The real estate market has improved in Olympia WA. We were in a downward spiral for five years, and we’ve been slowly yet steadily improving over the last two years. We are now at a point in our market where sellers are able to sell their homes for a profit, there are fewer short-sales depressing the market, and buyers have strong buying power with the low interest rates. You’d think everyone would be happy, right?
Why Buyers are Unhappy
Nope, no negotiations here. Buyers are encountering sellers who are not willing to accept their low offers and who are not willing to pay for the buyer’s closing costs. Buyers are shocked when the seller counters their offer, or, *gasp,* rejects their offer. Buyers haven’t adjusted their tactics to making an offer in an improved market. (This is a good time to rely on your agent’s advice.)
Beat by the competition. Buyers are finding themselves competing with other buyers for the same property. Buyers either back away and don’t compete or they do the opposite and will do anything to win. But sometimes the outcome leaves the buyer without the house they want, and certainly not the price or terms they wanted.
Nothing to see, folks. Buyers don’t have much to see. In the past, I’ve been able to show buyers 20-30 homes that all matched their criteria. Now, we are lucky if we can find a handful of homes. Buyers are feeling the lack of inventory and are either giving up and renting, or really stretching and modifying their must-have list for a home.
Why Sellers are Unhappy
Show me the money. “The market has improved so why isn’t my house worth a lot more?” ask sellers. There are still segments of the market that are not recovered. Or the area hasn’t recovered as much as the seller had hoped. Seller’s expectations are too high for the actual market conditions. Yet some sellers are being snookered by dishonest agents who don’t analyze the market and who don’t have the courage to tell the seller the truth about how their home fits into the market.
Costs to sell. Sellers who are pricing right, preparing their homes to sell and who have a strong marketing plan are selling their homes on average in 30 days in the Olympia WA area. Sellers are disgruntled because they don’t see value in their listing agent. I guess if the home languished on the market for months, then the agent would have earned their commission? The agent earned their commission by providing the best advice to get the most money for their client in the shortest amount of time.
Let’s Count Our Blessings
Let’s all count our blessings. Currently the economic landscape is positive. Buyers should be jumping for joy over the low interest rates, which are extending their buying power. And sellers should be feeling relief to either re-finance or have the confidence to list and sell their homes.
If you are ready to buy or sell, call me today. You’ll be happy you did!