There is a new dance in San Diego County which is now spreading across the country. It tends to be especially popular in highly sought after places to live like San Francisco, Silicon Valley, and even right here in river city...San Diego.
When I returned about an hour later the music had obviously started as the dancers were all lined up. About nine people were waiting in line that stretched from the front door out on to the driveway. They were each waiting their turn to see the house.
It was this new home buying frenzy which recently led me to pulling our Shay Realtors company car to the curb halfway down a previously quiet culdesac street in 4S Ranch. I stopped near the home we had just put active on the multiple listing service, (MLS) to warn the adjoining families about what was about to happen.
I didn't say there would be some "crazed" people driving down the street soon, but it was what I was thinking. It is simply people that want to purchase a home for their families. With so little building in the last few years, the home shortage experts have been talking about seems to be approaching.
I warned the children and their parents to watch out for a swarm of cars in the next couple of hours. Residential neighborhoods where new listings are priced reasonably, are like the early morning of a garage sale where you might be selling say, random pieces of gold bouillon.
I get it. I know what led to this strange dance between buyers and sellers. Many of the perspective buyers feel the "home train" is rolling down the track and they will not be able to get on with their families unless they buy a ticket before the prices jump higher and the interest rates ratchet up.
Some of the buyers have tried to get on the train only to be bumped off by an all cash buyer, someone that can afford to pay over appraised value or a buyer that waives a "no appraisal contingency ticket" in order to get on.
The conductor on the train has been pretty sad lately because as little as a few months ago he could easily get veterans on with their VA loan or first time buyers with a minimum amount of a down payment.
The challenge recently is they are now being frequently left on the platform. The conductor doesn't even want to look them in the eye because as much he may like them and appreciate their tough position, it seems cash and no appraisal contingency gets the few remaining seats available.
When I returned about an hour later the music had obviously started as the dancers were all lined up. About nine people were waiting in line that stretched from the front door out on to the driveway. They were each waiting their turn to see the house.
In a way it is a crummy dance. I approached the people waiting with their agents and opened the front door and agreed to be the bouncer. They could all see the home at the same time, but please no pushing or shoving.
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| Home Prices Rising |
I know it is great time for sellers and we work hard to get them great prices for their homes but there was something nice about seeing so many young families get homes in the past few years. The current conditions emphasize the importance of having a professional assist you in your home search.
On the sale side many of our listings we get close to a dozen offers and we sort through and counter them each strategically to get the best deal for our clients. On the buy side, there are many things you can do to help you get the deal. Amber, Paul and Yolanda on our team specialize in that area. It certainly helps having a strong and experienced advocate, or "Buyer's Specialist" assisting you to get your spot on the "home train."
I know the conductor wishes he could yell out, "All aboard." but unfortunately that is kind of what got us all into the mess several years ago. It is free market, competition and for a change the buyers must first be qualified to purchase before they can even stand on the platform hoping to get on the train. Maybe we did learn a little from our past.
Enjoy your week,
Ray & Theresa Shay
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