The Emotional Undercurrent of Buying and Selling
Inside the real estate bubble of yore, buyers could act as impulsively as they wanted, reports The New York Times: if buyers changed their mind, they could always sell at a profit. But in today’s market, “buying a home is more psychologically demanding, fraught with conflict and confusion.” For buyers, especially those without much capital…
Inside the real estate bubble of yore, buyers could act as impulsively as they wanted, reports The New York Times: if buyers changed their mind, they could always sell at a profit. But in today’s market, “buying a home is more psychologically demanding, fraught with conflict and confusion.” For buyers, especially those without much capital to burn, deciding on a home can be extremely stressful, since it involves a long-term commitment. And for sellers, some of them refuse to sell now, even if it’s a good idea for them, because they don’t want to feel regret or shame at having bought at the height of the bubble. Kathleen Gurney, the chief executive of the Financial Psychology Corporation in Miami, told the Times, People will do anything to not regret how they feel,” including extending their losses so as not to feel stupid. The article also explores the differences in the market and people’s perception of the market. Even if this is a good time for some to buy or some to sell, we are pack animals, and when the pack is afraid of dealing in real estate, so is the individual. As Dr. Gurney said, potential buyers and sellers would rather “be a part of a crowd, even a crowd of losers, than stand out.
In the Grip of Indecision [NY Times]
Photo by LunaDiRimmel
“The ‘Hold On’ part is going to be the saddest this about the Mutant Asset Bubble…”
Hold on…to your baaaaaaaaaaag [Remember Envogue?]
***Bid half off peak comps***
The fiance is definitely an ass. She’s going to sell her place at a loss, move into his rental, then get dumped and thrown out on the street.
The Times seems to be saying “This is what happens when you buy NYC real estate… you lose money and get a crappy boyfriend”.
BTW, looking for a rental apartment right now is depressing as hell too.
Prices are down, but landlords are saving money by not renovating anything between tenants. I can afford more places than I could two years ago, but I just don’t want them. I’m seeing a lot of awful kitchens and bathrooms.
“Tough to pull the trigger either way right now I would guess. That being said, I do have friends who just bought a house here in Clinton Hill so somebody is still buying”.
Wasder as you know people buy for completely different reasons even though the economics is the prevailing concept. Could be that your friends are starting a family or need a tax shelter. We know someone who had to buy because he got tired of paying 50% of his income in taxes living in NYC….even with a depreciating asset the #s work in his favor…single guy making $350K per year.
Yes yes, Tdeezy. Chasing the bottom down.
LOL about hubby. I was thinking the same thing. He’s dead weight.
***Bid half off peak comps***
I figured the “crowd of losers” part would be too much for The What to resist.
I see what you mean BHO, except that what’s she’s putting her house on the market for isn’t a cut and run price. She says similar apts are going for for $400K and still she’s trying to get $559K. So she’s not even following the advice your giving. Sounds like you would say sell it before it drops even lower. Instead she is floating her asking price way above what the market is now, doing this she’ll always be chasing a downward price making her situation even worse. If she does this she’ll never get money out, actually she might end up in a short sale situation even if she did put down $100K.
Really what I’m saying is I think the Times might want to get a better example other then these people and their poor me stories that always seem so shallow. Would it be impossible for her and her fiance to *gasp* share a one bedroom if she can’t sell at the price she wants? Future losses notwithstanding.
Also, her fiance is an ass. “No honey you decide if you should sell or not that way if you make the wrong decision in hindsight it will be all your fault and nothing to do with me.” He doesn’t scream Life Partner to me. More like Throw You Under the Bus partner.
Yeah, it doesn’t mention how much she put down to buy the place for 615.
They could have interviewed me for this article if they had written last summer. I certainly can relate to the agonizing and soul searching that goes into such a decision these days. Tough to pull the trigger either way right now I would guess. That being said, I do have friends who just bought a house here in Clinton Hill so somebody is still buying.
“I don’t understand why an article about buyers who can’t make up their minds dwells on a seller. Anyway, too bad they didn’t interview us.”
Because you’re retarded Mopar…
“She could simply be walking away with less cash (say 100 grand down, 44K gross leftover), Tdeezy. Still a loss but yet a position to start over with (money to use). As implied by the quote in my first post, she’d be stupid to keep the apartment.”
It’s the psychology BHO! The Retards beLIEve gravity doesn’t exist.. The “Hold On” part is going to be the saddest this about the Mutant Asset Bubble…
The What
Someday this war is gonna end..
I don’t understand why an article about buyers who can’t make up their minds dwells on a seller. Anyway, too bad they didn’t interview us.