Last week we had some fun recounting “Stuff that Realtors say,” and the real estate brokerage community enjoyed laughing at itself but has demanded equal time. So we move on to “Stuff that buyers say” and “Stuff that sellers say.”
Among the request for sellers, the most cited quotation is “I’m not going to give it away!” In order to set the stage for this utterance that echoes through the Cumberland Valley numerous times each week, an example should be provided.
The “give it away” shriek comes after receiving an offer – usually the only offer at that point. In most cases, the offer is for tens – if not hundreds – of thousands of dollars more than the owner paid for the property.
For example, a house may have been purchased for $500,000, and the owners invested $100,000 in renovations for a total of $600,000 and put the house on the market for $1.1 million. After languishing on the market for six or seven weeks, the owner receives an offer for $900,000.
The owner then declares that he is “not going to give the house away.” Prior to going into real estate, most real estate agents operated under the impression that giving something away meant the one party would hand over something and not be paid anything in return, hence a gift.
Transferring ownership for several hundred thousand dollars of which a large percentage is profit is not giving anything away. This is called a capital gain in some (all) circles and is taxed by the IRS, and not considered a charitable contribution.
On the seller side, the consensus went with the “I’ll take this ridiculously low offer, but I am not fixing anything following the inspection.”
One Realtor’s client even went so far as to say they would not move “one speck of dust.” It was agreed that most sellers feel the inspection process is a scam designed to rob homeowners of their hard-earned equity.
The best story came from a Realtor who sells mainly in Green Hills and recounted a sale on Glendale Drive many years ago in which the seller repeatedly scolded her for the process and swore that he would not repair one single item cited by the inspector.
She called him from the house during the inspection and informed him that the inspector had made a discovery that he should address immediately. He went in to a rage and reiterated his position on the matter and that there was no way that he would repair anything cited by the inspector.
“I know. I know, but you need to come home and take a look,” she implored.
After releasing a gaggle of words that would make Eddie Murphy blush, he finally relented. “What is this horrible atrocity?”
“The wiring behind your breaker box is smoldering and smoke is filling your house,” she announced.
“I wonder what that inspector did to my breaker box,” he demanded. “It was fine when I left this morning.”
Sale of the Week
Former Mayor Karl Dean once predicted that Antioch would be the next hot real estate market, basing his theory on the Hickory Hollow redevelopment with the Predators ice center, Nashville State’s relocation and decisions by several businesses to expand operations into the area.
Based on the activity at 6361 Mount View Road, he was accurate in his prognostication. In 1997, this property sold for $153,525, for a modest increase in 2007, selling for $159,900. Eight years, later in 2008, the house sold for $178,500, then felt the Recession’s sting by dropping to $169,900 in 2013.
This week, the house sold again for $212,750 after Will Peyton of the Ashton Group Real Estate Group of RE/MAX Elite listed it for $209,990.
Yes, Antioch properties are selling for more than list, and this one for $42,850 over what the owner had paid two years ago.
The public schools carry impressive names, as 6361 Mount View Road is zoned for Thomas A. Edison Elementary School and John F. Kennedy Middle School. It does not get more impressive than that, as most people have no idea who the Eakin of Eakin school fame is nor do many know the story of Julia Green.
But the wizard of Menlo Park and the King of Camelot, those bring some educational clout to the table.
So what does $212,750 get a buyer in zip code 39013? Amanda Dormley of Parks, who represented the buyer in acquiring 2,618 square feet with three bedrooms, two baths and a powder room, and a private backyard with adjacent woodlands.
We should heed the words of former Mayor Dean and “Go east, young man.”
Richard Courtney is a real estate broker with Christianson, Patterson, Courtney, and Associates and can be reached at [email protected].