I didn't participate in the poll.

Is there an option for the buyer who simply doesn't engage with a seller who is asking more than the buyer is prepared to pay?

That a "negotiation" never starts because it is deemed pointless?

That the open house and other sales efforts don't yield any/many qualified/serious buyers?

Just wonderin'... ;)

Doesn't the "No, I look for homes that I think are fairly priced to begin with" option cover that, MrRational?

I'm a renter looking to buy. I was convinced that home prices would continue to drop this year and in to next year and decided to hold off buying. Wouldn't you know it, a great home with a close to reasonable price came on the market. In spite of my previous decision to wait, I put in what I thought was a fair offer on the home only to be outbid by someone offering more than listing price.

While I said "yes" to answer this poll (as did half of voters), seeing the growing number of "Under Contracts" makes me wonder if asking prices are indeed too high. People are buying these homes right? Granted, I can't know what the contract price is until the home actually closes, but the point is that it looks like the market is moving. Am I missing the boat? I'd be interested to hear what other buyers on the sidelines are thinking and seeing out there.

Kevin,

You'll shake this one off. you'll no doubt hear the canned cliche about how every house is different, and each neighborhood is different, but the trend data and 3rd party valuations available are still rather helpful in guiding you to your ideal offering price.

Good houses that are reasonably priced are still selling, and in my own experience, they are going under contract quickly exactly because of the fact that buyers are competing against each other for the good buys when they do come up.

A few things might have happened. The seller might have wanted to sell promptly so they could get on with things (and take advantage of market conditions to get into their own-trade-up house at a great price) instead of having the house sit for 180 days or more wonder when or whether the market would rebound.

Good for you for bidding on it though, While you're wondering if the market is better shape than is being reported, you also have to wonder whether the folks that did land the contract are now having second thoughts about bidding too high. Who knows? They may have gone in with an above-listing offer but plan on negotiating down on inspection or on the closing costs.

My wife and I jumped at a right-priced house, made a full offer, less a substantial sum in closing cost contributions, and some other negotiating levers. I think the homeowners are feeling as good as we are about it.