Sellers rant...

[hatterasguy]

Let me vent for a minute.

I have been making offers on property left and right and not one freaken seller has taken my offer. I'm like dumbfounded now because I just got off the phone with a guy who wants damn near $3m for what is probably a $700k parcel. He was like you can build high end homes on it, I said yeah that would be nice, but the problem is you can't sell high end homes in this market. Their are no buyers out their now for brand new $800k-$1m homes, none, they don't exist. But their are a ton of buyers out their for middle of the road $300k-$400k new homes. Is this guy stuck in some time warp? Maybe he went on vacation in 2005 and just didn't hear about what has been going on in the past 4 years.:coco:

All these freaken people with land are clinging to the old days, and hoping it comes back. I think on some level they probably realise they missed the boat, but don't want to deal with it. The RE agents are just as bad, they are all freaken morons. They simply don't have a clue what it costs to develope this stuff. They think every freaken lot is worth $125k. They don't understand that since its going to cost me $60k to put in a road I can't pay $100k for a lot thats worth $100k, I need to get it for $40k. What surprising about the agents is they do understand that were not getting the money for the houses we used to. You would think they would put two and two together and figure out the land values have dropped as well...but it seems thats asking a lot.

Sellers have no idea what stuff is worth, no idea. They don't understand because they havn't sold a house in 20 years, neither have they ever built one. Its not 2006 people, I wish it was, but its not.


Rant off.

 

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[rcardin]

As I was always taught "they ain't making anymore land" Buy it and hold it. If the property is paid for and holding costs are little to nothing why sell for less than a premium? Somebody, somewhere, sometime will come along and give them what they want for it. Sounds like they don't need to sell the land.

 

[JayKim]

Is this guy stuck in some time warp? Maybe he went on vacation in 2005 and just didn't hear about what has been going on in the past 4 years.:coco:

LOL

 

[JayKim]

oops posted twice.

 

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[dollarBlogger]

Sellers have no idea what stuff is worth, no idea. They don't understand because they havn't sold a house in 20 years, neither have they ever built one. Its not 2006 people, I wish it was, but its not.

Gotta love it when Sellers have their head stuck in the sand. How about putting them in the tickler file and calling back in a few months? Do you typically do this?

No today doesn't mean no tomorrow!

~dB

 

[MJ DeMarco]

And behind every ignorant seller is an ignorant real estate agent. There's a house in the neighborhood where I have a rental -- they put it up for sale at 75% higher than the average sale price in the neighborhood for the last 6 months. Gee really smart ... houses selling for $180? Lets put ours up for $310! And behind that lunacy is a realtor that said "OK!"

 

[Russ H]

And behind every ignorant seller is an ignorant real estate agent. There's a house in the neighborhood where I have a rental -- they put it up for sale at 75% higher than the average sale price in the neighborhood for the last 6 months. Gee really smart ... houses selling for $180? Lets put ours up for $310! And behind that lunacy is a realtor that said "OK!"

First rule of Real Estate: There is *always* a realtor who will say "OK" to a ridiculous listing price. Some hope the seller w/stick w/them as they lower the price, and others are just dweebs.

****

Hat, your rant brought to mind a story:

When I first moved to the Napa Valley, there was a FSBO* for an acre of land. Guy wanted $250,000.

The locals talked about it. A lot.

Thing was, back then, I bought a HOUSE, with more than an acre of land, just a few miles south of this parcel. Both had beautiful views. Both were on the prestigious Silverado Trail. His flooded when it rained/mine did not.

In most every way, our parcels were quite equal-- with the difference that mine had a 2000 sq ft house/garage on it.

When people asked why this guy was asking so much, he said the view was spectacular. And the someone would appreciate it and be wiling to spend the money for it.

Truth be told, it did have a slightly better view than my prop. Slightly.

He kept that property on the market for another 5 years, until someone finally bought it. It wasn't that he found his one perfect buyer. Prices for land just caught up with what this guy wanted.

I think there's a lesson here.

If you don't *have* to sell your land, price it for what you think it's worth.

Then, in the next 20 years, you may be right.

BTW, the second rule of Real Estate is: If you want something for a deal, you must find a MOTIVATED SELLER.

-Russ H.

*FSBO = For sale by owner

 

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[hatterasguy]

Gotta love it when Sellers have their head stuck in the sand. How about putting them in the tickler file and calling back in a few months? Do you typically do this?

No today doesn't mean no tomorrow!

~dB

Absolutly. They get mailed twice a year, and a try to speak with them face to face or over the phone at least once.

Most of the time you have to wait for them to die, and their kids sell it.

 

[hatterasguy]

And behind every ignorant seller is an ignorant real estate agent. There's a house in the neighborhood where I have a rental -- they put it up for sale at 75% higher than the average sale price in the neighborhood for the last 6 months. Gee really smart ... houses selling for $180? Lets put ours up for $310! And behind that lunacy is a realtor that said "OK!"

Oh that drives me up the wall. I was cursing one out a couple of months ago. I nearly had a deal together on a lot for $30k. It was only worth $30k because it needed the road and utilities extended which would have cost about $60k. The lot is worth about $90k, thats a bit high but it was a nice area and I was willing to do it. Anyway they call an agent, and the dumb agent is like oh its worth $125k all day long. I'm like WTF is that moron smoking, did he even look at it and see that its not on a road?:cuss: