[quote=sdrealtor]What hit me was that the Internet brings a greater share of the demand to the forefront immediately after a home is listed. When a good property is listed at a fair price it gets slammed with interest and offers immediately. The price can get driven up a little because of the frenzy.[/quote]
I’m sure that you can find people who over bid due to the frenzy of an auction, but the basic supply vs demand equation doesn’t change due to this. For every house you find that sold quickly at an escalated price, there’s another one that languished and ended up being “stale” on the mls, and sold for a lower than expected price.
[quote=sdrealtor]Before the Internet the only frenzy was at new tracts with buyers camping out. It just seems to me that the benefits of the Internet to the seller could be are as strong or stronger than they are for buyers.[/quote]
What I’m missing from your argument is any supporting evidence, or even a credible theory as to why supply or demand would change due to the internet. Without a change in supply or demand I don’t see justification for arguing that the internet has caused price changes.
The internet definitely has caused changes in how we shop or sell, but I don’t see that as changing supply vs demand. Can you put forward an argument detailing how and why supply or demand has changed due to the internet in a meaningful way? (Other than the argument that people get caught up in the frenzy of a bidding situation)
