In a lot of those cases, the investors did not care what the homes were appraising for. All They cared about is if the homes were “penciling” out in accordance with their plans.
This was an interesting change of pace. The “owner occupant” real estate buyer was stripped of their ability to buy a home because the competition was so thick.
Move forward 1 full year. In only a very few months, we have three hundred and fifty additional units for sale in the Residential Arena for the Santa Clarita Valley Cities.
Pressing 750 real estate listings, we are seeing that buyers have much more to choose from. I’d venture to say that those buyers are much happier today than they have been in a long time. We see this with the Buyers we are actively working with today.
And then Something better comes along…
Here is where this may be chapping the “hides” of the current real estate sellers in the local real estate markets.
Let’s say there is a buyer that has found a home and has their Realtor Write an offer. Once they do the seller views their offer, maybe does a little countering, and then we have mutual agreement by all parties and escrow opens.
All is well and good in the world.
Except….. When, another home, something the buyer likes better, enters the for sale market.
If it has only been a few days, the buyer can cancel their current escrow and move on the other home. While this will strike a deep chord for the real estate seller in the case of which was cancelled, and while some may view this as not being a good practice, it is responsible for some additional Back on Market real estate listings entering the local For Sale Markets, after being in escrow for short time. (make sure you check with your Realtor and local jurisdiction before you choose this path!!!)