'Suck it up' and wait for recovery
Letter to the Editor
By Inman News, Monday, June 15, 2009.Re: 'Careful buyer regrets home purchase' (June 12)
Dear Editor:
Our team counsels with our buyers in a quite lengthy interview before we take them out. We listen to them and ask lots of questions so we can understand what they are wanting in their real estate dreams and goals.
Even in spite of all we do ... not every story is going to have a happy ending in this market.
The most important thing for anyone to realize is that none of us had ANY control over the state of our nationwide market so we cannot take it personally. Nor could even a good agent predict that a neighborhood might end up with a lot of investors or people simply walking away from their homes, many by need and some "just because," depending on the nature of their current circumstances.
If the home cited in the column is down only 20 percent in value then the owner should count herself lucky -- we are seeing homes here down 50-60 percent. Ouch. If the owner is extremely miserable and can afford to do it: What some people are doing now is biting the bullet and selling their current home and making up the money they lose on that one on the buy-side of their new home. That is, if they have the means and funds to do so.
It has given some people a way to get out of a declining neighborhood. If this is not an option, then as you said, make the house a home. Maybe even redo a room, buy some new accessories, plant a garden or whatever and enjoy the fact that you have a roof over your head that you chose for a reason at that time, and move forward with life.
Part of life is finding some type of contentment with the choices and decisions that we make. This is why we do tell people that, especially now, it is important to have a savvy and sharp Realtor guide you through the process because you can end up finding that what you thought was your best bargain has become your worst nightmare.
Seeking professional guidance is critical. I did not see in the note any reference to guidance or help she sought from a professional, which is why I strongly suggest this to anyone.
What prompted my response more than ever is that we ALL cannot just walk away from commitments and obligations because of these circumstances. When you do that it just hurts everyone.
Please choose to be part of the solution and not part of the problem and suck it up like the rest of us are and stick to your obligations the best you can and move on and wait for things to turn around ... as they will in time.
Debbie Hallerman
Coldwell Banker Premier
Henderson, Nev.
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Submitted by John Rakoci on June 16, 2009 - 4:24am.
Sadly some cannot wait for the 'recovery' due to one or more of many things not their fault. We must show compassion and assist in any way possible. I'm beginning to believe what is seen on bumper stickers and T-shirts more than ever; "recession is when your neighbor loses his job, depression is when you lose yours, recovery is when obama loses his".
Submitted by Judy Orr on June 16, 2009 - 6:50am.
If I were personally in the situation that the buyer of the original post was in, I would stay in the property and make it my home. People are so transient today which is good for REALTORS but this inability to stay in one spot (and I don't mean people that are relocating) makes home ownership less of a commitment to many.
This person bought a condo and oops, it just isn't big enough now plus it's worth 20% less than what was paid. Yes, she or he could take the loss (although I don't think they could afford it) and make up on it with the next property. I know quite a few people that would love to move but can't afford to because their 20% (or whatever) loss just wiped out the equity they had that was their down payment. Take off the cost of selling and many people do have to suck it up and stay put until the market improves.
And that's what boggles my mind. Why can't they stay put? I know things are different today. But I've seen a family of five raised in a two-bedroom duplex. The parents kept that duplex until the very end. I was brought up in two homes - one until I was 10 and the other until I moved out (and they kept it until they retired).
But today's home owners aren't in it for the long-term. First-time buyers don't want first-time homes - they want their dream homes. Buyers that feel they made a mistake, like the buyer in the original post, want to move on and now feel imprisoned in their too-small place that lost value to boot. Hey, they have a roof over their heads and they still have their job. Stay put and give it time.
The only thing that would have scared me in that scenario was the low-income housing unit that was being built. That one building (or complex) could hurt the area indefinitely. But that was a risk this buyer took buying in a non-established community.
Judy Orr
Oak Lawn Homes For Sale
Classic Realty Group
708-536-8200
Submitted by Jon Astaris on June 16, 2009 - 9:04am.
Real estate people giving "suck it up" and "see a realtor" advice when a shor while ago the same real estate people advised to "buy now or miss the get-rich-quick boat"... any wonder real estate people are the least respected of all professionals? Especially in Vegas, where values dropped by some 60% from the top and are still dropping? The recovery, if that means return to the values of 2006, may not come for 20-30 years...."suck it up and wait for recovery". Oo-wee. Sign me up.
Submitted by Robert A. Hulme on June 21, 2009 - 8:11am.
Great advise. Not many buyers truly understand the scenario of selling your property for less and being able to make it up on the buyer purchase.
Many of my clients are renting out their primary residence and are taking advantage of the Bank Owned bargains available.
www.SpringvilleRealEstate.us
www.LehiRealEstate.net