Comments on: Understanding Seller Psychology – They Are Greedy http://www.bargaineering.com/articles/understanding-seller-psychology-they-are-greedy.html personal finance blog with anecdotes, advice and commentary. Sun, 08 Nov 2009 14:07:29 -0500 http://wordpress.org/?v=2.8.5 hourly 1 By: jim http://www.bargaineering.com/articles/understanding-seller-psychology-they-are-greedy.html/comment-page-1#comment-316 jim Wed, 04 May 2005 20:24:26 +0000 http://www.bargaineering.com/articles/134.html#comment-316 I'm not faulting them for being greedy. And no, I don't need to risk a little in this market and offer more than I think it's worth, that's why people get burned when things are bought for more than their intrinsic value (as in the case of market bubbles). They offer more than what they believe something is worth just to get in on it - eventually people keep offering and offering until someone is left holding the bag. I've placed two offers in four "trips," which I believe is a good percentage of contracts to trips - so I don't believe I'm being an unreasonable home buyer. I've also offered asking price with $10k to $15k escalation in both cases, so I don't think I'm being unrealistic in my offers. ($290 escalate to $300, $275 escalate to $290) In the end, if it doesn't pan out, I can rent for another year and try again regardless of where I think mortgage rates will go (up, of course). I’m not faulting them for being greedy.

And no, I don’t need to risk a little in this market and offer more than I think it’s worth, that’s why people get burned when things are bought for more than their intrinsic value (as in the case of market bubbles). They offer more than what they believe something is worth just to get in on it – eventually people keep offering and offering until someone is left holding the bag.

I’ve placed two offers in four “trips,” which I believe is a good percentage of contracts to trips – so I don’t believe I’m being an unreasonable home buyer. I’ve also offered asking price with $10k to $15k escalation in both cases, so I don’t think I’m being unrealistic in my offers. ($290 escalate to $300, $275 escalate to $290)

In the end, if it doesn’t pan out, I can rent for another year and try again regardless of where I think mortgage rates will go (up, of course).

]]> By: Tim http://www.bargaineering.com/articles/understanding-seller-psychology-they-are-greedy.html/comment-page-1#comment-315 Tim Wed, 04 May 2005 17:28:04 +0000 http://www.bargaineering.com/articles/134.html#comment-315 Don't worry you will use all these tactics when it is time to sell your house! Don't be discouraged, you will find one, however, I do believe that will have to risk a little in this market and offer more than you personally think it is worth. Don’t worry you will use all these tactics when it is time to sell your house! Don’t be discouraged, you will find one, however, I do believe that will have to risk a little in this market and offer more than you personally think it is worth.

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