Dear Janice,

There's much more to a home purchase than just the price. Yes, overpriced listings will not sell in this buyers' market. But many people looking to buy a home don't have the luxury to wait for 3 to 6 months for bank approval in short sale situations with no gurantee of approval and in limbo for such a long time when they need a home quickly. Foreclosures are often trashed and many times there are hidden problems unknown by the buyers and since the bank that owns it has never lived in it, there are no disclosures. If the problem doesn't show up on the inspection the buyer will be stuck with repairs or worse with no legal recourse. So, as you can see there are reasons why some prospective buyers will look at regular sales and possibly be willing to pay a bit more for a home with full disclosure, a set closing or ownership date, etc.

Please let me know if you have any other questions.

Regards,
Best regards,
Gabe Sanders - e-PRO, REALTOR
Premier Realty Group
2 N Sewalls Point Rd
Stuart FL 34996
(772) 323-6996 Direct
(772) 287-1777 Office
(800) 915-8517 Toll Free
(888) 521-5674 Fax http://www.GabeSanders.com

The higher priced homes will sit until people release short sales are not all they are cracked up to be,. most dont close, they take 3 to 6 months to get an answer and often need more work. once buyers increase they will be drawn towards a higher priced house that doesnt need anywork. supply and demand rule out...

As the market declines the higher priced homes will either expire and be removed from the active market or reduced to attract a buyer. This will depend on the owner's motivation. Do they have to sell or not? Short sales while certainly tantalizing with low price, are not easy. While I am trying to gage the success ratio for short sales in the Stuart area, empirical data is hard to gather. I would estimate that maybe 25%(and this maybe on the high side) of short sales actually close, the rest become foreclosures. The banks are looking for a "fair market value".

In just about every community and condominium that I've searched- I notic ethe very same thing. ASKING prices go from one extreme to another. There are similar properties asking from a low of $250K and a high of $450K for example. Naturally, most "buyers" will pursue the low end of the spectrum.

I've been active in real estate sales, leasing and marketing for the past 30 years - these are the most challenging times for me. It is very difficult to determine "fair market value". To answer your question- the properties that are priced at the high end of the spectrum will rarely be shown and eventually will go through price reductions to come close to the others [Foreclosures REO's and Short-Sales].

The unrealistically low asking prices- for the most part, have NOT been lender approved and will eventually become bank-owned. I've experienced many buyers go through the motions only to have offers rejected or counter-offered at just a bit below market value.

Pursuing a short-sale can be very time consumming and a leap into the unknown. Usually, there several offers submitted to the lender(s) and it is a waiting game.

Mott Marvin Kornicki, Broker/Associate
Aventura • Bal Harbour • Sunny Isles Beach

Janice,
I understand your concerns. Righ now is a buyer's market and you will need guidance from a Real Estate Professional to help with the buying process. With so many distress properties on the market being sold for a lot of less money, the comparables are going to range on a lower end, so homes that are priced higher will be out, longer on the market, but there are some motivated seller's out there.
If you need any assistance with your buying process I will be happy to assist you . Check my web site for my contacts.

Janice,

Your questions and concerns are all good ones but we would recommend engaging with a real estate professional from your specifice interest area for these answers.

Today's market is all about value....there is plenty of inventory out there but you would benefit from the insight of an agent. One point we would make is the importance of undersatnding the "short sale" and "foreclosure" procedures.

Short sales are very time consuming and frustrating for most buyers....to the point that many agents are steering their customers away from these transactions and toward "foreclosures" where most of the problems have been resolved, making the process more friendly.

Best wishes,
The "Eckler Team"