Ever wonder how much of a deal do home buyers need to get? What is the walking away number? The number that says nobody wants to sell and evidently nobody wants to buy so let’s just forget about the whole thing? If it’s less than one half of a percent, I say everybody in that transaction needs their heads examined. Somebody must be focusing on the wrong things.
When I see some demands from buyers, it doesn’t make sense. For that sake of clarity, I am not talking about any transactions I am personally involved in. Because I’d probably tear out my hair and go screaming into the night if I were. But say, for example, that a home was priced at $400K. And the buyer’s agent, through a series of negotiations and multiple counter offers, gets the seller to agree to a price of $360K.
Rarely does a buyer decide to revoke a cancellation when buying a home but it seems to happen enough lately. Makes me wonder if there is something in the water. One day the buyer is madly in love with the house; the next day, cold feet. They find some peculiar aspect of the situation to focus on, blow out of proportion, and the next thing you know, they execute a cancellation.
Always for silly insignificant things it seems. Then, for no known reason, they suddenly change their minds. Nope, they really DO want to buy the house, and they regret signing the cancellation. Fortunately, there are several ways to revoke a cancellation. The easiest solution is to sign an addendum agreeing to revoke the cancellation and pick up where the parties left off.
My second husband, who is dead now, used to talk about win-win in real estate all of the time. He truly believed that transactions could be win-win. His reasoning? The seller would get the home sold at list price, although not necessarily the way they wanted, and the buyer gets everything the buyer wants. That’s not win-win to me. This guy believed in win-win so much because he always believed his own lies. You know, sort of like Trump, when he repeats a lie enough times, he believes his own alternative facts.
The trouble with making an offer on a home is many buyers judge the value of the home by the sales prices of surrounding homes and not the comparable sales. They do not seem to understand that the gray house with the remodeled kitchen and additional 500 square feet is worth many thousands more than the home they can really afford to buy, which is the brown house, two blocks over, without the remodeled kitchen and 500 square feet less.
You might read this and say to yourself: it makes sense, why doesn’t it make sense to the buyer? And it’s because they don’t look at it this way. They see 6 or 7 homes, all of which vary in size, configurations, location and condition, and in their mind those homes are all the same. They are homes for sale in Sacramento, and all they have to do is pick one and make an offer for less. I know agents are chuckling?over this scenario but it’s how buyers’ minds work. I hear it day after day from buyer’s agents who call on my listings.
Sacramento real estate agents often get upset or irritated when a seller refuses to issue a counter offer, but there is no law nor rule that says a seller must. This is the thing that they don’t understand because they put themselves in the seller’s shoes, and they would act differently. Everybody has his or her own way of responding to situations, and not everybody reacts in the same manner.
I mean, look at those guys out at Buckingham Palace. They stand there with their cute little chin straps, big furry hats, and they don’t even blink much less smile. You can’t make them smile. You could take off all of your clothes and do cartwheels in front of them, and their eyeballs would not move. Not that I’ve ever tried it, mind you, just making a point. Everybody is different. It’s what makes the world go round.