The Agony and the Ecstasy!

I usually say this about having children! When they leave the home’s nest- what agony! And having the joy of children- What ecstasy! But in this instance, I am referring to any one of our positions in the real estate marketplace. If you are a buyer or potential buyer- what Ectasy!! If you want to sell- What Agony! Let me try to put a different spin on this age old expression for you real estate enthusiasts- or not! Gary Keller, one of the co-founders of Keller Williams Realty was posing the question in the Realtor trade magazine, (I will paraphrase) as to why buyers are sitting on the fence and waiting to buy? He commented on how interesting it is that during this past real estate boom, buyers were willing to overpay for a home by several thousand dollars, yet we are now in a climate where the prices are lower than they have been since 2003, interest rates are 5.1% for 30 year fixed and 4.7% for a 15 year fixed, the available inventory is huge, and yet the buyers continue to wait to see if the market will continue to drop. So, Let me pose this question- why would one overpay for a house 2-3 years ago, but now a qualified buyer is just waiting? Let me see- Is that agony or escatasy? NOONE- I repeat NOONE knows if the market in this area will see another dip in value! The overall sentiment is that it could but by how much? Is it worth waiting ? If the mortgage rates go up at all, it could eat up that savings you think you will be getting by waiting. And to anyone who may be wanting to sell in the near future- Don’t let it be your agony- whether you are upsizing, downsizing or making a lateral move- You will make it up on the other end! The reality is – in a seller’s market- you pay more and sell for more. In a buyer’s market, you sell for less, but purchase for less getting more for your money.  Who doesn’t love that?  Either way, which one appeals to you more?