5.25.2006

For Sale By Owner

Econo-Girl has seen so many For Sale By Owner signs she is positively dizzy. It's not something she has seen before. But with interest rates causing mortgage payments to rise, perhaps housing is getting a little too dear for some people. For a lot of people, as a matter of fact.

Of course, selling the home yourself means that you aren't shelling out 6% to a realtor. And if you would take a loss if you gave up 6%, you would be selling the place yourself.

The question is: how much downward pressure will this reality put on housing prices?

3 comments:

Daniel said...

I think that the downward pressure will vary. I know that the outer "exaburbs" are really feeling the pinch right now. The ones right near the Metro, well thats another matter. With gas prices where it is that will probably allow those to remain somewhat static.

The Lazy Iguana said...

Not enough. I still could not afford to buy real estate in Miami.

Dmitriy Kropivnitskiy said...

I don't see the logic, 6% of even a completely crappy house is a lot of money. If the process of selling the house by yourself is streamlined enough, why would you want to pay someone 6%? Mind you that I actually work for forsalebyowner.com, but this opinion is my own :)