When you’re offering thousands over asking and sometimes sight unseen you may be taking part in a feeding frenzy. I hope at least they’re not surprised.
There were a lot of small houses going on the local market with ridiculous asking prices. People hoping to get lucky, I guess.
These new homeowners who were caught up in the “feeding frenzy” shall soon be caught by a complete surprise, if they have not already been.
I have seen these mushrooming housing builds and busts before, tied to an economic collapse, though never to the levels most recently reached. There is still money to be be made when the cycle falls to its lowest price per housing unit, and an investor buys in. Banks do NOT like to hold real estate, and will auction their real estate holdings off to highest remaining bidders.
If you know what a “silent auction” is, that is where the seller has a price set on a property, then keeps reducing the price by increments. The first bid made aloud is the price, and it is sold at that price.
Always remember, price does not equal value. The unwise bidder may still get stung.
“unexpected costs of homeownership that first-time homebuyers encounter,”
This is the result of your statement regarding buying “AS IS”. You are then on the hook for repairs that can be tens of thousands of dollars.
Not to mention having to become friends with your local hardware store, paint retailer, Home Depot and Lowes. I remember buying things like shovels, garden hoses, wheel barrows when I bought my first house in 1990.
An actress named Sydney Sweeney recently bought a $3 million dollar 3,200 sq.ft home. She paid $305,000 over the asking price.
Search found: Built during the Great Depression and last sold in 1972 for a $85,500 <— wow!
https://www.dirt.com/gallery/entertainers/actors/sydney-sweeney-house-los-angeles-1203450651/sydney1/