Inspired by today’s Boston Globe’s cover story entitled, "Mortgage crisis may hurt sales this fall" and it’s ominous subtitle — "More buyers likely to be refused loans" — The Real Estate Cafe is eager to begin adding credit crunch casualties to our award-winning real estate bubble map. Our first location has had three offers fall through over the past five months, including one last week. If we could mobilize an army of would-be homebuyers turned investigative reporters, we’d map several categories of credit crunch casualties:
- Properties "back on market" (both MLS listings and "for sale by owner")
- Buyers whose loan applications are refused
- Prices that are renegotiated after properties fail to appraise
- Canceled transactions because would-be buyers cannot sell their existing home
Will it be possible to identify and document enough case studies to create a credible "credit crunch map" or at least a subset of our existing real estate bubble map? We’re not sure, but the financial reward of such a collective effort could be substantial: depending on one’s price range, patient home buyers in Boston could save $10,000 to $25,000 per month over the next four to six months. In the meantime, we’re willing to compensate clients who contribute content, see our Tipping Policy.
We agree: "an amazing scene [is] developing;" and we’re eager to see if interactive mapping can help translate credit crunch casualties into clients savings. As the Globe wrote, "sellers who fear financing problems may jeopardize a deal are reducing their prices," and "Buyers ‘are aware they have more choices, and down the line, their
choices may increase exponentially…’ "
Comments welcome below and / or in The Real Estate Cafe’s Idea Bar.