By M.C. Dwyer
Since we’re in the middle of a busy and decidedly sellers’ housing market, I’ll bet “home seller generosity” was the last headline you expected, right? In two recent transactions, however, the sellers have shown a certain generosity, giving entry-level buyers an unbelievable opportunity. I can think of just two other situations in my 16-year career like this.
The first example of home seller generosity is a client that I’ve been helping since the beginning of my career. This is my fifth transaction representing her. This time she is selling an investment property she bought at the bottom of the last real estate cycle. She’s always believed in keeping her tenants happy by fixing houses up, charging below-market rents, giving the tenants a lot of independence to customize the home for themselves, and providing timely maintenance. The tenant approached her when she was first fixing the house up, because they have family living on the same street. The tenants have been great over the years, paying on time, and even improving the home themselves.
A couple of years ago, the tenants asked my client if she would provide them the first right of refusal to buy the home if she ever decided to sell it. She agreed, but the conversation didn’t go any further. This year, the tenants asked if they could buy the home from her. They let her know they had family support for the down payment, had talked to a lender, and been preapproved to buy the home. My seller agreed to sell to her tenant at a substantially below market price, and we opened the escrow last month.
The second example of home seller generosity is happening between two parties who have never even met. Several months ago, two teachers contacted me to help them relocate here. I expected it might be challenging to get their offer accepted because many buyers, especially high-tech buyers, are able to offer significantly over asking price. So I encouraged them to look at homes that cost less than what they could afford. When my buyers found a home they wanted to make an offer on, I discovered the seller was a retired professor. I told the sellers’ agent that both of these buyers are teachers, hoping to help them stand out among the nearly dozen offers on the table. My goal was to at least get them into the top few who got a counter offer. To our delight, the seller chose my buyers even though there was a higher offer. The buyers were so grateful, they were happy to let the seller stay in the home for an extended time.
On The Home Front
When we got fire department approval of the private road my husband’s property is on, as well as his long private driveway, we were thrilled that we could move forward with the building process. But, when he contacted the architectural / engineering firm to ask them to move forward (meaning he was willing to spend more money on the house plans after he’d passed that huge milestone), they told us they’re now running three months behind schedule. That delay alone adds $9,000 to his hard costs, because the mortgage payments start to be due again starting in September.
M.C. (MaryCatherine) Dwyer, MBA, REALTOR® , CA DRE License 01468388, EXP Realty of California, Inc. mcdwyer.com
The statements and opinions contained in this article are solely those of the individual author and do not necessarily reflect the positions or opinions of eXp Realty, LLC, or its subsidiaries or affiliates (the “Company”). The Company does not assume any responsibility for, nor does it warrant the accuracy, completeness or quality of the information provided.
Photo contributed by M.C. Dwyer
Featured photo: Quintessential Boulder Creek Cabin, asking price $519,000 | Photo by MC Dwyer