re: Housing market is stupid right now - brief rant *Update in OP*

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all of this for a house in suburban texas. the end really is near.

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Yeah 750k and I'm thinking about a house in a desirable coastal community or near the mountains, not a Texas suburb

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Is this shite really that wild right now?

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Absolutely. My parents are looking right now. House they really liked popped up so they schedule a showing immediately. Sellers had an above asking offer within 8 hours of listing but still agreed to show the house. My parents bump up the showing a day earlier but asked my wife and me to look on their behalf as they were out of town. We show up and the listing agent meets us outside, is very rude, and tells us that all remaining showings are cancelled because there is currently a couple inside that requested the listing agent call his client and ask “what will it take to get the house” and essentially offered that on the spot. Seller agreed and they were working on the contract inside, therefore he couldn’t let us inside to look even though we had a scheduled showing. Dude couldn’t be bothered to just call us and tell us what was going on. Shitty listing agent, shitty sellers. Market is insane.

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This idea of homes going 10%+ over asking means you’re asking too little. It’s a pretty simple concept that people don’t seem to understand.

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Exactly.

Also in the meantime, I have a buddy in NOLA that has had to drop his asking price by $60k and still hasn’t sold.

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This idea of homes going 10%+ over asking means you’re asking too little. It’s a pretty simple concept that people don’t seem to understand.

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I view the listing price as something more akin to what has been standard practice in other countries for decades: the listing price is simply a “suggested minimum starting bid”.

It doesn’t really matter what they put down as a listing price, people are going to pay what it’s worth to them in the current market.

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Congrats, but I’d bet the farm you left money on the table. There is no way I would not go to market with a home right now and give it 72 hours for all offers.

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House is in Gonz (a rental).

Had it appraised last year at 209k.

Under contract for 233k and 1% realtor fee. No inspection requests, 3 week close.

I left nothing on the table. I do this for a living.

Realtors fricking suck and are a massive waste of money. I know this now.

Smoothest sale Ive had in 3 years (20 or 25 sales).

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All those folks in the 70s ranch homes near walnut Grove taking advantage of the fact their 2020 300k home are now 700k and either selling or doing major renovations with the new equity.

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Yep. I’ve got a 300k renovation about to start in Forrest Crossing. I saw one in Cottonwood seller was asking 515/ft but they’ve dropped it considerably. I guess if you don’t have to sell no harm in asking.

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Then change the fricking asking price.

This idea of homes going 10%+ over asking means you’re asking too little. It’s a pretty simple concept that people don’t seem to understand.

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I mean, I'm sure they would have had the asking price higher if they thought they could get away with it. We're talking about homes that are on the market mere hours. There is a fast moving process where house is listed, shown, offers made, and goes into contract within hours. When would a homeowner have time to change the asking price?

My next door neighbor just put their house on the market at a price we all gawked at. He said he just wanted to see if it would work/what he could get.. as it was much higher than most anything around us is selling. He took offers for 72 hours and ended up accepting the highest one, which was $5k above his asking.

Most people aren't necessarily asking too little. They're asking based on estimates given to them on their home, and based on the values of the homes around them. It's just that "values" (quoted because I don't know that it is the true value) are changing daily.

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House is in Gonz (a rental). Had it appraised last year at 209k. Under contract for 233k and 1% realtor fee. No inspection requests, 3 week close. I left nothing on the table. I do this for a living. Realtors fricking suck and are a massive waste of money. I know this now. Smoothest sale Ive had in 3 years (20 or 25 sales)

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I have no knowledge of the Gonzales market so you may be correct. Congrats on those 20 or 25 sales, whichever one it is. If it appraised last year for 209k, you were fortunate to get more, as most homes generally sell at appraised values from 12 months or more prior.

There are many markets where I completely agree real estate brokers are unnecessary. The fine city of Gonzales may be one of those markets. Blanket statements are just a precursor for ignorance.

Congrats also to the realtor who brought you this buyer that was the smoothest sale you’ve had.

What I don’t understand is why rents have skyrocketed along with house prices. You’d think there’s a negative relationship there. As people bail out of apartments to own, rents should decline. It’s not like our population is skyrocketing, but this phenomenon seems to be happening everywhere.

It all seems a bit “bubbly” and with rates going up, we’ll find out pretty soon.

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and offered the seller a 10 day all expenses paid trip for his family of 5 to Disneyworld(about 20k) to close the deal.

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I’d have taken an airline voucher in that amount.