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Now the interesting thing is a new survey came out, which apparently is also going to be a quarterly survey, released by the Urban Land Institute. They had 38 economists and experts come together did the same thing mashed all their answers together. Now they have a slightly different feel of where price is going to be.  They just think they’re going to be flat in 2012, not go down .72 percent, but that’s pretty close. In 2013 they think that price is going to go up two percent not the 1.39 the other experts thought. And in 2014 they think it’s going to go up about one percent more than what the other experts think. But the important thing here, the thing that we have to understand here, is everyone’s projecting this year price is going to remain flat. We can’t let prices go crazy because then the only houses that will sell are the distressed properties. We have to get the non-distressed properties priced correctly.  ~ Thank KCM Crew

I often say I don’t want you to sell any house for a dollar less than what it’s worth. But what we can’t do is keep on hoping it’s going to sell for $30,000.00 more than it’s worth. We have to get them priced right because we have two different things going here. We have to sell every house twice. We can tease the homeowner on that. We have to sell your house twice but the good news is I’m only going to charge you one commission. The first person we have to sell the house to, very obviously, is the buyer. The second person that we have to sell the house to is the bank when the appraiser comes out. And on the last post you can see even though it ticked down a bit in February the number of contract contract failures and most of them according to NAR occurred because mortgage applications or failures in loan underwriting from appraised values coming in below the negotiated price. So when we’re trying to sell to the bank, there are an awful lot of deals that don’t get through the bank or don’t get the bank the bank I should say because the appraisal didn’t come in right.  We have to price properties correctly right now and help those people move on with their lives. We have to let them understand that as these distressed properties come to market, it’s going to prevent them from jumping up in price. And even if they do find a buyer that might pay more than the house is worth, they have to then go through the appraisal process and prove to the bank that somebody should pay more than what it’s worth. Those are key issues right now, really key issues. We have to be on top of that. Demand is increasing dramatically. That doesn’t mean prices are going up. We have to clear through the inventory that exists out there right now before we can say yes it’s going to have a positive impact on pricing.  Let’s take a look exactly what experts say. The Home Price Expectation Survey  came out a couple weeks ago. This is what the 104 leading experts in the country believe. They surveyed 104, mashed their answers together, and this is where they think pricing is going. This year they think that as a nation it’s going to fall about one percent; pretty much flat. You can see where they’re projecting from 2013, 2014, 2015, and 2016. There’s 104 of the leading experts in the country were surveyed and all of their answers were meshed together. That’s what they came up with. ~ Thanks KCM Crew