homes in sacramento
An agent from a real estate website asked when is it a good time to reduce the sales price, meaning if a home doesn’t sell within a certain time period, at which point should a seller drop the price. Trying to establish set guidelines is pretty much impossible because every home is different and the temperature of your local real estate market varies with the seasons, among other criteria.
For example, some homes are simply more difficult to sell than others. Sacramento homes in challenging locations are hard to sell, like homes that back up to a school or a basketball court. Sacramento homes without updates in an area of remodeled homes makes them difficult to sell. Sacramento homes with weird layouts, white appliances, old carpeting, no first-floor bedroom or full bath, tiny yards, deferred maintenance . . . you get the idea. And let’s not even talk about short sales in Sacramento, which fall to the bottom of a buyer’s wish list since most need to sell at market value but take 3 times as long to close.
I called the FBI in Sacramento yesterday, but I’ll get to that in a moment. First, there is a real estate agent who lives in Land Park and supplements his income by renting out his house while he sleeps in a trailer of sorts in the driveway. I don’t know the guy but I read about it in the Snewzer. He does this through airbnb, which is based in San Francisco. It works for some people but it’s not a service I would probably use when traveling unless, of course, the owners were willing to show up at breakfast and dinner to cook for me.
What do you think would happen if you could buy a home in Sacramento and close within 3 days? Wouldn’t it be sorta cool if we could demonstrably alter the way Sacramento real estate is sold and buyers did all of their due diligence upfront, meaning they came to the table with an appraisal and underwriting approval? Back East, buyers often conduct a home inspection prior to contract ratification. This idea isn’t so far fetched.
You can buy just about any kind of product, even an illegal product from overseas, and receive it within 3 days. If you were to refinance a mortgage, that takes 30 days generally, but even when all is said and done and they are ready to close, that’s when they are required by law to ask a borrower: are you sure? Are you really, really sure you want this loan? Because we’re gonna give you 3 days to change your mind and rescind.
To understand why home buyers offer the prices that they do for certain Sacramento listings, it’s important to consider the mindset of today’s home buyers. Before the 2007 housing market crash, buyers used to approach homes with the attitude that they would absolutely adore all of them and want to buy every single home. In fact, in some cases, they had pretty much made up their minds by the time their agent pulled the car to the curb. That was their dream home. Or the last home was.
When inventory is low and the quality of available homes for sale in Sacramento is spotty, it might seem like there are no homes to buy, but that’s because nobody is looking at the shadow inventory. Shadow inventory can be defined as a lot of things — it can be homes that have been foreclosed upon and not yet on the market, or it can pertain to the pending sales, active release, short contingent and temporarily off the market listings, among other select status modifiers.
You might find gold in those listings.