Anyone out there buying or selling a home? Here's some advice from Yahoo that stresses what's important when you buy/sell (this perspective is selling, but the principles apply to buying as well) a home. In short, the summary is that location is important in buying a house, but so is price.
I know, it's not revolutionary news. In fact, it's basic. However it's always good to be reminded of the basics every once in awhile, especially in real estate where things have been really wacky lately.
Here are their key thoughts:
Anyone who's been in the real estate business for a while will tell you that the most common reason a property isn't selling or being shown is a too-high asking price.
Sometimes, if such higher-than-market homes do attract suitors, the deals can disintegrate when buyers have trouble securing financing. For example, if present market conditions and comps for the past six months don't support your asking price at the bank, the home will not appraise favorably for a home loan.
Be careful trying to hold out. If your house remains on the market too long, it might actually get harder and harder to attract good offers. After a while, buyers may assume you're getting desperate and will try to lowball you.
I've sold two condos and two houses in my lifetime and three of them were very, very painful. (The other appreciated 25% in four years and sold within a week of being put on the market.) There are so many things to make it miserable: you're dealing with a large chunk of money, you're doing something that you're not familiar with (hence you're uncomfortable), people are tramping through your house all the time (so you have to keep it in showroom condition), you have to decide what to price it at, when to take it up/down, you're trying to move to the new place...the list of horrible events seems endless.
I'm certainly no expert in the details of buying and selling a house (though I do have general principles that I recommend as guidelines), so I won't be able to offer you any advice other than be sure you and your spouse (if you're married) are taking steps YOU feel comfortable with. Don't let an agent, a bank, or anyone else involved in selling your house determine what you will and won't do. Ultimately, you will have to live with the decision much longer than all the others, so be sure your wishes guide the process.
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