The Mistress in Real Estate


Many have bought their first home or may be even a second or third one.  Each time you bought a home, did you hear that infamous line;  “it’s a buyer/sellers market” and off you were to look at homes.  Did your Real Estate agent ever tell you about the mistress you would have to deal with when you bought your home?

You didn’t know there was a mistress in your deal? Well, there is or was, depending on where you are at in the process.  If you are a buyer, right now, you think the market is yours to control.  You can ask the seller to pay some of  your closing costs, contribute to point buy down, have the seller maybe provide a year or so home warranty program.  If you are buying an association home, you may even ask the seller to pay one or two years of association dues.  How about that big screen TV or the couch that makes the room.  Did you ask the seller to through that into the deal?

What if you are the seller. Right now you may feel like your hands are tied and you have to pretty much give your home away.  Maybe you did through that TV/couch in the deal, paid those association dues or purchased the home warranty program the buyer asked for.  Maybe you went as far to include a car in the garage with the deal.  No, I am not making this up, this is one crazy thing I have seen offered for the right price for the home.

Well, what about the mistress that REALLY controls the deal whether you are a buyer or a seller.  You don’t know to whom I am referring to? The Government.  They are the ones that have more control over a deal than even a  buyer or a seller.  Since the crash of the market, the Federal Government has really had more control over any deal.  Whether it is contributing an incentive program to bring the buyers out, to the taking away of the incentive or raising interest rates, yes, they have more power in the deal than one thinks.

Lets also look at how the government is compensating for all the short sales/foreclosures that are happening.  The Government stood by and watched as many home owners homes went upside down.  They did nothing to the banks that sat around refusing to help persons on the verge of loosing their home, nor did they make the banks work with the owners to make payments affordable for those that wanted to stay in their home and were trying their best to work something out.  Instead, the government sat back as banks took anywhere from 9 months to over a year to respond to potential offers from buyers on contracts submitted.  Then some even claimed they were in financial ruins…but what about the sellers? 

Now, many persons have lost their homes even if they were trying to work something out with the banks and there are an amazingly huge number of homes that are sitting vacant.  How about the sellers that are trying to do a traditional sale?  They now have to contend with the never ending battle of how am I to sell my home and not be punished by the short sale/foreclosures on the market.  Their home will be appraised against the homes in their respective neighborhoods that have been sold at a discounted price due to hardships by the past owner.  Again, the government continues to let this happen.

Shouldn’t the government at least try to help sellers that have kept their heads above water and not just walked away from their home with some sort of break?   This would be a positive incentive and still keep some value in our neighborhoods.  How should the government do this?  Well, that is the million dollar question.  Maybe these sellers get a bigger break on their new interest rate or maybe they get a break on their taxes in the year the home was sold.   I am sure there is something this mistress of the government could do to keep the housing market alive and moving.

So the next time you are thinking of buying or selling a home, remember to consider the mistress you will have to contend with.  If you are a buyer, you will have to have a down payment, good credit and choose a program that you may have to work through many hoops.  If you are a seller, you may have to come to the table with some of your own cash to sell your home, or maybe it’s time to consider bringing back the CD’s to help in your sell.

THE SPIRITS TO MOVE is here to bring you quality information & posts.  Be sure to VOTE on this article prior to leaving…we appreciate it!

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