A Busy Market Requires High Sense Of Urgency

Are The Tides Changing To A Seller's Market?

We are happy to say that the real estate market here in Northeast Ohio is picking up. Inventories are low, the weather has been unseasonably warm, and the buyers are out in full force.  The rush of activity is good news to everyone, including home sellers.  However, the influx of buyers making offers has created a different set of challenges that we haven’t seen in a long time.

SLOW MARKET = NO URGENCY

Over the past few years when the real estate market was slow, the buying and selling process often took a long time. Buyers were afraid of overpaying and sellers were unwilling to accept what the market was willing to bear for their home. Basically, there was gridlock and an overall lack of urgency on all parties to get anything done.

Buyers, until recently, had been in control. The general attitude of most was that a seller would be lucky to get an offer from them. Plus, if things didn’t work out, they would just buy another home. Their level of commitment was suspect as well with some buyers preferring to just make a verbal offer instead of putting it in writing.

Negotiations also dragged out over days and sometimes even weeks. Getting parties to agree to terms was near impossible and getting all parties to sign and date the documents was more of an afterthought.  Now,  a shift in the market has taken place and those not prepared are getting burned.

TAKE QUICK ACTION OR LOSE OUT

Today’s increased activity is causing things to happen at a much faster pace than many are used to, including some agents. Anyone approaching the process in a lackadaisical manner will end up learning the hard way, when the home they want is taken by someone else.

We are not saying that buyers should make hasty decisions. We are simply recommending  that once you know what you want to do, do it quickly. Make an offer, work out the details, and get all parties to sign and date the documents as soon as possibly. This is even more critical if there is heated competition for a particular home.

NO SIGNATURE, NO DEAL

A last bit of advice. Understand that until all required paperwork is signed, dated, and/or initialed by all parties, there is no deal. We have heard many stories lately of negotiations being verbally agreed on by both buyer and seller, and then another offer comes in out of nowhere before all documents are signed. This can create havoc on an already complicated transaction and sometimes lead to costly litigation.

In the end, you need to be prepared for today’s changing market and having a great agent by your side will certainly make a difference.  Otherwise, the American dream could turn into a nightmare for you.

 

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About The Authors

The above information is compliments of The Schuman Team, Amy and Dan, of Howard Hanna Real Estate Services.

They can be reached at 216-346-3235 or 216-403-9189 or via email, danschuman@howardhanna.com or amyschuman@howardhanna.com.

The Schumans service the following Cleveland area suburbs: Bainbridge, Bay Village, Beachwood, Bentleyville, Chagrin Falls, Cleveland Heights, Gates Mills, Highland Heights, Hunting Valley, Lakewood, Lyndhurst, Mayfield Heights, Mayfield Village, Moreland Hills, Oakwood Village, Orange, Pepper Pike, Shaker Heights, Solon, South Euclid, University Heights, Westlake, Woodmere.

A Busy Market Requires High Sense Of Urgency is the property of The Schuman Team and may not be duplicated or used without their written consent.

Note: The Schuman Team are not licensed attorneys and nothing contained in this post should be construed as legal advice. We recommend that all buyers and sellers have legal documents reviewed by a qualified real estate attorney before moving forward on a real estate transaction.
2 Responses to A Busy Market Requires High Sense Of Urgency
  1. PJ@Find Homes in Ladera Ranch
    March 12, 2012 | 2:20 am

    Prices are going down, and sales are close to neutral — hopefully we are at or at least near the bottom. Most homeowners just don’t want to sell for less than their home was “worth” a few years back, which of course was quite inflated.
    PJ@Find Homes in Ladera Ranch recently posted..Luna Ct Ladera Ranch

    • Dan Schuman
      March 12, 2012 | 3:18 pm

      PJ, thank you for your comments. Obviously, the market is different everywhere. Here in Cleveland, we didn’t see the huge fluctuations in pricing that others across the country saw during the mid 2000’s. We are seeing increased sales with pricing holding steady, which is making buyers and sellers feel more confident about the market. Our inventories are also down about 25% from 2 years ago. A decreasing unemployment rate and rise in stocks so far this year has also helped.

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