“A friend of mine listed his place in Kits for $1.7M. No offers. Dropped the price $100K, still no offers. They withdrew the listing and decided to stay put. That is probably happening in many cases, as people aren’t getting the prices they think they deserve.”
– popgoesthebubble at VCI 1 Jun 2012 6:44pm
A common occurrence at this point in the cycle; part of the ‘sticky prices’ phenomenon. Many of these sellers will end up putting their properties back on the market at 10%, 20%, 30% below current prices. Represents one component of the ‘shadow inventory’ waiting in the wings.
The market doesn’t believe that anybody ‘deserves’ anything.
– vreaa
Vancouver Real Estate Anecdote Archive 
The worst feeling in the world is selling something for less than it’s worth. Apparently.
It suddenly seems that price changes are as frequent as new listings. It’s no secret many sellers who are looking to cash out have plenty of wiggle room considering what they paid for their home. It does appear that aggressive asking prices are resulting in sales (albeit on offer) at the moment. Meanwhile, people who list at what their neighbor sold for back in 2011 are dreaming – that ship has sailed.
Makes me think of the real estate agent who once told me she wouldn’t lowball an offer because “you don’t want to insult people’s home.”
Me thinks there just might be a whole bunch of insulting about to go down out here in the BPOE.
If you are taking it personally, you are doing it wrong.
It’s human nature, and very tough to fight. I sold a house privately for relatives last month. There was a builder doing a gut-and-flip next door, and he approached me about selling privately. I said I was amenable, but was waiting for an appraisal. He returned a few days later and verbally offered me 77% of what I eventually sold for. I told him we’d keep the lines of communication open, but that his offer was so low that it wasn’t worth countering. He left, frosted. It’s hard to remain equanimous when you’re being played for a fool. Of course, it all depends on the market you’re in, both sides’ reading of it, motivations, agency…
I got lowballers who wanted to talk me down on the price before they’d even seen the house. You get that selling cars, too — people who want x% off the top, sight unseen, because they’re allergic to paying asking price no matter the value.
discounting the Moon, not much planetary energy in the fixed signs at the moment. It’s either Cardinal (initiative leadership) type energy or Mutable (changeable flexible) energy. Jupiter stands out as the Lone Gunman, ready to let rip at 29°Taurus(fixed energy). There will be massive stubbornness (Taurus) to initiate the necessary financial change; whether to stand pat or become aggressive and Mark down the price. The Bull will bolt here, he wants out of the ring.
Have fun with it.. wear Red this month.
regards,
Mercury, the winged messenger in the sign of homes and houses (Cancer)
At 1.5mil that home should sell. Kits houses don’t go for less than 1.5 mil. Greed can make him miss the train and get even LESS!!!
Will be relisted soon for $2.1M.
Add to this the speculators who don’t get what they want so they take it off the market and decide to rent their place instead. How long until they figure out that the rental income isn’t offsetting the losses in value depreciation and list again with bigger losses than if they just dropped their price? I figure at least a year….this is one factor that will make the initial decline slow but then fall off a cliff.
Just happened to the house down the street
V938576
On the market for awhile now, after a new exterior paint job (on a new house), I saw a for rent sign on the front window today. Wonder how much it is to rent a 1.5 million dollar house.
Please update on the rental price when you find out! Anyhow as Garth Turner, I think , said, “you think others should pay for your house, what you personally would not, that is a classic sign of a bubble.” Don’t you think? That’s, in large part, why houses aren’t selling anymore. You sell your dump for $1.5 million and what, spend $2.0 million for a newer, not new home. Or $2.5 million for a new home on a 33 foot lot?? People can’t afford to upgrade and a new house is not worth $1.0 million more in a mortgage. The upgraded house is nice, but not $2.5million dollars worth nice!
I think about all the time that I personally have wasted watching and in some ways obsessing about this market. It’s really an unhealthy thing for people of all walks of life to be so over-invested financially and emotionally in a piece of dirt. It’s ridiculous.
Looking at comparables to justify “fair value” and refusing to sell for less, because it would be enraging if it were to change hands hundreds of thousands less than what it’s perceived to be worth.
Humans are funny beasts, more concerned with being taken advantage of than taking windfalls staring them in their faces.
lol! v, how did you find that?
Great stuff.
Eidetic memory, Oh GreatChubster… More to the point… TheDenouement… A parable, if you will…
right now, i have trouble to recall what happened last week 🙂