Comments on: West Linn Real Estate Market Activity – January 18-24, 2010 http://www.move2westlinn.com/2010/01/25/west-linn-real-estate-market-activity-january-18-24-2010/ News, Statistics, and Commentary about West Linn Oregon Real Estate Wed, 23 Jun 2010 15:10:28 +0000 hourly 1 http://wordpress.org/?v=3.0 By: Stuart http://www.move2westlinn.com/2010/01/25/west-linn-real-estate-market-activity-january-18-24-2010/comment-page-1/#comment-943 Stuart Tue, 26 Jan 2010 15:51:40 +0000 http://www.move2westlinn.com/?p=1250#comment-943 I would hazard a guess (and I speak as neither a seller, nor a buyer - I've no desire to move from the inexpensive property I have pretty much paid off here in WL.) in this market climate, that DOM is an indication of whether the seller actually wishes to sell their house, or is simply holding on hoping to achieve a high price relative to the current market. It's not about "marketing", it's not about "location", it's about price. Any property when fairly priced can sell quickly. As we have seen, sellers can either keep their properties on the market and drop their price until the property sells (while still incurring holding costs over that time) or price it right and see it sell in weeks, rather than months (or in some cases years). Usually there is some reason for a high price, be it unrealistic expectations, an excessive option/ARM mortgage due to pop (or having popped), second mortgage HELOC/HEL, hoping to move up in house, wanting to downsize and pull cash out, outstanding repairs, or other "issues" with the property. I don't think a buyer would use DOM as a negotiating tool per-se, but it does give some indication (to me at least) as to the state of mind of the seller. Once a property has been listed for more than 90 days and hasn't received any offers, then it's priced too high, or there's a problem with the property that is unseen from the listing. When a property has spent more than 180 days on the market and has had offers, it probably means the buyers are holding out for too high a price so even if you make an offer, it will probably be rejected. And why bother with that in today's market? Plenty of other houses on the market. While "location, location, location" is a nice mantra when selling, "Price, price, price" is the mantra when buying in a depressed market with no long-term upside in sight. It's going to be a long time before we see another bubble in housing. I would hazard a guess (and I speak as neither a seller, nor a buyer – I’ve no desire to move from the inexpensive property I have pretty much paid off here in WL.) in this market climate, that DOM is an indication of whether the seller actually wishes to sell their house, or is simply holding on hoping to achieve a high price relative to the current market. It’s not about “marketing”, it’s not about “location”, it’s about price. Any property when fairly priced can sell quickly. As we have seen, sellers can either keep their properties on the market and drop their price until the property sells (while still incurring holding costs over that time) or price it right and see it sell in weeks, rather than months (or in some cases years).

Usually there is some reason for a high price, be it unrealistic expectations, an excessive option/ARM mortgage due to pop (or having popped), second mortgage HELOC/HEL, hoping to move up in house, wanting to downsize and pull cash out, outstanding repairs, or other “issues” with the property.

I don’t think a buyer would use DOM as a negotiating tool per-se, but it does give some indication (to me at least) as to the state of mind of the seller. Once a property has been listed for more than 90 days and hasn’t received any offers, then it’s priced too high, or there’s a problem with the property that is unseen from the listing. When a property has spent more than 180 days on the market and has had offers, it probably means the buyers are holding out for too high a price so even if you make an offer, it will probably be rejected. And why bother with that in today’s market? Plenty of other houses on the market. While “location, location, location” is a nice mantra when selling, “Price, price, price” is the mantra when buying in a depressed market with no long-term upside in sight. It’s going to be a long time before we see another bubble in housing.

]]> By: Michele http://www.move2westlinn.com/2010/01/25/west-linn-real-estate-market-activity-january-18-24-2010/comment-page-1/#comment-941 Michele Tue, 26 Jan 2010 03:52:18 +0000 http://www.move2westlinn.com/?p=1250#comment-941 Ron, at what point do days on the market in this climate matter? We contemplated pulling ours off the market over the holidays but did not see the sense in that. I assume a buyer will use DOM as a negotiating tool which I would expect. Thanks for you input. Ron, at what point do days on the market in this climate matter? We contemplated pulling ours off the market over the holidays but did not see the sense in that. I assume a buyer will use DOM as a negotiating tool which I would expect. Thanks for you input.

]]> By: Ron Ares http://www.move2westlinn.com/2010/01/25/west-linn-real-estate-market-activity-january-18-24-2010/comment-page-1/#comment-939 Ron Ares Mon, 25 Jan 2010 20:22:45 +0000 http://www.move2westlinn.com/?p=1250#comment-939 The cumulative days on market figure resets to zero if a home is withdrawn, canceled, or has been expired for more than 30 days and then reappears on the market. Otherwise, the days on market accumulate. The cumulative days on market figure resets to zero if a home is withdrawn, canceled, or has been expired for more than 30 days and then reappears on the market. Otherwise, the days on market accumulate.

]]> By: David http://www.move2westlinn.com/2010/01/25/west-linn-real-estate-market-activity-january-18-24-2010/comment-page-1/#comment-938 David Mon, 25 Jan 2010 15:36:55 +0000 http://www.move2westlinn.com/?p=1250#comment-938 22436 JOHNSON RD was listed last year for 1.45 million. And now it's listed for 1.2 million. I guess when they pull the listing and put it up again they reset the "days on market". David 22436 JOHNSON RD was listed last year for 1.45 million. And now
it’s listed for 1.2 million. I guess when they pull the listing and put
it up again they reset the “days on market”.

David

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