For almost 5 years a majority of sellers clung to the notion that things would get better and property values would return to their previously high levels. It was difficult, if not impossible, to convince theses sellers they were taking the risk of an even greater decline in value. Many sellers that could have avoided an additional 10%, 20%, 30%, and in some cases even 40% drop in value, took the beating because they refused to change their strategy. We call this the definition of insanity; “keep doing the same thing over and over again and expect different results.”
In the past year more and more sellers have modified their strategies and are being more realistic about prices and have successfully sold their properties. Unfortunately buyers are now employing the same strategy by holding off on purchasing even as many areas have begun to recover.
The risk of using a “wait and see” strategy is even greater for buyers. Not only will many of these buyers lose the opportunity to get the best price, they will likely miss the opportunity for the best selection possible.
Encourage all buyers to avoid the trap that so many sellers fell in to by recognizing that the window of opportunity to buy at or near the bottom of the market may close quickly.