Not everyone is ecstatic about the shift that just happened in the Middle TN real estate market.
In the past 12-18 months, We shifted from too many houses on the market and not enough Buyers – To virtually NO houses on the market and many (VERY Frustrated) Buyers.
Just as Nashville’s streets are now experiencing GRIDLOCK because of not enough “Real Estate” (Lanes for travel) and too many cars, the real estate market also now has that same GRIDLOCK feeling.
This is a very enigmatic shift that plays out like this:
- Home owners are aware that the value of their homes have INCREASED, thus they can now sell their current home for more than they could even think about selling any time in the past 7 years. For many (who have been trapped), this means they can sell without having bring $ to the closing table.
- If these Home Owners would list their houses for sale. the GRIDLOCK would loosen a tad as more inventory flows into the market (Would be akin to Nashville building wider roads – More lanes)
- These same homeowners are scared to death about selling their houses because if they sell, where will they live? After all, when they look at the market of available houses, there’s not anything palatable.
- Most Buyers are finding themselves in competitive “Bidding Skirmishes” for properties with no certainty of getting that house they love even with a full price, clean offer.
- This scarcity is emboldening many Sellers to list their houses at unfounded prices and skimping in terms of “conditioning” their houses right for the market.
- This may leave Buyers with remorse over having to more money for less house thereby setting up a tumultuous “Contract to to close” experience.
- REALTORS frequently find themselves having to deliver bad news: “The Seller rejected your offer” . . . “The Seller accepted another offer” . . . and sometimes have to give this news to the same buyer multiple times before actually winning a property.
- Appraisers then have to reckon with stratospheric selling prices that are difficult to justify . . . unless there’s some sort of “Market Condition Premium” possible.
THIS is where we are NOW!
The market has shifted – The pendulum has done its swinging to the other extreme.
Of course, we all know that everything is always moving, and this market will continue to shift.
So here’s the BIG question:
“What can WE do to nurture a shift towards a more healthy market with 3-5 months of Listing Inventory?”
How can we break this GRIDLOCK?
We’ve gotta stop doing the same things expecting different results.
It’s time to REALLY think outside of the box.
Let’s do something RADICAL.
Sure, we might fail a couple of times, but we’ve gotta stay with it til we shift the market momentum and unleash the inventory needed to feed the demand.
Back to the Traffic GRIDLOCK analogy:
I wrote an “Open Letter” to the next Mayor of Nashville about this here: Barry’s Gridlock Fix for Nashville in which I put forth a half-baked plan for improving our current Mass Transit system beginning with effective BRT and morphing that over time to Rail.
We can all sit around and gripe about it, or we can choose to be BOLD in our thinking and ACTION.
Tuesday March 10 @ 11-1, I hereby invite anyone who cares about this to join our conversation.
Connect with me for details.
Whoever shows up will be the right people to imagine some fabulously creative “immediate Action” things we can all do to spool this market up to a more healthy rhythm.
Don’t miss this session because our solution is going to break the GRIDLOCK and reveal the coveted pot of gold.
Will you be there?
I hope so . . .