You are correct. I did indeed try to sell my home in late 05 but the slide had already happened and given the equity I have in it and the rent I am receiving, it is a good deal to hold onto it. Also my decision not to sell was made with the knowledge that it will be a long term decision, (at least several years) whereas many people fell off the market only to come back on with hopes for a change in the overall conditions. As you see I have not reentered the market.
As you AND I know, sellers with decent equity are probably going to be the last people to lower thier prices or they simply come off of the market. Still though I am puzzled by the duration of some of the short sales, REO, and foreclosure listings. Doesn’t that puzzle you as well? I guess you could say I am effectively paying todays prices but I am renting right now so I am not sure if I agree with you. I don’t think I am effectively paying todays prices until I buy a home.
So given the 15-16k resale homes/condos on the market today, do you think the bulk of sellers are like me, high equity in the home, give it a shot, and if it doesn’t sell pull it off? I guess this could be true and will keep the market at it’s current levels until the profiles of the sellers change to be dominated by more desperate sellers.
AN – you are correct. You said that you and I are not serious buyers. I would say you and I are serious buyers if we get the price we like. Until then, I would categorize us as selective buyers.
