We saw a house last night and I really liked it. It needed quite a bit of cosmetic work, but the rest of it was updated and that was great. The problem? It’s priced $30-40k higher than what our realtor thinks it’s actually worth, based on sold comparisons.
The current sellers bought in April 2009. The house today is definitely worth less than they paid, and that stinks a lot. I don’t know if they took part in the $8k first-time homebuyer money, but if they did, they will have to repay it since they lived in the house for less than three years (tell me if I’m wrong on that).
It seems that there are still a lot of overpriced houses on the market here. The ones that seem most overpriced are the ones that have been purchased since 2006.
Sellers are trying to break even on the sale and not have to bring cash to closing. Hard to blame them for wanting that. At the same time, I can’t overpay for a house and put my family in the same situation that they’re in.
Some houses around here are selling very quickly. Those are updated and are priced well.
I just feel really bad for people who HAVE to unload their house right now and are having to bring their checkbooks to closing or take out a loan to cover the difference between what they owe on the house and the realtor fees on top of that. But what can you do about it?
They say you should leave your emotions out of a real estate purchase. I’m trying. But I just really feel for people who are upside-down on their mortgages and have to sell.