Lots of for sale signs - Posted by Bruce

Posted by Tim Fierro (Tacoma, WA) on February 10, 2002 at 21:22:17:

You will need to check the neighborhood and community to see if there is a problem, or just people ready to move. If a problem exists where homeowners, or the local citizens, would be recipients of something bad; then you don’t want to buy into it. If however the prices have risen dramatically and all the owners in the area are taking their profits and leaving; then you have to decide if you want to buy now.

An example would be that Boeing is laying off a few more thousand people in 2 weeks, IE: Their last day.

If 4 of these people are single income families and live within a few blocks of each other, is it the neighborhood causing these people to sell their homes? No, it is that their income may not support the payments and the local economy would not support a single paycheck family to keep this lifestyle. If buyers with a 2 income family have been looking to move to the area, now is an ‘opportunity’.

It doesn’t matter if a home is listed with an agent, or for sale by owner; it only matters if there is a deal to be had for you. You will have to look at all 4 houses to see what price and terms meet what you are trying to do.

Lots of for sale signs - Posted by Bruce

Posted by Bruce on February 10, 2002 at 16:57:54:

Is buying houses in an area where other houses are for sale a good idea?

For instance I am looking at a house in an area that has three homes for sale through realators, the one I am thinking about is for sale by owner.



Re: Lots of for sale signs - Posted by jim

Posted by jim on February 11, 2002 at 10:41:27:

It could be a bad sign; only research will tell you more. Ask the realtor you’re working with how long these houses have been on the market and whether they have been listed before and didn’t sell. If the listing expired without a sale, they may have been re-listed with the same relator or a different realtor. Also ask him/her to check the average number of days a house is on the market in this neighborhood before it sells, the selling prices of homes that have sold and if these houses were discounted and how much they were reduced when they were sold. This info will help you greatly in deciding whether you want to purchase and how much you are willing to offer.