When faced with having to accept an offer that’s lower than expected, sellers like to think that there will always be other buyers – and there will be.
But will they pay the same price….or more, later?
Here’s a good example. First the builder said they were going to auction the three model homes in a sealed-bid process, but when the offers only came in around $1,100,000, they changed their mind, and relisted them with regular list prices. The two best are $1.3 and $1.35 million.
Their justification was that the highest sale so far at the end of the tract was $1,227,500, and they wanted to protect that buyer, plus they really weren’t that motivated because they still had the four remaining production homes to sell in the $800,000s.
So instead of selling the models today for around $1,100,000, they are going to take their chances in early spring – the classic two-in-the-bush strategy: