Back in January the Washington Post published an article I wrote entitled “Northern Virginia: Should you make that low ball offer?” as part of their Where We Live Blog. This past weekend Ken Harney of the Washington Post said it again in his post about low ball bidders. Low-ball offers aren’t flying in our market and many others around the country.
So are short sales the place to write the low ball offer? The data says NO. Check out the List to Sale Price Ratio in Fairfax County for the last 6 months.
Short sales are also smaller part of the market than they were a few years ago. Look at the number of active listings in Fairfax County showing the number of active short sales to non-mediated bank sales.
What does this mean for buyer’s looking at homes now in Fairfax County, VA? It means if you decide you want to make a low ball offer be prepared for rejection. Work closely with an agent to look at the data for the specific neighborhood where you want to live. Look at the details of the home you are interested in and compare apples to apples. Prices are still well below the peak of our market in 2005 to 2007 making almost any home you buy a good deal even if you have to pay 95% of the list price.