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Are you looking for an experienced agent to help you buy or sell a home? Contact Jim the Realtor!

Carlsbad
(760) 434-5000

Carmel Valley
(858) 560-7700
jim@jimklinge.com


Most recent articles

Real Estate Kiss of Death

How do you know when your offer isn’t going to go too far?

When the listing agent tells you, “I sent your offer to my sellers”.

Come on Jim, don’t you expect the sellers to read it?  Yes, I do, but it would be nice if the agent also offered some advice.  I always include my own opinion on why they should take the offer, because I know the other agent probably won’t.

As a result, this is the phone call the following day:

Agent: Did you receive the offer?

Sellers: Yes.

Agent: What did you think?

Sellers: We didn’t like it.

Agent: OK, thanks, have a nice day!

Of course, they didn’t like it because it was less than full price.

After all the showings during the first week on the market, the sellers were telling all their friends and family that they were going to have a bidding war, and sell for over list price.

But nothing materialized, and a few days or weeks later this snot-filled punk has the audacity to offer less than list price?

It reminds me of the Realtor Facts of Life.

It is best to be:

  1. The first-born child
  2. The second spouse
  3. The third realtor

Once sellers hear the same thing three times, they might start believing it.

It is easy to forget or ignore the truth about real estate.  A property’s value is defined by what a ready, willing, and able buyer will pay for it.

Instead, we convince sellers that they determine the sales price.

I might have a solution though – stay tuned!

Posted by on Feb 19, 2017 in Jim's Take on the Market, Listing Agent Practices, Why You Should List With Jim | 4 comments

Warren is Selling

Warren Buffett is selling his Emerald Bay vacation home….with an agent who doesn’t work at Berkshire Hathaway!  H/T Richard.

https://www.wsj.com/articles/warren-buffett-lists-longtime-laguna-beach-home-for-11-million-1487344530

Billionaire investor Warren Buffett is putting his longtime California beach house on the market for $11 million.

If it sells anywhere near its asking price, Mr. Buffett will score a decent return: He bought the Laguna Beach home in 1971 for $150,000. Mr. Buffett said he bought the house because his then-wife liked it, without giving a thought to its potential as an investment.

At the time Laguna Beach “wasn’t fully developed,” he said, but since then the area “just took off.” He added that he’s put a considerable amount of money into renovating the home over the years.

The 86-year-old Berkshire Hathaway chairman, who lives primarily in Omaha, Neb., said he used the property for years as a beach house for his family, spending summers and Christmases there. But since his first wife, Susan, died in 2004, he hasn’t spent much time there, which is why he’s putting the home on the market.

Posted by on Feb 18, 2017 in Interesting Houses, Jim's Take on the Market | 1 comment

Best Seller Tip

What can a home seller do to help make a sale?

Respond to an offer in less than 24 hours.

Here’s what happens if you don’t:

  1. Once a buyer signs a contract, buyer’s remorse starts to set in. If allowed to fester for a day or two, buyers will talk themselves out of buying just because of the anxiety.
  2. There are just enough other new listings coming to market that the buyer’s wandering eye gets distracted easily.
  3. The longer it takes to get an answer, the lower the buyers want to counter.
  4. After about three days of waiting, buyers give up altogether.

On the other hand, when a seller does respond quickly, it gives the buyer the impression that the seller cares, and wants to make a deal.  Buyers respond more favorably to those!

I had buyers make an offer on Monday that was within 4% of the new list price (sellers raised their list price – our offer was $250,000 over their original list) and here we are on Friday with no answer.

In a different case this week, my buyers offered more than twice what the seller paid in 2002, and three days later it wasn’t good enough – the sellers had to have another $10,000.  This is a house that has been on the market for 100 days with no offers.

In both cases, we were sick of waiting around, and even a more favorable response wouldn’t have gone over that well.

Listing agents are notorious for not preparing their sellers on how to respond to offers.  You can predict the chances of a deal coming together purely by how quick the sellers respond.  If they are adequately motivated and the listing agent has their act together, you will get a response within 24 hours.

If not, there probably wasn’t much of a chance of buying it anyway.

Posted by on Feb 17, 2017 in Jim's Take on the Market, Listing Agent Practices, Tips, Advice & Links, Why You Should List With Jim | 2 comments