I'm doing the same thing unfortunately. I'm watching 4 direct neighbors chase the market down.
Two (with the largest townhomes in the complex – 3 bd, 3 ba, 1,500 sq ft) have been trying to sell since spring. They are direct neighbors to eachother (share a wall) and are now in a price dropping war of sorts. Both started in the $450k range. One dropped to $425 after 3 months. The other held (it's a bit nicer). Then the $425k dropped to $395 (bottom of a "value range" of $395 – $415, ummmm… ok) Still no sale 6 months later (guess nobody saw the "value"). The neighbor (nicer place) finally dropped to $435k and now with a magic marker on the flyers (even the flyers won't sell) $425k. They obviously believe their granite counters are worth $30k more than the tile ones in their neighbor's place.
We then had two new places go up in the last month. One is a 3 bd, 2.5 ba with approx 1350 sq ft. They want $395 too. I guess they aren't watching their neighbors. View of the pool, but that's about it.
4th seller is a 2 bd 2.5 ba. It’s the exact same place I'm renting for $1,550/mo (yes, I think even that’s too much when you can get a full house for about the same in this area). He’s trying to sell for $360 – $380. Getting there, but probably needs to be in the $325k range for a quick sale (at least below $350k to catch more people looking “up to $350k”).
First month on the MLS and they've had a few lookers, but no one even close to making an offer. I've been there nearly 7 months now and nobody has sold a unit. One person even took his off the market and rented it out. That was back in April.
This is in Mira Mesa, by the way. Across from a brand new condo conversion which is also seeing vertually zero sales over the past 7 months. I expect to see the "Rent Now" signs replacing the "For Sale" signs over there very soon.
