Working with an estate seller. Property in PA, she lives in Florida.

We have/had a great relationship and I told her I was interested in buying the property cash.

Fast forward to today, June 14, She lists the property with Realtor. Never even discussed with me.

Small SFH nice area, low taxes, busy street, no land, no yard.

Would rent for $1200 max.

I was going to offer $120-150 cash.

I own property across the street.

She Listed it today with Realtor at 183 K.

Ouch. What's up with this market?

I thought the economy was struggling.

Thanks for reading.

Just venting.

I'm not going to overpay just to buy something.

Thoughts ?

I think we as seasoned landlords have an opportunity here.

Just not sure how to execute.

Maybe plan for cleaning crew as NE mentioned ?

Where are these buyer's getting funding?

OO still get funding easily, even tho the rates are higher.

Plus they can sell their current place to make a difference.

Then they can get an inspection report and try to chip away at the listing price as well.

Lots of new places going up around here, Crazy high prices too. Also seeing a trend of more barndominiums going up. Faster and cheaper to get the shell in place. The wife still says no as she sees them as ugly.

She's smart enough to know that she will get her best money by listing with an agent. Good for her.

You were going to offer to offer $120, but you didn't. If you had made that offer quickly enough she might have taken it.

But probably all of us have had people say they intended to buy something from us and then never showed up. Intending to purchase is nothing but empty noise. You have to put your money where your mouth is to show you are not just a dreamer.

When I sold my last one in the hood June 2022 a young buck accepted a 4-500/month NEGATIVE cashflow with just the mortgage (7.5% !!), taxes and insurance. Now realtor dot com shows the place appreciated 62K in 2 years.

Agree !

I think housing prices are going to get more expensive when rates drop in September.

One will be able to afford more.

And what is with these $70-$110 truck prices.

Concur with GKarl approach. Price is just a number, it is the affordability of that number that should rise an eyebrow.

I'm of two minds.

I could sell. My (independently wealthy) brother has been talking to high octane money managers, and one of them told him, "The very wealthy all have something in common: they sold too soon." In other words, they didn't try to hit the peak of the market, so they didn't miss the opportunity to sell completely. At these prices, I could liquidate, put the money in a Fiedlity account paying 5% on cash deposits, and have close to the same income.

On the other hand, why does the dollar even have any value at this point?? The national debt is over $100k per person. When the dollar crashes, that is NOT where I want my wealth to be. Maybe that's why prices are so high. Buy tangible assets with soon-to-be-worthless dollars? With that assumption, RE is still a bargain!

Despite the challenges, I've bought three properties in the last year. Two were from wholesalers and one was at a sheriff's sale. All were in the ballpark of $70K all in, renting for $1150. Not quite hitting the 2% rule, but after rehab they were worth $120K. That's a decent return.