Unrepresented Buyer: Epilogue

Blog by Arnold Shuchat | August 13th, 2014

I was thrilled in February 2011 when a house on my street in Richmond sold for $1.3 Mill to an unrepresented buyer.  I figured that the listing.... and selling Realtor had just done me a huge favour!foreclosure Jaskow house.jpg

Readers recall that in May of 2013 on this blog I highlighted the difference between these two houses.... little if any, in terms of their pricing. Here is what I wrote: "The pictures were posted in early 2013 are of 2 houses on the same block but across the street from each other. The burgundy doored one sold at a market high in Feb 2011 to an unrepresented buyer. As predicted in my earlier posts, there was a strong possibility that this house would be "under" water prior to expiration of the mortgage term in 2016.

Well, lo and behold it is now subject to a court ordered sale at $1,158,000! The house on the left was listed in February of 2011 at $998k and sold for $1.3 Mill within 13 days. The one on the right is only 133 sq. ft smaller (1 bedroom) with more upgrades and was listed Feb 15, 2013 for $988k. It is across the street only 2 doors away and on a corner. There is a $55,000 larger assessment for tax purposes on the one on the left at $1,036,000."

Well, fast forward to today, and the one on the left is still for sale under Court Order, only the price is now only $998k! It is unfortunate when home buyers think that because they are savy in their own business, that they understand real estate forces in play on particular pieces of property. This family by not engaging a Realtor to act on their behalf stands likely to lose just about all of their equity in the home. There is still work to be done on this deal and I would happily coach an interested buyer to possibly work some magic here. As you can see, it sometimes takes a lot of patience....here, more than a year!