Posted by Gene on November 01, 2006 at 19:05:19:
I have had similar experiences at auctions. I think in a few months the reality of the situation will start to sink in.
Went to a Real Estate Auction today… - Posted by David Krulac
Posted by David Krulac on November 01, 2006 at 18:28:39:
went to another one last Sat. At both of these sales, which were NOT foreclosures, the property did not sell because the bids weren’t high enough to satisfy the sellers.
Seller’s expectations are still high, too high in a declining market. Some sellers haven’t got the memo yet: Real Estate peaked already and we’re looking at the down hill side. How steep that down hill side is depends on your particular market.
In an up market appraisals lag the market and are lower than sale prices (forget asking prices). But in a down market appraisals also lag the market and are higher than actual sale prices. And the older the comp, the more useless it is. Don’t tell me what the comps were 12 months ago or even 6 months ago. The market was different then. Tell me what a comparable property sold for yesterday not last year.
Re: Went to a Real Estate Auction today… - Posted by Natalie-VA
Posted by Natalie-VA on November 04, 2006 at 15:20:34:
David,
I’m curious to know what price range these houses are in for your area?
I’ve followed some local aucions lately too, but they were high end houses (over $500,000). I saw similar results…no bids acceptable to the seller.
I was thinking of auctioning one of mine in December, but it’s not high end. It’s ARV is 290k and it needs about 12-15k in repairs. I’m wondering if an auction would net me 250k from an owner/occupant type.
–Natalie
Good reporting - Posted by JT-IN
Posted by JT-IN on November 01, 2006 at 21:27:42:
David:
You report current information… Which is integral to making an informed RE decision. As stated, many folks are relying on appraisals that are 6-12 months old and could be off by 20+%…
As you are doing, continuing to stoke the RE information machine, which occasionally pays off by knowing somethhing that someone else hasn’t quite got the memo on… YET.
Locally, seeing a few things changing gradually. Have been seeing some things selling at auctions, but only at conservative prices. Any seller still seeking sky high prices are left to fester.
Thanks for keeping us up to date on your experiences… Valued info, for sure.
JT-IN