Two observations for the price of one.
The first involves a family member of one of my prospective buyers who came in from Los Angeles to look at a home my buyer’s been mulling over. “Write them an offer, you know, 20 or 25 percent below and see what happens.
“Right,” she adds, looking at me.
“This isn’t LA,” I said. “I can’t guarantee it, but I’m almost certain the seller won’t even consider the offer serious at that price.”
Phoenix isn’t Los Angeles. Every real estate market is different. Which brings us to the second observation …
Someone on Trulia Voices has been kind enough to begin answering questions en masse, except every answer essentially is the same:
it’s still a bubble
Let’s try this on something else.
Should I fill up my tank?
gas will be cheaper
Should I Super Size my Big Mac?
prices will go down
you don’t need the calories
With a little effort (which I will not put forth) we can turn this into Magic-8 ball inspired mediocre advice haiku!
I have no doubt that the person means well but blanket advice about real estate is all but useless. This person doesn’t know anything about any of these folks’ situations. He or she doesn’t have in-depth knowledge of the markets involved. Renting might be a good idea. It might not. But it’s not a suitable blanket reply. It’s no better than the opposite “it’s always a good time to buy” mantra. Yes. Maybe. Or not. It depends.
Not that a bubble-head ever will see it this way, but it’s not a pure black-and-white issue.
[tags]Phoenix real estate, real estate bubble, Trulia Voices[/tags]