Brought to you by Scott P. Rogers, Funkhouser Real Estate Group, 540-578-0102, scott@HarrisonburgHousingToday.com
Brought to you by Scott P. Rogers, Funkhouser Real Estate Group, 540-578-0102, scott@HarrisonburgHousingToday.com
Friday, June 4, 2021
In this craaaaaazzzy seller's market, some sellers find themselves asking...
Why Are These Buyers Offering So Much Money For My House?
It's a fair question. And sort of a funny one. :-)
- A year ago, a buyer would have paid you $300K for your house.
- A month ago, a buyer would have paid you $330K for your house.
- Today, a buyer would pay you $345K for your house.
Wait!? What?? Could this really be so?
This is just an example, conceptually, of how things might feel when pricing your home in the current market. It seems that buyers are willing to pay ever, ever, ever increasing prices for houses in this area.
So again... why!?
Well, I think it stems from a few general things going on right now...
- If you are only willing to pay the same price a buyer paid a month ago, you are not likely to secure a property on a house listed for sale today. There are likely to be 5+ (or 10+) offers on the house -- and some of the buyers will likely be prepared to offer a bit (or a lot) higher than the asking price to actually be the buyer who is chosen by the seller.
- Mortgage interest rates are SOOOOO low that many buyers don't mind paying a higher price for your home because it won't be very painful on a monthly basis because of super low mortgage interest rates.
So, in the end, are buyers paying more than they should? Are buyers paying more than your home is worth?
The answer is somewhere between probably and definitely - but today's buyers seem to be aware of it and comfortable with it.
Thus, as a seller, enjoy being on the winning side of the housing market -- and hopefully you won't have to turn right back around and buy in this lopsided, one-sided market!
P.S. I still haven't decided. Are we imagining the people in the picture I put at the top of this post to be the buyers or the sellers in this scenario? Imagine them as you will. :-)
