Jeff’s Carlsbad Blog for First Time Home Buyers

Are Your Expectations Realistic?

Posted in Due Diligence,House Hunting,Short Sales by Jeff Dowler on December 15, 2008
Tags: , , ,

Given the buyer behavior I have observed in recent months, I have to wonder…are YOUR expectations realistic?

Primarily I am speaking about pricing, and what you can obtain for the price you would like in a particular area. It can be a challenge in this market, because we don’t have a good handle on what is actually happening with respect to prices. And what we hear and see in the media sometimes leads folks to think they can acquire properties for far less than what we see in reality in the market, despite the already depressed values.

Granted there are some pretty good deals, especially if you are willing to buy a short sale or foreclosure ( and compete with all the folks who are doing the same thing – it is not uncommon to see a dozen offers on a distress property) and have the patience to work through the many months it will likely take. Plus take on the needed repairs at your expense.

Despite the fact that prices have dropped in most markets, and here in the San Diego area we see prices that are similar to 2005 or earlier in some areas, it seems that some buyers are not being realistic in their expectations about what they may need to spend to get what they want. My best advice is to get to know the market by looking at listings and obtaining sold information from a qualified agent in your market area. Don’t waste your time looking for a $150K detached home in a market where nothing is selling for less than $400K.


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