I suspect real estate markets are a lot less efficient than we think. We take people who know nothing about pricing homes, put them in a high stress time sensi

I suspect real estate markets are a lot less efficient than we think. We take people who know nothing about pricing homes, put them in a high stress time sensitive situation, advised by realtors who are incentivized to close deals quickly and at higher prices, and then expect them to make reasonable bids. In my opinion real estate assets are likely overpriced and inflexible from what they should be due to the current regulatory situation. The “money on the table” argument is weak, because the first bid is when people are most rational, it’s only after human psychology takes over that they start bidding higher.