Jim Valentine on Real Estate
The real estate industry is full of emotion on many levels. Where there is emotion there can be pressure. A lot of emotion can produce a lot of pressure.
Too much pressure can allow for errors to be made in judgment during the decision-making process, not only in negotiating but during the escrow process as well.
One of the biggest pressure creators is price. Many questions come to mind when it comes to price discussions. Am I paying too much? It’s such a good deal, what’s wrong? Can I really afford it? Am I making the right decision buying/selling now? Will the market drop, and I lose money, or, if I wait, will I get a better buy?
If I wait, will I be priced out of the market? Is something going to happen that will change my value after I buy, i.e. - new competing subdivision around the corner, etc.? All of these can be addressed by your agent who can help you with perspective.
Most are unknown, thus the emotion/pressure. Perspectives on each will help you make a calm decision. In a market with limited listing supply such as we are now in, some folks get emotionally wrapped up in getting the “prize,” get the property to “win.”
You won’t win if it isn’t the right home on the right terms and conditions for you. Make your wants and needs list and make sure you don’t compromise needlessly. You may have an “opponent” offering more due to circumstances that don’t apply to you, i.e. - family lives in the neighborhood, they have a plethora of funds available to indulge in a whim.
Don’t chase it if it doesn’t fit. Worrying about being taken advantage of can cause you to create bumps in the escrow that should be flowing smoothly. The other side is just as concerned about being taken advantage of as you are.
Work with your agent to determine when and where you have exposure when things come up. When everyone works together good things happen and the transaction usually swings the other way, the parties help one another achieve their goal.
The other side is the party calculating to gain advantage. They spend their time figuring how they can squeeze another nickel from the deal when in fact they are tripping over dollars to do so. Work in good faith, not with the mindset of a predator.
Predators are necessary in the industry to make quick transactions with cash to help people that are in distress and need the help, but a normal residential transaction has no room for predatory shenanigans.
Make your deal and live with it. As things come up don’t seek unearned advantage, rather work toward the successful closing of the transaction so all parties win.
Inspections can cause pressure by their very nature. One never knows what will be found even if the home is in apparently good condition. The anticipation during the wait can create pressure. Understand that until you know what the reports find you won’t have anything to ponder for a resolution.
When the report comes in, be realistic about the findings and their consequence to your intended use. A resale home is not a new home. There may be things found and it is your responsibility to see how they will affect you.
Do you need a new roof, or a new furnace filter? With report in hand, you can make a comfortable decision. Emotion and pressure are normal in a residential real estate transaction. Don’t let it distract you from your goal or ruin the buying/selling experience you should be enjoying.
When decisions must be made don’t compromise your wants/needs because of your emotion and accompanying pressure. Assess the situation, weigh your options, evaluate the outcome of each, and make an informed, calm decision.
You are looking at a long-term investment of something that you will use every day, your home. Make good decisions and accept the results as the best you could do under the circumstances of the time.
Real estate is a series of problems with decisions to be made. Live with it and enjoy the results of doing a good job of it.
When it comes to choosing professionals to assist you with your Real Estate needs… Experience is Priceless! Jim Valentine, RE/MAX Gold Carson Valley, 775-781-3704. dpwtigers@hotmail.com