Monday, December 1, 2008

Buyers Market then Mutiple Offers?

Really ? What is happening out there?

We admit that we are in a buyers market, there may even be a Buyer's Strike, but some housing seems to be immune.

Our office recently had a listing that was an estate sale in the Bloor west Village neighbourhood, specifically on Ostend Ave., in the Bloor and Windermere corner. This property was a vacant sale.

The property itself is a circa 1960's condition detached home with few updates other than necessary maintenance in the last 25 years.
Ahhhhhh.... but the neighbourhood.

My thoughts were; if priced based on the recent sales, adjustments could be made for updated kitchens, bathrooms and general condition. The assessed values bore this out as a price in the mid 500's. The rest is buyer demand and market value as understood by shoppers. They do truly decide the market value.
It was priced at $589,000 and sold for a final price of $585,000.

The listing came out and had showings literally within seconds of planting the FOR SALE sign in the front lawn. There were in additional, 25 showings within 3 days. 5 offers materialized.

Multiple Offers.

The offers did not exceed the asking price but there were nevertheless multiple offers. Now there are again angry people, that there was a multi offer situation, they should have been the only one in a Buyers Market, If they had been sooner could it have been different.

Not really. Family, lawyers, probate, agents and personalities all came together to voice their own program.
The truth is properties always have a buyer, it just needs to find the right value. The old real estate axiom of LOCATION LOCATION is never truer than today. The Buyers are on the sidelines poised and ready to make purchases where they feel that the values are in line with the market.
I myself was surprised by the speed and enthusiasm for this home. Congratulations to the new owners!
For naysayers; the market is alive and well but has chosen a new level.
Remember, Experience is not expensive... It's Priceless.

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