RadioBDC Logo
Around My Head | Cage the Elephant Listen Live
< Back to front page Text size +

As market turns, home sellers get cocky

Posted by Scott Van Voorhis July 3, 2012 06:29 AM

E-mail this article

Invalid E-mail address
Invalid E-mail address

Sending your article

It wasn't all that long ago that sellers were bemoaning the lack of serious buyers.

But with sales picking up and multiple bids becoming a fact of life now in some of the more coveted towns and neighborhoods inside Route 128, some sellers are starting to feel as if they can call the shots, notes Alex Coon, head of Redfin's Boston market office.

And one big factor bolstering this cockiness, arrogance, or whatever you want to call it, is the red hot rental market.

Sellers, especially in coveted urban neighborhoods in Cambridge and Boston, are threatening to simply pull their home or condo off the market and rent it out if a buyer fails to meet their price expectations.

If the price isn't right, sellers are betting they can make at least as much money renting out their house or condo. Then they can simply put it back on the market in a year or two when buyers may be more willing to ante up.

As a result, buyers now effectively find themselves competing with renters, Coon notes.

"The sellers are saying look, I am not going to play ball, I am just going to rent this place out," Coon said.

And it's not an idle threat - Coon recently recalls renting out an apartment in Boston in 24 hours and having multiple offers to pick from.

Overall, Boston-area asking rents soared 9.3 percent in March compared to the year before, Trulia recently reported.

"Doing a rental here in the city of Boston is not the worst prospect - you get a lot of qualified, good people," Coon said. "It is turning into a real viable option for sellers."

This blog is not written or edited by or the Boston Globe.
The author is solely responsible for the content.

E-mail this article

Invalid E-mail address
Invalid E-mail address

Sending your article

About boston real estate now
Scott Van Voorhis is a freelance writer who specializes in real estate and business issues.

Latest interest rates

RE by the Numbers
South Shore Market Rankings - January 2016
Today we once again check in with towns and neighborhoods South of Boston and rank their real estate markets. As always we are looking at...