Whatever your goal in the Phoenix real estate market, make 2008 the year you bring that goal to fruition. This likely can apply to far more than real estate but this is a real estate blog so we’ll keep the focus there.
If your plan is to sell your home, sell. Easier said than done you might say and that’s true to some degree. But review your selling strategy to date … if one of these applies to your sale then changes are in order for the new year:
- Your list price is not among the three lowest in your neighborhood
- You did not authorize your agent to use a lockbox
- You keep your alarm activated throughout the day (hint: given the choice between showing two homes, one where we have to futz with an alarm and one where the alarm has been deactivated, guess which one gets shown?)
- You otherwise are restricting access to your home – showings by appointment only, only on weekends, only after 3 p.m.
- You have a faucet that’s leaking, paint that’s peeling or termite tubes climbing up your walls – all left untouched because the buyer can adjust by price.
- The only place your home is advertised is the MLS because you opted for a $300 flat rate rather than professional marketing
Conversely, if you’ve been debating whether to buy now or later in Phoenix despite all evidence that timing the market for an absolute bottom is impossible, make 2008 the year you narrow your focus to what suits your needs:
- Skip the short sales. Skip the short sales. Skip the short sales.
- Take a hard look at lender-owned properties. If you don’t mind a little bit of sweat equity there may be deals to be found. Compare current value to value at the peak and then match that to the predictions of 15-20% drops in value locally.
- Look for homes owned by actual sellers with real equity with which to negotiate. They’re still out there.
- Be realistic. Yes, this is a buyers’ market. No, that doesn’t mean your offer 25 to 30% market value has a chance. If you want to offer 30% below list price, stick to homes overpriced by 20% and you’ll be in the right ballpark.
Buying real estate isn’t for everyone. There are no get-rich-quick opportunities. If that’s what you’re seeking, you may want to think about a roulette table.
Rapid appreciation a la 2005 will almost certainly never happen again. But appreciation is a possibility, this year or the next. No one knows for certain.
What you can control is the research you put into the process and the commitment to do what is needed, no matter which side of the closing table you intend to occupy.[tags]Phoenix real estate[/tags]