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For the last 2 years in particular, strategy had nothing to do with it. In most “active” markets, houses went pending almost immediately, regardless of price.
by Cyph0n 4y ago
For the last 2 years in particular, strategy had nothing to do with it.
In most “active” markets, houses went pending almost immediately, regardless of price. It was fueled by low rates, easy access to capital, and FOMO.
- s1artibartfast 4y agoNonsense, list a house 2x market value and it wont go pending immediately. List it at 1/2X and it will. It makes perfect sense in a sellers market from a an agents perspective. Agents maximize number of deals, making hay while the sun shines. Sellers maximize competition, and get to do so because it is/was a sellers market. Of course low rates are why it was a sellers market, but this is the winning strategy in a that market.
- Cyph0n 4y agoCorrection: any price within range of comps. I assumed that was implied when talking about housing, but okay. The point I was making is that houses sold quickly regardless of how low they were priced relative to comps. It was/is a bubble through and through.
- s1artibartfast 4y ago>The point I was making is that houses sold quickly regardless of how low they were priced relative to comps. And my point is that speed is a feature of any sellers market, bubble or not. I think it is/was a sellers market, but don't think it is a bubble that will pop. It might go down some or sideways, but it wont be disastrous. For those that sold out of stock to buy a house, their homes could loose 30% and they would still have come out ahead.