Home Buying in 90210>Question Details

rssraj, Home Buyer in 11375

Constant price changes

Asked by rssraj, 11375 Thu Jul 5, 2012

Guys

I'm about to bid on a house which has had some mysterious price changes:
- a year ago, it was listed by Broker A at 800k
- 2 weeks ago, two brokers listed it on trulia at 700k
- 3 days ago, Broker A showed reduction to 650k while Broker B had it at 675k
- Yesterday, both brokers moved it back to 700k

I'm wondering if they got some decent or full price offers and hence brought it back to 700k. Or is it possible the owner communicated to them 3 days ago that he will be happy with 6's. I've met both these brokers and they aren't very competent and the owner is kind of a mess himself. He never stayed here, only rented it out and has to go back to his country soon

The house is in a good neighborhood but doesn't necessarily have too many buyers going gaga over it - it has been on the market for a year but at the higher 800k price

Help the community by answering this question:

Answers

6
James, I would love to follow your advice but MLS is quite lenient with its enforcement. I've been through numerous situations where an accepted offer is in place and the broker keeps the entry as 'on sale' in MLS. I think MLS rarely imposes fines and when it does, it's about a $100. Other brokers trick the system by removing a house on sale and putting it back on and changing the address just a little so that a new buyer would not know that the house has been on market for a few years
0 votes Thank Flag Link Sat Oct 6, 2012
There's no need to speculate on this when you can go straight to the source, which is The MLS that your Realtor has access to. He or she can pull up The MLS listing history, which contains the most accurate information on the property's listing history, since unfortunately Trulia information might not always be the most accurate or timely and might contain some duplicates.
0 votes Thank Flag Link Fri Oct 5, 2012
rssraj, Many times properties remain on Trulia when the listing expired and then when it comes back on the market it appears again....hopefully you have your own agent representing you and he or she can check the listing history as well as do a quick Market Analysis to determine Fair market Value, Endre

Endre Barath,Jr.
Prudential California Realty
Beverly Hills,CA


homes@endrebarath.com
Web Reference: http://www.endrebarath.com
0 votes Thank Flag Link Tue Aug 21, 2012
In this case, I would suspect that the LISTING PRICE is a lie, too often told:

People think that the LISTING PRICE is set in stone,
and it may not even be a good guide to the Market Value or the eventual selling price.

Ignore it!

Just have your Realtor do a CMA to determine the Market Value;
If the Seller wants too much, you are not going to get it past the Appraisal anyway!

Good luck and may God bless
0 votes Thank Flag Link Thu Jul 5, 2012
Your question is confusing.

It probably isn't listed with two separate brokers. It's probably listed with one or the other--or maybe a third one somewhere. And it'd be listed at one price. That price can go up and down, but there's no way that, on the same day, it can be listed at two different prices.

OK. So what's going on. It was listed for $800,000 but didn't sell. That's a signal it was overpriced. It came back on the market, apparently at $700,000. It may have had the price reduced to somewhere in the 6s. All of that's an attempt to spark some interest in the property.

Now it's back to $700,000. It's possible that the drop down below $700,000 sparked enough interest that the seller thinks he can get an offer if it's priced at $700,000. That offer still might (and probably will) be below $700,000.

What you need to do, if you're interested, is to get your own Realtor and have him/her do a CMA on the property. Then make an offer for no more than--and probably slightly less than--the property is worth. My totally uninformed guess is that it might be worth $625,000-$640,000. So if it was listed at $650,000, that certainly could have prompted some interest.

The jump in price suggest to me that while there was interest at those lower prices, there wasn't a solid offer. If there had been, the owner might have (should have) taken it. But he's figuring: "Aha! Let's ease the price upwards a bit and see what happens."

What would I do? As noted, get a Realtor to do a CMA on the property and then make an offer at or below that figure. For a number of reasons, I'd go in slightly under the CMA. Give yourself some negotiating room. Just recognize--as you already do--that you're not dealing with the sharpest knives in the drawer.

Hope that helps.
0 votes Thank Flag Link Thu Jul 5, 2012
Don Tepper, Real Estate Pro in Fairfax, VA
MVP'08
Contact
Hello Raj,
Please give me a call. If I can get the address from you I can find out what's going on with the house.

Thanks,

Andrew Belcher
Broker Lic. 01707173
310-734-8299 office
805-587-6577 cell
805-620-3777 fax
0 votes Thank Flag Link Thu Jul 5, 2012
Search Advice
Ask our community a question
Email me when…

Learn more

Copyright © 2015 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer