I had a comment from a Blog reader about last night’s post so instead of responding just to the one person, I’ll post it here…
From what I see being on this side of the industry is a lot of inexperienced agents that will show houses to someone without even finding out if they are a qualified buyer. From a Seller’s point of view, if the home is occupied, it’s an inconvenience to vacate the property every time a Realtor calls with a few hour notice that they want to show the home. But, if you want to sell, you’re told to make it easy to show. It helps if there were really good photos of the home but most photos on the MLS today were taken with consumer cameras so the photos really don’t show off the home that well.
So, a Realtor shows the home and they are supposed to leave a business card behind. A good Listing Agent will contact the Realtor to solicit feedback on the showing so they can try to figure out if they need to change anything. An even better Listing Agent knows that not all Realtors leave cards and will download the lockbox log regularly to get a list of all the Realtors that showed the property to follow up. From experience, you’re lucky to get half of the Realtors to even respond to calls asking for feedback.
There are people that just like to look at homes with no intention of buying, or are thinking of buying further down the road. Open Houses are a perfect opportunity to see what you get for the money in the area. Or, get a Realtor to show vacant homes which doesn’t inconvenience a owner (or worse yet…a tenant). If I was looking at a home but know that it’s not going to be on the market when I’m ready to buy, I wouldn’t want to inconvenience the homeowner or tenant.
There has always been Lookers but now that homes are on the market longer, Sellers are seeing more of them. The frustration I’m hearing from some Sellers are the ones that have had the home on the market for awhile and have a constant stream of people looking but not submitting an offer (or giving feedback).
As for the price reductions, the statistics don’t show sellers taking low ball offers. Yes, there is the exceptions as I blogged about earlier this month. Most homes are going for 95-97% of the list price. Some are going for full price, while even some others are even getting overbids.
What’s not good about Buyers looking at homes that they can’t afford is that when they see say a $625,000 home when they can really only afford a $500,000 home, they raise their expectations. Looking at a $500,000 home after that just doesn’t get them excited so it’s not really helping, IMO. If someone is betting that the market will drop that much down the road then I’d just go to Open Houses as not to inconvenience the owner of the home that probably won’t be on the market when the Buyer is ready to purchase.
If I was in the market to buy a home, here’s what I’d be looking for in a Realtor…
When you’re ready to buy, you’d want a Realtor that knew what you were looking for and was on top of the inventory and was looking out for a home that would be a fit for you. Plus, know what homeowners were motivated. A Realtor that attended the weekly MLS meetings plus read the confidential remarks on the MLS listing would see signs of motivated sellers. Also, a lot of good homes are coming on the market that are priced right. Those homes are not lasting. If you look at my blog at the “Best of Caravan” posts, you’ll see a lot with the photos no longer displaying. Those homes are already off the market. You want a Realtor that read the hot sheet every day and also was connected in the Realtor community to hear about listings that were soon to be listed that might fit what you were looking for.