The Dilemma….
Here is the Dilemma….
Yes, we are still in a buyers market, but what we are seeing in the Dallas area and surrounding subdivisions is a dilemma between first-time Homebuyer’s and Sellers:
Let’s address the Sellers First
SELLERS:
1st Scenario: just want to get rid of the home and do not want any updates because they see it as they are moving anyway and the home has worked just fine for the or either loosing their home all together and don’t care
2nd Scenario: Very well maintained and will update or have updated along the way and is in pristine condition
Now let’s address the main buyers right now….
FIRST-TIME BUYERS:
1. There is a huge supply right now with the Tax credit (it is exaggerated because it is ending in April and will not be extended)
2. First-time buyers know it is a buyers market, but they have also listened to the media who takes scenarios that are extreme from other parts of the country and make those scenarios the everyday and in Dallas
3. First-time homebuyers also have heard the horror stories from family, friends, and co-workers
What does all this Mean for the First-Time Home Buyer?
A fear of buying, thinking they can get something for nothing, and extremely picky.
The homes that are for sell that are not updated are going very slowly, and the ones that are updated get competing buyers who then get frustrated because they have heard they do not need to pay list price, and they feel they are getting ripped off
So this usually equals them putting several offers on several different homes, which of course frustrates the seller, and getting beat out until they finally believe their Realtor with regards to updated homes and paying close to list price
Advice for Sellers:
1.Be the home that has competing offers! Clean and update your home if you want it to go quickly and not stack up mortgage payments because buyers have high expectations
2. Think about this…why would a buyer buy your home when they can get the same home down the street for about the same price?
Something to think about for Buyers:
1. Usually first time home buyers are not buying the really high end homes anyway so expect to pay close to list price in Dallas, TX (Generally homes, especially on the lower priced homes,really do not have far to fall in price)
2. Our housing index is the lowest since 1971! This combined with low interest rates means you are not getting ripped off and is one of the cheapest times to buy for you.
Some food for thought…