Posted by Tom Bates - Telephone: 512-413-0870, Email: firstname.lastname@example.org
There is certainly something different in the air this year in Austin real estate sales than in previous years. I mean, like really different. In years past, buyers and sellers would actually seem to work toward the common end goals: a contract, a non-terminated option period, a deal…and (I dare say) a closing! This year though, sellers and buyers seem to have other goals in mind…and honestly, I’m not really sure what those goals are!
Certainly part of the issue is that a lot of buyers are shopping for deals and throwing out low ball offers at rapid fire. And that’s fair, buyers, including myself, want good deals…and the only way to get good deals is to make offers. The other part of the equation are the sellers. Austin home sellers are in a tricky spot right now: How do you convince someone from out of state where home values are down 25% that certain Austin markets are actually a pseudo-seller’s market? You don’t. You let them figure it out themselves.
Look at the market. In the south Austin real estate market in the 78704 zip code, the average YTD list price to sales price ratio is 96.32% and the average days to sell a house in 78704 is 72 days. Sounds pretty similar to the data from the roaring salad days right? Right. Still, when you do the research and look at the Austin real estate sales data you will see that one sale where the buyer got 67.80% of list price…and that anomaly is what the buyer market sets their scopes on.
So, I guess this soap box article is really just to highlight that Austin buyers and sellers have severely different OPINIONS these days and that sellers should be prepared for continued low-ball offers and unrealistic expectations and that buyers should be prepared to hear those dreadful words “NO”. It’s just where we are at right now, and don’t even get me started on the current lender appraisal situation. Anyway, happy house hunting…and you buyers and sellers out there, why don’t you go out and get a cocktail together…loosen up, get to know one another a little better!