Austin TX Real Estate - Hill Country Austin Lakeway Homes for Sale: Frustrating Describes the Austin Real Estate Market Right Now

Frustrating Describes the Austin Real Estate Market Right Now

Austin Texas real estate is actually very frustrating right now. Yes, I've posted about how Austin is in a H-O-T market right now, and how listings are selling so fast and so much above asking price... but these are some of the reasons why it's frustrating.

The Austin real estate market is more than 20% below on inventory from last year, and last year was low also. That means buyers have less of a selection to pick from, and if you continue the cause and effect, that means there are multiple buyers fighting over one house.

austin texas real estate market

It's frustrating because you try and try to educate your buyers about the market and prepare them for expectations, and when they lose that first house, OUCH! They're upset.  They go for house #2 that they liked, but it's 3 days later before they decided they were ok with going for choice #2, and now that house is gone. Of the 7 houses I showed them, all but 2 are now under contract and the 2 remaining back to a main street or is just a horrible floorplan, so they don't care about those.

The buyers sit and wait for the new listings, but they don't want to just look at one more. They want to wait until they see 3-4 more they like... and as those come on the market, they go right back off so you can show them one house, which they don't like. The cycle repeats.

You explain how they need to jump on new listings, and when they finally do jump, they make a weak offer. You explain to your buyers that you think their terms need to be stronger. They don't get it, and lose the house. They're frustrated, possibly mad. Are they mad at me or themselves?

The next house, they jump but take too long to submit an offer because it's only on the market a day and they have time and they're second guessing themselves again because they just lost the last house.  You finally get them to do a combination of things. They jump at looking at the house. They jump at writing the offer quickly. They actually agree to good terms in the offer and their offer wins, but right at the end, the buyers need one last initial because the sellers forgot to exclude the curtains, and that delay triggers the buyers to walk away because there was more second guessing...

See why it's frustrating in today's market? People say, "I see you're busy; you must be loving it!" And I'm like, "Yes, it's great that it's busy, but I've continued to be busy over the years when others weren't, and right now, I'm just frustrated..."

The story can continue that once under contract, the buyers can back out during the inspection period because they woke up on the wrong side of the bed, or because they forgot to "share" that graphic on Facebook that told them they would have bad luck if they didn't.

Once the buyers finally get to the closing table, it's a hundred houses and ten offers later. You did ten times the amount of work then what you normally do when the market isn't as crazy, and people think it's "easy" because houses are flying off the market...

Whatever...

 

**Are You Packed Yet?**

donna harris Realtor Austin TX blog

Donna Harris, REALTOR®
RE/MAX Austin Skyline
www.DonnaHomes.com
Donna@DonnaHomes.com
austin-texas-homes-for-sale.com

Austin TX Real Estate

and the surrounding areas of Lakeway, Bee Cave, West Lake Hills, Cedar Park, Round Rock, Spicewood, Circle-C, Steiner Ranch, and everywhere in between... Hill Country Austin TX Real Estate and beyond. Whether you're buying or selling an Austin home, I'll be with you every step of the way. 

For real time Austin TX listings,click here.

** Multi-Million Dollar Producer Year after Year **

Copyright© 2013 By Donna Harris, All Rights Reserved. You may re-blog with links back to this post.
* Frustrating Describes the Austin Real Estate Market Right Now
* was first published on donnahomesblog.com.

Comment balloon 29 commentsDonna Harris • March 28 2013 04:10PM

Comments

As Realtors we have a lack of credibility amongst the public.  We have earned that problem & overcoming it requires honesty & patience. We live in a wold of FAST movement & are now expierencing it in Real Estate. It is like some one turned the lights on & we were temporarily blinded by the light.

Posted by Jimmy Faulkner, The Best Of St. Augustine (Florida. Homes Realty & Mortgage) about 5 years ago

Jimmy, The problem is that in my area, agents and people move slowly so when you get someone fast, like me, we try to grab the opportunities out from the slower people, but many times, the slow buyer with a fast agent makes a buyer feel rushed and pressured...

Posted by Donna Harris, Realtor,Mediator,Ombudsman,Property Tax Arbitrator (Donna Homes, powered by JPAR - TexasRealEstateMediationServices.com) about 5 years ago

Hang in there, Donna.  It HAS to get better... soon!

Posted by Diane Beaumont, USDA,FHA,Jumbo,VA Woodland Park, CO Mortgage (Benchmark Mortgage) about 5 years ago

Is that child pulling himself up a white fuzzy cliff?  Superman style?  :)

Posted by Brad MacKenzie, Turning Houses into Homes on the South Shore (Brad MacKenzie) about 5 years ago

Diane, I sure hope so. A house my buyers like was just listed today, and they can't view it until tomorrow, and there were already 6 showings and a potential offer today...

Brad, LOL! He is actually in between smiles. He's my now 2 year old when he was 4 months old.

Posted by Donna Harris, Realtor,Mediator,Ombudsman,Property Tax Arbitrator (Donna Homes, powered by JPAR - TexasRealEstateMediationServices.com) about 5 years ago

And sometimes they stop fighting the battle entirely!  Cute photo and spot on assessment.  Keep fighting the good fight Donna!

Posted by Jan Green, HomeSmart Elite Group, REALTORĀ®, EcoBroker, GREEN (Value Added Service, 602-620-2699) about 5 years ago

Donna

The Austin Texas real estate sounds very challenging right how and the buyers have jump on the listings.

Good luck and success.

Lou Ludwig

Posted by Lou Ludwig, Designations Earned CRB, CRS, CIPS, GRI, SRES, TRC (Ludwig & Associates) about 5 years ago

Donna, it's also not all a bed of roses for the listing agents.  When dozens of offers come in way above the asking price come in, the seller thinks you're an idiot who underpriced their house!  Then the winners of the bidding war wake up three days later and want to move to France if they have to to get out of the deal.  So all markets have unique challenges.

Posted by Patricia Kennedy, Home in the Capital (RLAH Real Estate) about 5 years ago

It's difficult to try and get that point across without sounding "salesy". And when they don't listen they lose.

Posted by Joel Weihe, Helping you to use your VA home loan benefits (Realty World Alliance) about 5 years ago

I can see and know how frustrating it can be.  Yes...the little fellow shows his frustration too. I love that picture..

Posted by Ginger Harper, Your Southport~Oak Island Agent~Brunswick County! (Coldwell Banker Sea Coast Advantage) about 5 years ago

Donna this change in the market feels like it happened very quickly.  I hope it won't be too long before buyers realize this shift has taken place.  Buyers need to be prepared.

Posted by Joan Whitebook, Consumer Focused Real Estate Services (BHG The Masiello Group) about 5 years ago

Inventory is down in the Atlanta market too and it has presented some disappointment for buyers that don't  get the winning bid.

Posted by Kathy Sheehan, Senior Loan Officer (Bay Equity, LLC 770-634-4021) about 5 years ago

I think we all feel your pain, so you are not alone. On the other side of the coin, we've got sellers who don't want to take an offer because they are so certain if they just wait a little bit they will get more money. Greed. Confusion. Chaos. You just keep on keeping on, focus on the tasks on hand and kick to the curb anything that gets in the way of closing.

Posted by Elizabeth Weintraub Sacramento Real Estate Agent, Top 1% of Lyon Agents, Put 40 years of experience to work for you (Lyon Real Estate) about 5 years ago

Donna: I FEEL YOUR PAIN! The Bay Area has just been on fire for the last year and it has only gotten worse. I have been thankful for great clients over the last year but the amount of time to get someone into contract, for the right house and close on time has me pulling my hair out! Best of Luck!!!

Posted by Doug Anderson, Bay Area Real Estate Views (Tucker Associates Real Estate Services) about 5 years ago

Well, on the plus side . . . this too shall pass.  Real estate cycles and right now we're on the spin cycle.  Pretty soon, when we stablize, there will be more inventory.  I hear you loud and clear on doing the amount of work . . . to get something to stick is a lot of work.

Posted by Carla Muss-Jacobs, RETIRED (RETIRED / State License is Inactive) about 5 years ago

Donna

There are major challenges all around, and with things having shifted quickly many have not made the adjustment and don't understand the reality of what the shift really means. Even if you tell them they have to experience it first hand. There is frustration all around.

That said, the good news is that demand is up, prices are doing well, and homes are selling. I sent a relocating new buyer 10 homes not too long ago and ALL are now gone barely a week later. Those trying to move from out of the area are at a REAL disadvantage.

Jeff

Posted by Jeff Dowler, CRS, The Southern California Relocation Dude - Carlsbad (Solutions Real Estate ) about 5 years ago

Donna, breathe deeply; in...out...in...out. Yes that's very frustrating and lots of work that doesn't pay off.  But just remember, if it was easy anyone could do it.

Posted by Lloyd Binen, Silicon Valley Realtor since 1976; 408-373-4411 (Certified Realty Services) about 5 years ago

Donna, we are experiencing the exact same situation here.  It certainly can be very, very frustrating.  Deep breath and hang in there.

Posted by Paula McDonald, Magnolia Realty ~ Granbury, TX 936-203-0279 (Magnolia Realty ~ Granbury) about 5 years ago

I feel your pain.  Best of luck with the next opportunity for your buyers!

Posted by Jason Watton, Realtor - Scottsdale Arizona Homes for Sale (Realty One Group of Scottsdale, AZ) about 5 years ago

Yes, Houston is experiencing the same thing.  Of the 8 houses I was going to show this morning, 4 are pending sale and 2 won't let their homes be shown because it's Easter.  Buyer is freaked.  Prices are going through the roof.  And I am tired.  Yes, we will work harder for our pennies this year.  It's a full contact sport!!

Posted by Jeanne Gregory, The most important home I sell is YOURS! (RE/MAX Southwest) about 5 years ago

Donna...

Yeppers, that's exactly what's happening here in Newnan GA. Frustration abounds and buyers are getting fed up!

Posted by Richard Weisser, Richard Weisser Retired Real Estate Professional (Richard Weisser Realty) about 5 years ago

"Yes, it's great that it's busy, but I've continued to be busy over the years when others weren't, and right now, I'm just frustrated..."

 

That's one of the best statements I've read in a long time.  I'm with you Donna.  It's the same thing here.  Our sellers are loving it.  Our buyers...  not quite as much.  

Posted by Amanda Christiansen, Christiansen Group Realty (Christiansen Group Realty (260)704-0843) about 5 years ago

Jan, Yes, some just decide to renew their leases and never buy.

Lou, It is very challenging.

Pat, Appraisals have become issues because they're not catching up to the market.

Joel, Exactly!

Ginger, Thanks!

Joan, It happened quickly, but it happened a year ago. Not sure when they'll completely wake up.

Kathy, Lots of disappointment, I'm sure...

 

Posted by Donna Harris, Realtor,Mediator,Ombudsman,Property Tax Arbitrator (Donna Homes, powered by JPAR - TexasRealEstateMediationServices.com) about 5 years ago

Elizabeth, And some wait and wait...

Doug, Great that the Bay area rebounded.

Carla, Last time, the spin cycle just stopped instead of slowing down.

Jeff, I know! They have to plan their trip and not know what will be on the market.

Lloyd, True...

Paula, Thanks!

Jason, Thanks!

Jeanne, If a buyer wants to look on Easter, those sellers better let them in. I have three sets of buyers in town this weekend!

Richard, I hear ya.

Jared, Thanks!

Posted by Donna Harris, Realtor,Mediator,Ombudsman,Property Tax Arbitrator (Donna Homes, powered by JPAR - TexasRealEstateMediationServices.com) about 5 years ago

It is part of wearing the "R". If you dominate the market with the major chunk of property listings, realistically priced the frustration disappears. Because bang bang bang you list, sell your own listings. There is not one got away because you sold that one. And have plenty of back up ammo for others pretty darn close to it, like it in the same price range, feature sheet. List more, sell more and the emotions wasted on frustration turns the ends of your mouth to a big can not help from grinning 1000 watt smile of joy. And all those round trips to the real estate closings. One after another.

Posted by Andrew Mooers | 207.532.6573, Northern Maine Real Estate-Aroostook County Broker (MOOERS REALTY) about 5 years ago
Donna, sounds very frustrating but it's a good problems to have for the real estate business and for the sellers. If we can get our buyers to adjust to the current market condition, then things should be good :)
Posted by Wika Hutchinson, Broker, CRIS, SFR, CDPE about 5 years ago

Sometimes a buyer has to lose a house or two before he learns to trust this good advice.

Posted by Erica Ramus, MRE, Schuylkill County PA Real Estate (Erica Ramus - Ramus Realty Group - Pottsville, PA ) about 5 years ago

Andrew, No one dominates listings in my market. There are more than 9000 agents for less than 5000 current listings. I understand your point, but doesn't happen here.

Wika, It's the adjustment that takes time.

Erica, Or three or 10...

Posted by Donna Harris, Realtor,Mediator,Ombudsman,Property Tax Arbitrator (Donna Homes, powered by JPAR - TexasRealEstateMediationServices.com) about 5 years ago

I love your comments!  I was beginning to think I was the only one… Is it me? Am I doing something wrong?

I have cash buyers relocating to this market, who have missed the market because they decided to rent first, shop around and decide on a neighborhood, only to find out the inventory is shrinking, the prices have gone up and for those customers needing to finance -- realizing that interests rates are creeping up as well.  

As a Realtor you take pride on keeping your clients informed, after all, aren’t we the professionals? Isn't that why they hired you? Now the buyer is frustrated and rightly so-I feel their frustration and I do my best to stay positive---it is exhausting.  I want to say to them, do you think I enjoy showing 50 homes, spending hours and days with you, burning the pavement?  By the time we have gone through all your above mentioned experiences and the buyer is now educated, believes me instead of assuming I’m giving them a sales pitch; my expenses have outweighed my income!  

 

Ughh--- that felt good I needed to vent... now I can, start my "property tours" once more with just a “little” grinding of my teeth! 

Posted by Brigitte Thompson almost 5 years ago

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