Is It Really Active?
July 24th, 2008 Categories: AZ home selling
So I don’t do it much but last week I took out some buyers, being primarily a listing agent I don’t get out much, but, it is good to get in the trenches to see the inventory and trends for the present buyers.
The market is is fruitful right now, I know this from my listings receiving multiple offers in days, but it is also highly competitive as well. Most homes claim they are available but technically they are not. If you were to put a buyer tour together of 10 homes in the west valley and called the listing agent, maybe only 3 would be available to put an offer on if your client was interested. (this is of course, the agent answered the phone). Why?
Short sale and lender owned.
First lender owned. It typically takes about 5 days to fully solidify an offer between seller and buyer and go “pending”. In between that time there is a contract in review with the lender to accept. Most of the time they do accept verbally but it takes up to 5 days just to process and get back to the buyer. So, during that time, it remains active and available for anyone to come in and bid higher. Just the way it is.
Now Short Sales: This is a mess considering a majority of the listings are short sales. The AZ department of real estate, local associations, and local MLS need to refine this chaos. Most short sales will remain “active” until it has received an agreement letter from the lender to sale the home. This could take up to 4 months (Wells Fargo). So if a buyer agent calls on a short sale home, there is most likely 6-7 offers already in review of that home. Agents need to tell the consumers this…. When it shows active on a real estate website, it does not mean it is.
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