About this time last year, CNN/Money Magazine reported that a survey by economists Karl Case of Wellesley College and Robert Shiller of Yale revealed that home owners in Boston, Milwaukee, San Francisco and California’s Orange County were “counting on double-digit growth [in real estate appreciation for] EACH YEAR for the next ten years. Just twelve months later, some of those double-digit expectations are turning into double-digit disappointments, at least in Boston. Beneath the median and average prices that Realtors report going up, up, up every month; price changes on individual properties are crushing seller expectations and falling faster than consumer confidence.
We’d be glad to send you an example of a listing that has been canceled once, expired twice, and been listed by two different real estate agencies. Originally listed for $750,000, the property could sell now for under $600,000 — a savings of $150,000 or over 20%. This trend will become more wide spread as interest rates, still near a forty year low, return to traditional levels.
That’s not the kind of information you’ll get from traditional real estate listing agencies because their legal obligation is to get the highest price for their seller clients, even in a falling market. You won’t get it from dual agents or designated agents either, because representing the buyer and seller in the same transaction is an obvious conflict of interest (even if they try tell you otherwise). So, if you’d like to learn about other double-digit markdowns in Greater Boston area (or anywhere), contact The Real Estate Cafe. Our rebates and zero tolerance conflict of interest policy are unrivaled in New England. For more information or a referral to someone who can help you outside Boston, email us or call 617-661-4046.