The local housing market has slowed up a bit. In the last two weeks, we were able to negotiate lower prices for our buyers on inspection contingent offers. Back a decade or so ago most offers on homes for sale were lower than the asking price. In the last five years, or so buyers who offered less than the asking price rarely got a shot at buying the house. Sellers did not need to negotiate because they had multiple offers or they could even wait a day or two for a higher offer.
Right now there are houses that have been on the market for a while. Some of them had gotten offers but for whatever reason, the buyers backed out. Now is the time to buy those houses and for buyers to negotiate more favorable terms. We are still experiencing a strong seller’s market but it is a little less ridiculous than it was a month or two ago.
Newer real estate agents might not be used to negotiating. That is something I use to my advantage.
We are also seeing more cash buyers and right now in St. Paul people who own single-family houses that they have been renting out are selling due to the stringent rent control laws. Many of these houses will go back to being owner-occupied, which will be an opportunity for some, while at the same time reducing the number of houses for rent which will cause rents to go up.