Angeles, just as bad. I try and tell clients that this is a great time to buy and prices are really really low as it is. It is true that prices may be a big lower over time, but that's up for debate. Now is truly a good time to buy, especially if this is for a family home or for a rental home long term. Flipping is a bit risky at this time, still being done out here, but not like the good old days a few years ago. I really don't mind people asking about these things, it's just all part of the adventure.

Seems that every buyer is asking for the world. Doesn't really surprise me. This is the exact opposite from what we saw during the frenzy a few years back.

I love the idea that Realtors, a group that generally has been resistant to adopting new marketing techniques, is moving into the Social Marketing realm.

that’s great when a person has an ability to find funny moments in ordinary things:) Thanks for sharing your cheerful experience!

Great post Jay, I hear and deal with a lot of the same things on a regular basis. San Diego is on the coast and when a buyer from out of the area sees a REO condo listed for $100K, in EL Cajon they don't realize that this is a 30 minute drive to the coast. They are expecting an ocean view for $100K. As long as you spend the time with the clients they start to realize that there are some good deals but there not giving the homes away.
.-= San Diego Real Estate News´s last blog ..Team Aguilar March Madness 2010 Office Pool =-.

No disrespect intended personally, but real estate agents will never earn our trust. There's an inherent conflict of interest when a person works on sales commissions.

Personally, in thirty-years time I have never, EVER, worked with an agent who put my interests ahead of their own. Only a fool would trust their real estate agent.
.-= Guzzo´s last blog ..Bullish FOMC Statement =-.

Hi Jay, Yes Buyers often have unrealistic expectations, but why is that? Could it be because the media feeds them misinformation and then they come to Realtors, (who they don't trust) to hear something different.

It makes my job harder to explain in great detail with stats and facts and that empirical data you were talking about, but that's okay, I'm up for it. By the time we're done my buyers are well-informed and know exactly what's plausible and what's not.

Quite clearly you know all of this though - You say it very succinctly, (as usual) in your post.
.-= Denise Hamlin´s last blog ..119 S Mt Vernon Dr, Iowa City =-.

After writing this I can imagine that you felt a little better...kind of like you got to blow off some steam. I want to thank you for doing it because after reading this post I feel the same way. I have the same pent up frustrations inside that I suppose all good agents out there have with their clients right now. Buyers will not believe me that they have to be agressive in the low end of the San Diego Market (which is very different from the high end). They don't believe that they may need to offer full price or above depending on how it was priced. In turn, what happens is that most of them need to miss out on a couple properties that they wanted before they start getting the message.

There is so much talk in San Diego about how bad the market is, and to much extent that is true. The problem is the interpretation. The market is bad in terms of the price that realistic sellers are getting. But at those low prices there is a lot of competition. The last 3 properties that I listed under $400,000 ( that would be low end in San Diego) all got mutiple offers within 24 hours and sold over list price. Two of them to cash buyers. That's the nature of the beast and buyers need to understand and accept it if they want to be competitive.

Now, if you were purchasing a $3,000,000 home in Rancho Santa Fe I would tell you to come in well under asking price. This is becausue, as you said, Jay, markets are hyper local. Buyers and sellers alike need to understand their local market, stop listening to national news, and trust their agents.

Yes many clients are out to lunch as to the relation between list price and sales price. It always helps to begin to educate clients right from the first contact. I stress to my clients that there is little to no room for negotiation when considering foreclosures. The best foreclosures sell quickly and usually have multiple offers.
.-= Marc Brodeur´s last blog ..Arizona Commercial Real Estate Updated Stats =-.

Great post Jay. You should have all your buyers initial "as read and accepted" before you take them out.

Yep, run into that all the time. Everyone's an expert homebuyer these days with all the "info" out there. Folks just need a good agent who can help inform them on what's really feasible in this market.
.-= GA Short Sale Agent´s last blog ..Get Paid to do a Short Sale? Really? How You Can Get $1,500 for Moving. =-.

There is a widely detailed information that you have mentioned in the blog, i read your whole blog and i really liked it because its worthful.

Home buyers north of the border are not much different. Since our markets have not seen the foreclosures that the US has you would think that they would not be so disillusioned, but they are! Everyone just wants to personally gain by a bad situation. But what they don't do it put themselves in the sellers shoes. Just how is a seller gonna respond to an offer that is $40k lower than their asking price...??
My recent post 315 Apen Glen Place SW u00e2u0080u0093 1-199-900

This is the best time to buy ever. Many investors are sitting it out? Why??? Are they waiting for the prices to go back up so they can pay more?!?

If they're not ready to buy in this market with depressed prices and 3.75% 15 year fixed interest rates, they're probably insane. Lots of great opportunity out there!

Most people believe what they read or hear on the news. In my area you would think we're back to the good old days, 2004-2005. No we're not and won't be for a long time. They also believe that they can buy a home in Newport Beach for the median Orange County price. Not much different anywhere. The more things change the more they stay the same.

You bring up a great point about how u00e2u0080u009clocalu00e2u0080u009d real estate really is. Property values can have major differences from one street to the next. Values change within a street if one side backs on to a busy street or railroad track. There are some in demand neighbourhoods where its almost impossible to get a u00e2u0080u009cbargainu00e2u0080u009d. I do find bargains on condos that have problems with the Condo Corporation and management. Fraud or serious maintenance & repair problems will severely lower condo values. If it looks like the management problems will be resolved in the near future you may be able to get a great bargain. But the maintenance fees may be so high that it isnu00e2u0080u0099t worth buying for a dollar!

Some Real Estate Agents, although it's their job, sometimes tend to coerce buyers and make themselves sound that something is really urgent. For a home buyer like myself, I'd like to take my time in buying a home because this is not just a pair of shoes that if you don't like it, you'll just have to buy a new pair. This is a long term decision and they have to understand that.

This is all the media's fault, of course. If you tell buyers for years to expect the world, of course they are going to.

Absolutely fabulous post! Thank you for taking the time to break down the numbers to illustrate your point! While wearing my REALTOR hat, I've had several clients want to write low-ball offers on well-priced properties. What a waste of time!

It is an interesting phenomenon when homes that had been priced at $500,000 are now closer to $300,000 and people still aren't sure it is a good deal. Offer $270. Right. Not going to happen. Especially foreclosures. They are priced to sell quickly, and they normally sell over asking price.

Ha Ha, so true Jay! Here in Los Angeles, just as bad. I try and tell clients that this is a great time to buy and prices are really really low as it is. It is true that prices may be a big lower over time, but that's up for debate. Now is truly a good time to buy, especially if this is for a family home or for a rental home long term. Flipping is a bit risky at this time, still being done out here, but not like the good old days a few years ago. I really don't mind people asking about these things, it's just all part of the adventure.

Seems that every buyer is asking for the world. Doesn't really surprise me. This is the exact opposite from what we saw during the frenzy a few years back.

I love the idea that Realtors, a group that generally has been resistant to adoptingu00c3u0082 new marketing techniques, is moving into the Social Marketing realm.

thatu00e2u0080u0099s great when a person has an ability to find funny moments in ordinary things:) Thanks for sharing your cheerful experience!

Great post Jay, I hear and deal with a lot of the same things on a regular basis. San Diego is on the coast and when a buyer from out of the area sees a REO condo listed for $100K, in EL Cajon they don't realize that this is a 30 minute drive to the coast. They are expecting an ocean view for $100K. As long as you spend the time with the clients they start to realize that there are some good deals but there not giving the homes away.
.-= San Diego Real Estate Newsu00c2u00b4s last blog ..Team Aguilar March Madness 2010 Office Pool =-.

No disrespect intended personally, but real estate agents will never earn our trust. There's an inherent conflict of interest when a person works on sales commissions.

Personally, in thirty-years time I have never, EVER, worked with an agent who put my interests ahead of their own. Only a fool would trust their real estate agent.
.-= Guzzou00c2u00b4s last blog ..Bullish FOMC Statement =-.

Hi Jay, Yes Buyers often have unrealistic expectations, but why is that? Could it be because the media feeds them misinformation and then they come to Realtors, (who they don't trust) to hear something different.

It makes my job harder to explain in great detail with stats and facts and that empirical data you were talking about, but that's okay, I'm up for it. By the time we're done my buyers are well-informed and know exactly what's plausible and what's not.

Quite clearly you know all of this though - You say it very succinctly, (as usual) in your post.
.-= Denise Hamlinu00c2u00b4s last blog ..119 S Mt Vernon Dr, Iowau00c2u00a0City =-.

After writing this I can imagine that you felt a little better...kind of like you got to blow off some steam. I want to thank you for doing it because after reading this post I feel the same way. I have the same pent up frustrations inside that I suppose all good agents out there have with their clients right now. Buyers will not believe me that they have to be agressive in the low end of the San Diego Market (which is very different from the high end). They don't believe that they may need to offer full price or above depending on how it was priced. In turn, what happens is that most of them need to miss out on a couple properties that they wanted before they start getting the message.

There is so much talk in San Diego about how bad the market is, and to much extent that is true. The problem is the interpretation. The market is bad in terms of the price that realistic sellers are getting. But at those low prices there is a lot of competition. The last 3 properties that I listed under $400,000 ( that would be low end in San Diego) all got mutiple offers within 24 hours and sold over list price. Two of them to cash buyers. That's the nature of the beast and buyers need to understand and accept it if they want to be competitive.

Now, if you were purchasing a $3,000,000 home in Rancho Santa Fe I would tell you to come in well under asking price. This is becausue, as you said, Jay, markets are hyper local. Buyers and sellers alike need to understand their local market, stop listening to national news, and trust their agents.

Yes many clients are out to lunch as to the relation between list price and sales price. It always helps to begin to educate clients right from the first contact. I stress to my clients that there is little to no room for negotiation when considering foreclosures. The best foreclosures sell quickly and usually have multiple offers.
.-= Marc Brodeuru00c2u00b4s last blog ..Arizona Commercial Real Estate Updated Stats =-.

Thank You Jay! Most buyers are intelligent and realistic. The few who are living in an alternate reality are the ones that really drive me up the wall. Especially when they want a foreclosure for half of list price. Prices are already down 50%. It already is half off!

Great post Jay. You should have all your buyers initial "as read and accepted" before you take them out.

Yep, run into that all the time. Everyone's an expert homebuyer these days with all the "info" out there. Folks just need a good agent who can help inform them on what's really feasible in this market.
.-= GA Short Sale Agentu00c2u00b4s last blog ..Get Paid to do a Short Sale? Really? How You Can Get $1,500 for Moving. =-.