We treat it almost casually: “40k below an offer they turned down a few months ago.”
I would say that the importance of this “loss” for the particular seller is related to how much they came out with, when all things are taken into account. If these particular owners bought the house for 400K a few years back and then sold for 760 and not 800K, then they didn’t “lose” money, then simply didn’t make as much as they could have.
In that situation, they have no less actual money than at any point in time. They *could* have made more, but that’s not the same as making a loss.
If, however, they bought the house for 700K last year, then they could very well have lost money on it! Buying a stock for $10, neglecting to sell at $20, then finally selling at $15 is a $5 per share *gain*.
I still agree that the numbers are big and are not to be taken lightly..
