You may already know that it’s been a challenging Real Estate market; however you may not know that the most recent statistic according to the National Association of Realtors states that only 3 out of 4 offers accepted ever close escrow.
16% of all buyers change their mind from the time they sign the contract to the time they open escrow. Never before has there been such buyer’s remorse. I believe that this is a direct result of the people they know, like and trust, influencing them based on stories they know or believe to be true. We all know someone that has been affected by our recent shift in the real estate market, and it’s easy for someone to have an opinion on whether or not it may be a good or bad time for someone to purchase a home.
11% of all properties fall out of escrow due to low appraisals. There is no doubt that the market continues to place downward pressure on pricing, and the fact that we have these appraisal issues supports that fact. A lot of these appraisal issues may be corrected in time… Many of today’s appraisal’s come in low because the contract price that was agreed upon was 3, 4 or even 6 or more months back. Now that the Lender has approved the short sale, value is no longer there. As the lenders continue to become more organized and systematized, they continue to speed up the short sale process. As the short sale process continues to speed up, we should see less of these appraisal problems.
Bottom line… now more than ever, you need to work with a real estate professional that understands the market, has a deep understanding of value, and one that is intimately familiar with what to expect during the process.
Please feel comfortable giving me a call or sending me an email should you have any questions or simply wish to discuss this further.
