Dropping Prices

Every buyer seems to be waiting for the prices to fall further. That may happen. However, on a lot of properties, it won't happen b/c the seller is at rock bottom already. Many sellers have taken equity out of their homes over the years and how as much or more than the home is now worth. Many tried to sell last year, but they were greedy and didn't try hard enough. Now, with prices falling, they have reduced their price to the point that they can't go any lower. Many can't even negotiate the listing price that they are currently at. They have come all the way down to the point where they will soon have to take it off the market. This will actually help the market correct itself and eventually send us back to a sellers market. It seems that I meet a couple of agents each day that have at least one listing like this. With so many out there, I sense that buyers who are making low ball offers are starting to get the message. Some sellers do have room to negotiate, but many don't.

To Paint or not to Paint

Seller's always say that they don't think they should paint b/c the new buyers will want to choose their own colors. Not necessarily true. Painting interior walls is a good thing before listing a home. The home will show much better. Just make sure that you choose neutral earth tone colors. Light tans are very popular now. Everything white is not good. You need some color. Most buyers will be happy that they can move in and not have to worry about painting. If a buyer doesn't like that, he can paint over them. Those buyers weren't going to like your walls before you painted them either. In the meantime, your home will show much better. Especially if you have moved out. The buyers can see all the dings and scratches and places where you had pictures hung. If it's freshly painted, it makes it look like you really took care of the place. They of course extend that thought to other parts of the home. A fresh coat of earth tone tan paint can go a long way and it doesn't cost that much.

Buyer's Agent

Here's another commission myth. Many people think that they will save 3% when purchasing if they don't use an agent. Sure, the seller will be glad to reduce the price by 3% if he doesn't have to pay a buyer's agent. He will be thrilled that you have no one protecting you. He might have to reduce his price by much more than 3% if you had a buyer's agent with good negotiating skills. There's also money that the buyer's agent can save a buyer concerning the writing of the terms of the contract such as home warranty, home inspection, termite inspection, earnest money, conveyance of appliances, closing costs, prepaid items, etc. The seller will be more than glad to knock off 3% of the price if he knows he doesn't have to deal with a knowledgable and skilled buyer's agent. For goodness sake, if you're a buyer, make sure you have a buyer's agent!! Their services are free and they will save you a lot more than 3%.