Well folks. A lot has happened these past couple of years and I have failed to put it on here so that I could share the up's and downs of what's occurred in real-estate. I will try to write extra so that I can catch up on topics that would have risen over that time.
As for real-estate in the KC Metro, this has been one of the best years we have seen in approximately ten years. Agents all over the city hustled all Spring and Summer to get homes on the market, only to sell the the day of or the week of listing. There is good and bad to this, depending on who you are talking to and that is what I'm going to talk about today.
First of all, Listing agents and seller's absolutely love selling a house the week it has been listed. Time is money. The longer it is listed, the more money it will cost the agent and her company to market the home. Time spent on some homes can go into the negative, relating to money for an agent. So, the faster a home sells, the more money the agent profits, which should be pretty easy to understand. For the Seller's, time is also money. The longer their home sits, the more mortgage payments they have to pay. Their taxes and HOA can also continue to add up in the cost section. With this in mind, one would think that super quick selling homes would be a good thing for everyone, but they forget to think about the buyer's.
In the long run, yes, buyer's want to purchase a home that is in a neighborhood where it will sell quickly so that if they had to sell they would feel more comfortable that they could list and sell it quickly. No one wants to purchase a home where they know it will take a year to re-sell. On the other hand, during the purchase, lots of havoc and stress for the buyer is sometimes created when homes are selling as quickly as they have been this past Spring and Summer. Homes have not only been selling the day and week that they are listed, but most are going for list price or even above. Many of these situations have caused bidding wars between buyers, which results in someone losing out on the deal. That particular buyer and agent are then at square one, and racing against whatever time clock that buyer has. Their timer could be running out because they have already sold their house or because they have little ones and school is starting. It really gets crazy when a buyer gets beat out of a home, not once, but twice. At this point, they become the buyer who tours a home the day it is listed and offers full price, causing it to sell before it's even processed.
All of the above has been occurring all Spring and Summer, creating fast moving homes and a great market. As of now, school has started and so there are still many buyer's waiting for more homes to be listed so that they can get out of their temporary living situation. Numerous people are staying with family, friends, and some have even went as far as renting an apartment or a hotel until they find something. They are literally waiting for that perfect "nest" to come on the market.
So, those who are considering listing their homes might want to think about calling an agent because there are still plenty of buyers scrambling for homes. Many of those buyers have lost in a bidding war and are very motivated to purchase. These 2013 real-estate bidding wars have been fun for some, but if you've lost out on a deal, whether you are a buyer's agent or a buyer, it is definitely the opposite of fun.
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