[SD Realtor]

Actually 1stime I see some inventory starting to accumulate. I had posted about it a few weeks ago. IMO there was a pethora of sellers who listed in the past few months with the same delusional pricing goals that we were seeing in the bubble. Pricing well above comps, and well above what an honest appraisal would come in at. Now I am seeing the beginnings of inventory accumulation because those homes did not sell.

Note I am not saying the inventory is good or great, but there are more homes on the market in the zip codes you mentioned then there were last year at this time. Now they are not necessarly priced better then last year. Also yes the good stuff is still going off the shelf quickly.

Hang in there and lets see how things look in July and August.

[SD Realtor]

Actually 1stime I see some inventory starting to accumulate. I had posted about it a few weeks ago. IMO there was a pethora of sellers who listed in the past few months with the same delusional pricing goals that we were seeing in the bubble. Pricing well above comps, and well above what an honest appraisal would come in at. Now I am seeing the beginnings of inventory accumulation because those homes did not sell.

Note I am not saying the inventory is good or great, but there are more homes on the market in the zip codes you mentioned then there were last year at this time. Now they are not necessarly priced better then last year. Also yes the good stuff is still going off the shelf quickly.

Hang in there and lets see how things look in July and August.

[SD Realtor]

Actually 1stime I see some inventory starting to accumulate. I had posted about it a few weeks ago. IMO there was a pethora of sellers who listed in the past few months with the same delusional pricing goals that we were seeing in the bubble. Pricing well above comps, and well above what an honest appraisal would come in at. Now I am seeing the beginnings of inventory accumulation because those homes did not sell.

Note I am not saying the inventory is good or great, but there are more homes on the market in the zip codes you mentioned then there were last year at this time. Now they are not necessarly priced better then last year. Also yes the good stuff is still going off the shelf quickly.

Hang in there and lets see how things look in July and August.

[SD Realtor]

Actually 1stime I see some inventory starting to accumulate. I had posted about it a few weeks ago. IMO there was a pethora of sellers who listed in the past few months with the same delusional pricing goals that we were seeing in the bubble. Pricing well above comps, and well above what an honest appraisal would come in at. Now I am seeing the beginnings of inventory accumulation because those homes did not sell.

Note I am not saying the inventory is good or great, but there are more homes on the market in the zip codes you mentioned then there were last year at this time. Now they are not necessarly priced better then last year. Also yes the good stuff is still going off the shelf quickly.

Hang in there and lets see how things look in July and August.

[SD Realtor]

Yes these sound like spec guys purchasing properties at trustee sale.

One thing though, we may be actually talking about the same thing. You mentioned in your posts contractors and spec guys. I am talking about large organizations who flip homes. In the end though there is very little difference if no difference at all is there? The people I am talking about work for syndications that have many investors and they look to flip homes. Some homes they have to perform alot of rehab and some homes they do not. You are implying that a majority of the regulars are licensed contractors or work for licensed contractors. I do not believe that at all, the regulars we see there work for the larger organizations who do the same thing the contractors do, but on a larger scale. I am sure there are some contractors there though. Why wouldn’t there be?

[SD Realtor]

Yes these sound like spec guys purchasing properties at trustee sale.

One thing though, we may be actually talking about the same thing. You mentioned in your posts contractors and spec guys. I am talking about large organizations who flip homes. In the end though there is very little difference if no difference at all is there? The people I am talking about work for syndications that have many investors and they look to flip homes. Some homes they have to perform alot of rehab and some homes they do not. You are implying that a majority of the regulars are licensed contractors or work for licensed contractors. I do not believe that at all, the regulars we see there work for the larger organizations who do the same thing the contractors do, but on a larger scale. I am sure there are some contractors there though. Why wouldn’t there be?

[SD Realtor]

Yes these sound like spec guys purchasing properties at trustee sale.

One thing though, we may be actually talking about the same thing. You mentioned in your posts contractors and spec guys. I am talking about large organizations who flip homes. In the end though there is very little difference if no difference at all is there? The people I am talking about work for syndications that have many investors and they look to flip homes. Some homes they have to perform alot of rehab and some homes they do not. You are implying that a majority of the regulars are licensed contractors or work for licensed contractors. I do not believe that at all, the regulars we see there work for the larger organizations who do the same thing the contractors do, but on a larger scale. I am sure there are some contractors there though. Why wouldn’t there be?

[SD Realtor]

Yes these sound like spec guys purchasing properties at trustee sale.

One thing though, we may be actually talking about the same thing. You mentioned in your posts contractors and spec guys. I am talking about large organizations who flip homes. In the end though there is very little difference if no difference at all is there? The people I am talking about work for syndications that have many investors and they look to flip homes. Some homes they have to perform alot of rehab and some homes they do not. You are implying that a majority of the regulars are licensed contractors or work for licensed contractors. I do not believe that at all, the regulars we see there work for the larger organizations who do the same thing the contractors do, but on a larger scale. I am sure there are some contractors there though. Why wouldn’t there be?

[SD Realtor]

Yes these sound like spec guys purchasing properties at trustee sale.

One thing though, we may be actually talking about the same thing. You mentioned in your posts contractors and spec guys. I am talking about large organizations who flip homes. In the end though there is very little difference if no difference at all is there? The people I am talking about work for syndications that have many investors and they look to flip homes. Some homes they have to perform alot of rehab and some homes they do not. You are implying that a majority of the regulars are licensed contractors or work for licensed contractors. I do not believe that at all, the regulars we see there work for the larger organizations who do the same thing the contractors do, but on a larger scale. I am sure there are some contractors there though. Why wouldn’t there be?

[SD Realtor]

No no no… I agree entirely with what you said about the research. My only point I was trying to make was your last line in your other post, that you thought many contractors were making the purchases. I had read into your last sentence that you felt people were talking to the office via bluetooth was an implication that these were working for contractors. Yes all of the due diligence you mentioned is absolutely needed. My point was that it is all needed but due to the quantities involved nowadays, that diligence is now performed more or less the day of the auction and sometimes even while the auction is going!

Hope that clarifies.

[SD Realtor]

No no no… I agree entirely with what you said about the research. My only point I was trying to make was your last line in your other post, that you thought many contractors were making the purchases. I had read into your last sentence that you felt people were talking to the office via bluetooth was an implication that these were working for contractors. Yes all of the due diligence you mentioned is absolutely needed. My point was that it is all needed but due to the quantities involved nowadays, that diligence is now performed more or less the day of the auction and sometimes even while the auction is going!

Hope that clarifies.

[SD Realtor]

No no no… I agree entirely with what you said about the research. My only point I was trying to make was your last line in your other post, that you thought many contractors were making the purchases. I had read into your last sentence that you felt people were talking to the office via bluetooth was an implication that these were working for contractors. Yes all of the due diligence you mentioned is absolutely needed. My point was that it is all needed but due to the quantities involved nowadays, that diligence is now performed more or less the day of the auction and sometimes even while the auction is going!

Hope that clarifies.

[SD Realtor]

No no no… I agree entirely with what you said about the research. My only point I was trying to make was your last line in your other post, that you thought many contractors were making the purchases. I had read into your last sentence that you felt people were talking to the office via bluetooth was an implication that these were working for contractors. Yes all of the due diligence you mentioned is absolutely needed. My point was that it is all needed but due to the quantities involved nowadays, that diligence is now performed more or less the day of the auction and sometimes even while the auction is going!

Hope that clarifies.

[SD Realtor]

No no no… I agree entirely with what you said about the research. My only point I was trying to make was your last line in your other post, that you thought many contractors were making the purchases. I had read into your last sentence that you felt people were talking to the office via bluetooth was an implication that these were working for contractors. Yes all of the due diligence you mentioned is absolutely needed. My point was that it is all needed but due to the quantities involved nowadays, that diligence is now performed more or less the day of the auction and sometimes even while the auction is going!

Hope that clarifies.

[SD Realtor]

Bearish I don’t think that your suspicions are correct. You have to look at the numbers. Suppose 300 properties are going to auction tomorrow. Now at least 250 of them are going to get postponed. Now 150 of them you know have already been postponed and another 100 will be but you are not sure which 100 they will be. So you can research 200 properties, comp them all out and know that the majority of your research will be moot, OR you wait until the day of the auction and let the postponements occur and SIGINIFICANTLY reduce the amount of work.

So what happens is that with the larger more well run operations, they will have a runner at the auction, one or two other guys out in the field, then someone at the office. The guy at the office will coordinate, he will talk to the runner at the auction and he will also get the condition of properties from the guys in the field. As properties get postponed his “active” list shrinks to a more manageable number so that he can comp 20-30 properties rather then 150 to see what they will fetch on the market and thus he can then instruct his runner how high to go on the bidding.

This is by far the norm as compared to contractors who are looking to buy a beater to fix and flip.

In fact I stopped going awhile ago as I am on the computer instructing our runner when she is at the auction rather then going. It is much easier and I can be much more productive comping the properties that day rather then comping a hundred properties the night before. You see what I am saying?

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