Expressions barely uttered in the past year or so are making a comeback. Remember “multiple bids”? In conversations with real-estate brokers this past week, these two words have actually been used.
One agent, who works primarily in north Berkeley, reported on a $625,000 Albany home attracting several offers and closing 124% over of its asking price. Another, who covers the Piedmont Avenue neighborhood in Oakland, entertained a handful of committed buyers for a local listing, offered at $699,000, and also closed over asking.
Another Berkeley agent is actively soliciting more inventory — there just aren’t enough good listings to go around, she told me.
What is clear, however, is that most of the homes that are selling relatively swiftly are in the $500,000-$1,000,000 bracket. High-end homes are hurting more. (Unless the property happens to be owned by a pop star — in which case I hear offers are on the table, in spite of the $4.85m sticker price.)
Meanwhile, a reader, and prospective home buyer wants to know what we think of 1530 Campus Drive in the Berkeley hills (pictured above)? A good-looking Mediterranean with views, it listed in July for $1.8m, and is now going for $1,595,000. Is the price right? Anyone have a view?
We sold our home in N.W. Berkeley in February. We had 4 offers and accepted the one that was $65g over asking. I guess we were lucky.
What’s with the focus on asking price? It’s a marketing technique. Better agents price low enough to spur multiple bidders. It’s their job to get the most money for the seller.
If I buy a house that was listed at 1 million for $750,000, did I get a good deal? We don’t know. What we do know is that if the agent had listed the house for $700,000, they likely would have gotten multiple offers over $750,000, since they would not have scared off buyers.
If that $625,000 Albany home closed for “124% over its asking price,” then it sold for $1.4 million. More likely it sold for 24% over, or 124% OF it’s asking price.
Looker: I stand corrected. It should indeed have read 124% of, not over, its asking price. Thanks for the eagle eye.