Nearly a Third of Sellers Will Overprice On Purpose

Full disclosure: The Tim is employed by Redfin. On Monday I posted the results of a new quarterly survey of home sellers that we’re doing at Redfin. This part in particular stood out to me as I was analyzing the responses: …when asked how they approach pricing their home 32% of sellers indicated that they […]

Analyze a “Below-Market” Deal: Conclusion

by Flickr user woodleywonderworks The perpetual motto of real estate salespeople that “it’s a great time to buy” is still a load of nonsense. It’s only a great time to buy when your personal finances, your stage in life, and the right home at the right price all come together at the same time. Granted, […]

Analyze a “Below-Market” Deal: Historic Pricing

Our final method for determining whether or not a home is a good deal is to compare the current asking price to the historic sale prices of the same home during pre-bubble years. The simplest method is to find the oldest sale record available for the home and compare the total percentage gain from that […]

Analyze a “Below-Market” Deal: Nearby Rents

Unfortunately when you’re looking at single-family homes, it can be difficult to get an accurate read on what people in the neighborhood are currently paying in rent. However, studying asking rents in the rental section of Craigslist is the next best thing, and it is definitely better than nothing. photo by The Tim Do a […]

Analyze a “Below-Market” Deal: Comparable Sales

The art of analyzing a home’s “comps”—once the exclusive domain of real estate agents and appraisers—is now open to everyone thanks to sites like Zillow and Redfin that display detailed data on sold homes. The basic process is simple: Make a list of recently sold (within the last 3 months, ideally) homes similar to the […]

How To: Analyze a “Below-Market” Deal

I personally believe that a reasonable analysis of the local economic fundamentals points to another ten to fifteen percent decline in Seattle-area home prices. However, I also believe that barring a major economic catastrophe that slashes wages and dramatically increases unemployment, buying in today’s market can be a good move if you can find a […]

Strategies for Finding the Best Value in Today’s Market

Last week we asked the question: How do you find properties that are the best value in today’s market? Following are the highlights of that discussion. MEDIC focuses on tax assessments and prior sales, using a combination of county records websites (directory here) and Redfin. For MEDIC, “a good price… is at least 40-50% off […]