I’ll skip the Lowball! opening paragraphs. This special edition of Lowball! is for all the readers that inquired about specific towns in Northern NJ.
Edison – 9 Sales from 11/1-11/21
MLS# 2101741 – Waterford
Asking Price $282,500
Selling Price $277,000 (2% Lowball)
MLS# 2103902 – Clive
Asking Price $649,900
Selling Price $625,500 (3.8% Lowball)
MLS# 2057516 – New Dover
Asking Price $684,900
Selling Price $600,000 (12.4% Lowball)
Piscataway – 12 Sales from 11/1-11/21
MLS# 2100382 – Jesse
Asking Price $304,900
Selling Price $285,000 (6.5% Lowball)
MLS# 2106439 – Barclay
Asking Price $399,500
Selling Price $370,000 (7.4% Lowball)
MLS# 2099274 – Burgess
Asking Price $434,900
Selling Price $395,000 (9.2% Lowball)
Elizabeth – 14 Sales from 11/1-11/21
MLS# 2101893 – Jaques
AskingPrice $175,000
Selling Price $168,500 (3.7% Lowball)
MLS# 2211392 – Kipling
Asking Price $389,000
Selling Price $330,000 (15.2% Lowball)
MLS# 2091908 – Wyoming
Asking Price $439,000
Selling Price $430,000 (2.1% Lowball)
Morristown – 9 Sales from 11/1 – 11/21
MLS#2086992 – Village
Asking Price $375,000
Selling Price $359,000 (4.3% Lowball)
MLS# 2099104 – Ridgedale
Asking Price $414,900
Selling Price $400,000 (3.6% Lowball)
MLS# 2064289 – South
Asking Price $419,500 (Originally $449,000)
Selling Price $325,000 (22.5% Lowball)
Summit – 19 Sales from 11/1-11/21
MLS# 2100316 – Glenside
Asking Price $439,000
Selling Price $430,000 (2.1% Lowball)
MLS# 2105817 – Michigan
Asking Price $590,000
Selling Price $570,000 (3.4% Lowball)
MLS#2081596 – Linden
Asking Price $799,900 (Originally $819,000)
Selling Price $765,000 (4.4% Lowball, 6.6% Off Original)
Caveat Emptor!
Grim
Thank you. This is very helpful.
Thank you very much.
Glenside in Summit is the road that leads off Route 78, IIRC. Probably why its cheap.
I saw the Linden Place house. It was pretty small and had only 1 garage. Even at the reduced price, even in today’s market, its still overpriced.
Summit is so overpriced. I saw a few 40 year young small (
Again I want to believe it is happening, are these really low ball or just normal buyers banter ??
The behavior I’m seeing with lowballing is a relatively recent phenomenon. Sure, there are always a certain amount of these going on, but nothing like recently, especially when you consider the percentages we’re seeing.
grim
Are these sales that were completed in this time period, meaning these people started lowballing maybe a month or two ago? Or are these just accepted offers?
These are sales closed in that time period, so there is a bit of a lag involved. The lag is likely on the order of weeks, not months.
grim
Just to give everyone an update on what I’m working on:
* NNJBubble Price Reduction Index – I’m trying to develop, gather data for, and produce a Price Reduction Index to illustrate the change in price reductions over the past year.
* HowTo Research Tax Records – A tutorial and walk through of the local tax record databases and how to research past home sales prices and dates.
-grim
Thanks. I guess that’s good news -it means that people started lowballing a few weeks before I thought they had.
It doesn’t always work. It really depends on the property. If it’s a good property (good street location, interior, view, what have you), units are still selling at or sometimes even above the listing price.
So don’t let lowballing necessarily fool you. Whether or not it becomes a growing phenomenon remains to be seen.
James — my impression was that the time between offer (attorney review, inspection etc.) and the time the sale ended up in the database was normally 2months or so. There are some exceptions — if someone is such an idiot as to buy without inspection, or if someone has enough cash to pay without a bank inspection, but normally 2 months looks OK.
The key point is whether the listing price is reasonable. Some people are sticking on whatever price they can think of, hoping for a fool who would but it. And sometimes they do find that fool. Quite often not.
I have seen a pretty large build up of inventory in some towns I’m looking at.
James — my impression was that the time between offer (attorney review, inspection etc.) and the time the sale ended up in the database was normally 2months or so. There are some exceptions — if someone is such an idiot as to buy without inspection, or if someone has enough cash to pay without a bank inspection, but normally 2 months looks OK.
The key point is whether the listing price is reasonable. Some people are sticking on whatever price they can think of, hoping for a fool who would but it. And sometimes they do find that fool. Quite often not.
I have seen a pretty large build up of inventory in some towns I’m looking at.
Anyone buying at these prices will lose lots of money in next 1-5 years.
Who are the idiots buying?
Okay the price is up 100% in last 5 years so these morons paid 95%higher than year 2000 prices.
THINK!
Do you have any information on what’s going on in Sussex County.
thanks for that info..very interesting…fyi..that morristown one w/ the 22% drop..MLS should read 2064287 not 2064289…and that is a huge drop from orig listing!.but that 863 maint fee and 210 days on the market probably had something to do with it..ha..
On one of the comments here I read the word “morons” regarding anyone who purchased a home from 2000 till today…I cannot agree more. Anyone who sits tight and accumulates cash right now will probably be able to make the buys of a lifetime within 4 years or so. The term homeowner is comical as well…how many people really do OWN their homes? Most are glorified renters except the bank is the landlord and the “homeowners” are personally subject to market price risk and corrupt local gov’ts who are reassessing them at unsustainible values…at the end of the day, the flow of funds going away from these “morons”, is unprecedented!
PS: Not bragging but I am a self made guy with a real net worth, take that to mean whatever you like and literally chuckle myself silly over this stuff. Dumb, dumb, dumb.
Dear Grim,
Can you please post sales figures for Iselin, NJ ?
Many thanks in advance.
Sorry for the double posting. Thot might catch your eye better as a response to your latest !!
The next time I post up a Lowball! or Price Reduced! I’ll include some Iselin data for you.
grim
Thank you Grim for all your hard work! This site is amazing and I’m glad I found it as my husband and I are now looking in NNJ as opposed to Westchester, NY. A realtor yesterday showed us homes in NNJ. The accountant for the agency told us that100% financing was a better way for us to go instead of 10% down, as the difference was negligible. I decided that a 200$ monthly difference is extremely important to me. Any thoughts?
Thanks for sharing all this information which is very helpful.
I am first time home buyer.Each time I made an offer for a property, the realtor comes back with a reply saying other properties have been sold at a higher price. You need to raise the offer. I need advice on MLS ID#: 609621 Waterford 2Bed 2Bath Condo at Edison — listed for $269,900… What should be a realistic offer in this present market condition?
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