Posted by Eisrael Gomez on September 26, 2009 at 5:49am
Wow do we need this shadow inventory everyone has been blogging about. We currently have offers coming in well above asking price (10 sometimes 20%!) My buyers and investors are frustrated and want homes now! Especially first time buyers trying to take advantage of the First Time Buyer tax credit. Are you all seeing the same in your areas?
Yes investors are loving it. I wonder if it will get better for them after the FHA/govt programs run out of money and we lose those buyers. Have you heard anything about the FHA/govt programs running dry next year?
I don't see our prices falling to rapidly if the next wave comes. There are some homes receiving up to 30 offers in the investor price ranges and frist time buyer price ranges throughout Monterey County. You are right the investors with cash are the ones able to snatch up what few items come to market in the lower price ranges. I can't blame the asset managers. Let's see, if I am an asset manager, do I take a cash offer closing in 2 weeks or take my chances with a painful 60 day FHA escrow? I take the cash offer of course!!!
Hello Eisrael! Great area to live. I used to live there. Anyway, here in AZ we are experiecing the same thing. Although prices would be depressed if more REOs come to market, it will benifit the owner occupied buyers. Even though prices are affordable today, the investors once again are having a party!
Comments
Yes investors are loving it. I wonder if it will get better for them after the FHA/govt programs run out of money and we lose those buyers. Have you heard anything about the FHA/govt programs running dry next year?