Attention Buyers….I know you are out there

I know you are out there because I have been showing our 15 listings on average 7-10 times a month. When I sat down and did the numbers, I couldn’t believe that we talk to 100 – 125 potential new buyers every month.If I am seeing 100 buyers every month (on top of all the other Realtors in Coconut Grove and their buyers), the big question is, why were there only 4 single family home sales in Coconut Grove in March?

The answer is… buyers are still waiting for the bottom of the market and until then they won’t get off the fence. The biggest hurdle we face as realtors seems to be the buyers perception of the market.

Here are some comments I’ve heard on the street:

  • Since nobody else is buying, maybe I shouldn’t buy either. That is exactly the problem, just because nobody else is buying doesn’t mean that you shouldn’t. Prices are good, there is plenty of inventory to choose from, and interest rates are at an all time low.
  • I heard about a foreclosure sale where someone got an $800,000 house for $500,000. While this may be true in some markets, we are not seeing steals like this in Coconut Grove. Yes there are foreclosures and short sales, however, most of them are in very poor condition and require the buyer to come in and spend a significant amount of money just to make them liveable. So yes, there are some steals out there for someone who is ready, willing and able to invest the time and money to heavily renovate.
  • I’m going to wait until the bottom of the market. Buyers don’t realize that once a market bottoms out, it starts to go up again. The experts can’t even predict the market, what are the chances you will be able to? The fact of the matter is, we will only know that we have hit the bottom of the market once it starts to recover and prices and sales start to go up again.

Buyers….what are you waiting for?