In ans a market where almost all clients are very picky they will view each condo they see with positives and negatives. Everyone does seem to want it all and people become less picky when the units are bargains. I tend to think that way as well as I am thinking about resale value as I go through the listings.
Some negatives can be made into positives such as paint, older appliances, light fixtures and such. Some negatives such as floor plans, no parking, odd views, high condo fees cannot be overcome. Sellers can make their unit have more positives as well. Overpricing is a huge negative and agents will just pass them buy as they do not compete as well.
I had a client call me today to see condos in the Warehouse District between 180k and 300k. I could only find four that I thought they would like to see. One they had already seen. One is not available till next week. Two that would have been a winner was sold this past week. Both were “winners” in my book and far as positives and price. That leaves two units to see. In the Warehouse District this is becoming the norm.
Business is not booming but there is not a lot of the nicer things for sale. It is a supply issue when all you can show are two or three condos. The buyers can expand their search to other areas or wait for the right one. More than one buyer will be doing this so you begin to have a buildup up in demand of the nice condos that are priced correctly and have a bunch of positives.
There have been several foreclosures this year and all three were sold in a couple of days with mutiple bids. Fannie Mae generally lists the condos 20% below market value and you take it as it is. There were several bids on each. They take the highest bid from someone who is going to live there for the first 15 days. Then investors get a shot. Very few have gotten any shots in 2011 Warehouse District.
There are other areas that are going to be like this but they are not quite there as yet. Happy Halloween ……Eric