There were several issues that I disagree with in his comment, however, I will pick one so as to keep this short.....Its great that they look out for each other in their condo community and that is certainly alot easier then in a tract home environment, but rarely does someone lose their home to foreclosure or have a "choice" to take it off the market and sit awhile or why would they be in default in the first place, rarely is it a CHOICE.
The impact of foreclosures is substantial for a conventional sellers and its sad, but a fact ,that sellers must compete with bank owned properties if they are choosing now to list their home. Also keep in mind that there is not an immediate end in sight, we are expected to be flooded this summer with foreclosures.
Another thing to keep in mind, it really is great time to buy and in my neck of the woods, bank owned homes are flying off the shelves with multiple offers. Ok, with that said, they are coming on the market just as quickly ~
Here, they have passed city ordinances that require banks to keep the property equal to the condition of the surrounding community. They are now being required to keep the lawns green, the weeds pulled and property free of trash so that will certainly help with impact here.
If you are "just looking' like your avitar mentions, you probably are more interested in whether you can write a lower price offer for a purchase. Do not hesitate in doing that; however the banks here, are really starting to price the homes aggressively so they go quick , and low balling will certainly have a large risk attached to it.
Don't try to believe your listing agent, at least, not 100%. Keep in mind, you always need to have 3 to 5 licensed agents to do "market analysis" for you and pick the "highest" one to list with due to the fact many listing agents would "cut your listing price" using whatever info s/he got but you do NOT. So, interview 3 to 5 agents would give you a better chance to meet honest realtor.
If you do not want your neighborhood to have any foreclosure home, you would want to do some "community service" to monitor your neighborhood and help introducing your neighbors as many prospective buyers as possible since most "foreclosured" property owners could have listing for sale for 6 months or more, so if you are a "concerned" neighbor, and help them sell during that time period, you shall NEVER see any foreclosure units ever pop up to impact you.
One way to help your neighbor's home sell while listing is to "pick up all the trashes along the neighborhood", and call township Health Dept to send inspectors to area where thousads of trashes hard to pick by yourself or your family. For the unkept lawn, you can pick up the lawn littered newspaper or salespaper for the seller, and get township to enforced if not for sale units.
For sale house, you may want to visit the seller and volunteer to mow their lawn or at least to help one or twice to keep up the local synergy.
In our neighborhood, we not only get the streets free of trash, we did a pick up every Sunday morning before realtor open houses in the area in afternoon, so the area has been so clean and prospective buyers love it and buy them right away.
We also went visit all open houses in the neighborhood and identify neighbors who may NOT have to sell and share with them the local real estate info, and pursuade them to take off market temporarily after others sold. e.g. during Thanksgiving to Xmas time, many just took off market, so that those who desperatedly need to sell sold faster.
Since we worked with all listing agent in the area, as soon as we know a house sold under contract, we persuade the owner to ask their listing agent "REMOVE" the for sale sign. If the listing agent insist to use the "false info" to attract other buyers, we will contact other sellers to call township mayor office to enforce. Many listing agents would at least place a "TOO LATE" or "just SOLD" label to their for sale signs, and that helps all others to sell.
So, it is "To Help or NOT to help" situation. If you do not help your neighbors while they were listing for sale, when they could not sell their unit in time and became foreclosure, they will come back to bite you ...
When I was invited to introduce hundreds of buyers to buy out a community, I often coordiate Community Open House to invite dozens of listing agents to hold open house for the condo/townhouse at the same Sunday afternoon. For those who can not coorporate, their signed would be REMOVED during the period by the contractors who were sent to clean the whole community, neighborhood streets, all the way to highway exits.
Legally, you can NOT remove others' sing, but technically you could since the contractors have to clean up the area to prepare for community open house, so all the signs wll be gone in Sunday morning, and after clean up, the realtors joining open houses would come to set their own signs with ballons so that all buyers respond to join marketing efforts and extra 1,000 flyers to prospective buyer communities will only see the units at the open house.
All the for sale signs would be restored after community open house, and the community often has 3 to 5 sold right after, so weeks later, the whole community would be very likely to be close to sold out except one or two overpriced units and may be newly listed.
I actually visited this Sunrise community http://cnj.craigslist.org/rfs/580348742.html weeks ago when I saw the ads, and I found this townhouse community has a rule which may be great for most condo and townhouse community. The community ONLY allow for sale sign, by owner or by agent, to be place during Sunday afternoon, 1 to 5pm. So many prospective buyers see to be allowed making buying decision independently, and the community has only 2 for sale as realtor.com shows ... http://www.realtor.com/search/searchresults.aspx?zp=07933&am
This is what my listing agent/prior position as a bank executive told me when a home in our neighborhood became a forclosure. You could seek out an appraisel of your home if you are considering selling at this time..
The other concern would be if all of those properties are left unkept (lawn not mowed, fliers hanging on door etc) and it impacts the way the neighborhood looks to prospective buyers.
I had an interesting conversation with our listing agent about our home that is for sale in the state of WA. The agent is going to petition that "short sale" homes be removed from the multiple listing service. The biggest problem is that the agents that have the "short sale" listings are not posting this information in the public remarks..only in the private comments. Truth in advertising goes out the window if a buyer thinks there are a large number of homes that can be purchased with no strings attached. The many short sales that are listed are not being sold even with multiple offers. The short sales are prevalent at all price points..one particular neighborhood called First Place should be renamed "Short" place with very high end homes facing forclosure.
Keep the conversation going..and seek out the best solutions for all seeking homes and want to be informed and involved citizens in their communities
Maryland with Mary in it
I am sorry that you felt sad; it was not meant to upset any licensed realtor. In fact, may be I should better phrase it as "Don't try to believe the agent trying to list your home..." My points have been described in various places, and the key is that "every realtor price a right price based on their marketing capability". There is NO abosolute value of a home, the value varies based on the buyer. And the better matched a buyer, the higher the value, and that match depending on the marketing capacity. And that often revealed by the suggested listing price.
Dear Lisa Forss,
I do not expect John or you to be able to understand what I described; it was a research work. In fact, most agents would not disagree with my invention since they were not able to sell many houses and blame only the real estate market.
For those who fully understand, they got gold medal of Million dollar club in 2006 and 2007. So for those who not yet obtain gold medal in 2006 and 2007, believe or not, that's why I spent time here trying to help hundreds of thousands of underperform realtors. Because if I can help them just to sell a few more houses more than they otherwise could, that would help millions of American families suffering on foreclosure.
My fundamental believe, and there are scientific data to support my belief, is that there are many more buyers out there eager to buy if you were able to find them a match home effectively. Current real estate practice is out dated.
The long and short of it is that is does impact in a negative way. Now if you need to sell NOW, you will have problems. If you can wait it out it will bounce back. Buying a house is not day trading. It is a long term investment. This is why mortgage rates are based on 15 - 20 - 30 - 40 - 50 year payback