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Emma Amiad answers questions from customers and island residents on a weekly basis. Check online or in the Vashon Beachcomber to catch Emma's latest answers. Also feel free to contact Emma directly via email to ask her a question of your own.

Wednesday, July 08, 2009

Q: I've talked to several real estate agents on Vashon and figured maybe I could finally get the straight scoop from you.

None of these other agents will take me seriously. I've written up a couple of offers and these agents aren't even trying to make a good case for me to the seller. I figure in these hard times sellers would be thrilled to get any kind of offer.

A:
As an exclusive buyer representative, I generally encourage people to make an offer under asking price. It's hard to arrive at market value when it's such a moving target, but I analyze the comparables and judge the value based on the desirability of the location, condition of the house, style and other factors. In some cases, even in our down market, something is so desirable that it still goes for asking price.
Of course, if it's over-priced or has been on the market a long time, it always makes sense to offer less. However, reviewing the information you sent me, I see that you made very low offers. One was on a very desirable home in a great neighborhood that has since sold for the asking price. The other was such a low offer that it wouldn't have covered the seller's mortgage and closing costs.
We do occasionally have what is called a "short sale" where the seller actually comes up short at closing and has to pay the remainder owed or negotiate with the lender to take less. If the lender won't take less, the seller will have to come up with the difference at closing, end up still owing the debt after the sale, or reject the offer.
In the case of the offer you made, it's possible that the sellers had enough resources to wait for a better offer to come along. Being a smart shopper and taking advantage of our current market is good, but we haven't dropped in value as much as other areas and you're probably not going to get the extreme bargain you expect here.

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