Mastering the Vegas Hustle: Trends, Emotions, and Strategies in Las Vegas Real Estate

Time flies when you're analyzing the dynamism of Las Vegas real estate, and this episode is your time machine to understanding today's market landscape. We kick things off with a humorous take on how the year is already sprinting by us, then pivot to a serious analysis of the stability in the single-family home inventory and the developmental hustle of builders. Feel the pulse of the city's real estate as we examine the diminishing land supplies and their ripple effects on nearby areas. Boulder City's metamorphosis from a budget-friendly haven to a hotbed of coveted properties, and the luxury flip trend redefining the charm of older homes, are just a snippet of what's on the table.

The narrative gets personal as I recount the tale of a Californian client navigating the labyrinth of HOAs near the Vegas Strip, with all its surprises and financial pitfalls. Ever felt the tension of a real estate deal charged with emotions? We dissect the art of handling offers, the strategic missteps in negotiations, and the paramount role of clear communication in clinching successful real estate transactions. From the emotional rollercoaster of buyers and sellers to the professional maneuvers of realtors in the face of lowball offers, this episode is a masterclass in the fine dance of Las Vegas real estate deals. Join us, and let's lift the curtain on the strategies that define the wins and woes of buying and selling in the city that never sleeps.

Transcript

Speaker 1: 0:15

Good morning Vegas. Thank you for joining us here back on Vegas Realty Check local Las Vegas Real Estate News and I'm Trish Williams and I'm. Tiana Carroll. Yes, thank you guys for coming back today.

Speaker 2: 0:25

We're in what week are we? Third week, well, I can all the weeks of February the 22nd. We are the 22nd of February 2024.

Speaker 1: 0:34

So January felt like it was like creeping and took like forever, but like longest month ever. February feels like it's like just zooming by I don't know what's going on in my world, but like that's just how things are happening right now and like it's already almost the end.

Speaker 2: 0:47

I thought both both months zoomed by for me anyway. Yeah, but I saw a meme the other day and I was laughing. It's like why was January in slow motion and February wants to go 85 miles an hour?

Speaker 1: 1:00

Oh my gosh, so it's not just me. Thank you, thank you, meme.

Speaker 2: 1:03

That meme was made for you who do yeah, but no, all of it seems fast for me, I mean, even if I'm looking back, like November, december, january. I don't like this whole adulting thing because it seems to go fast forward. Each and every year gets quicker and quicker.

Speaker 1: 1:20

Yeah, yeah, like is that happening in the world, or is it like our age that's making it happen? Which? We're still very young, very young so young, barely legal to be here, that's right, that's it, that's it, yeah yeah, exactly, we all wish but that's all about real estate.

Speaker 2: 1:41

No, not real estate, okay, but it is a real estate show. Yes, we do in our format. Every month, every week we're here every Thursday morning and every week we start off by doing our numbers in our inventory, so that way you and the viewers have an idea of what our supply and demand looks like. It's always great market indicators.

Speaker 1: 2:03

Yes, it is, and so single family residents is looking at 33.69.

Speaker 2: 2:09

Yep 33.69. We're just playing right there.

Speaker 1: 2:11

Yeah, number has not changed much. There was like a builder synopsis that happened recently, which I didn't attend, but I did get the kind of rundown from the notes and everything from it. Okay, so builders are building a lot.

Speaker 2: 2:27

Builders are building a lot and if you just drive around the valley you know that.

Speaker 1: 2:31

Yeah, it's obvious. You can see it everywhere, it's everywhere.

Speaker 2: 2:34

It used to be like in rings, like around a tree right, it was always the outskirts of the town and the city sort of built up around these rings in the center of the strip. But now they are picking up like any piece of dirt by an off-ramp for apartments. They are picking up any. I mean you've seen them go for as little as five acres and just doing like little cul-de-sacs and stuff. They are taking anything to build.

Speaker 1: 2:59

Yeah, anywhere. And the biggest impending challenge that the builders are seeing coming up in the future is we're running out of dirt.

Speaker 2: 3:09

Yep, where that dirt is.

Speaker 1: 3:10

Yeah, so some of it is, like, just owned by the BLM. You know, the Bureau of Land Management, that BLM, that's the one we're talking about. Yes, so some of it's owned by them and they, you know there's been some negotiations, like Summerlin recently bought some.

Speaker 2: 3:29

Right. Well, last was at August or September. They released two parcels of land. One was down in Paradise and it was going to be set for Community Park, and then they released a bunch in Summerlin that was bought up to builders for residential.

Speaker 1: 3:46

Yeah, so yeah, biggest challenge that Las Vegas faces in the coming years not immediately, but running out of dirt. And what I see again back to you crashers, what I see in the future is again we have no dirt. That's going to be a very limited amount of inventory.

Speaker 2: 4:09

Well, as far as the states go, we got I mean the state, we got tons of dirt, Right, yeah, but in the Las Vegas metro area, because we are sort of surrounded by mountains, we're in this bowl. We are running out of dirt in that aspect.

Speaker 1: 4:22

Yeah, and we'll see things grow to places like Perump that's nearby, yeah.

Speaker 2: 4:26

Well, that's all part of my future forecast.

Speaker 1: 4:28

Yeah, the city's already growing If you've seen Perump like seven years ago. When you look at it now, oh my gosh, it's like it's a new place. It's already in growth mode, Right.

Speaker 2: 4:38

It's still a little desert town but it is definitely getting a lot more amenities and fast food, big box stores, things like that. So the convenience is and as Vegas grows, we're just moving closer and closer and closer to Perump. Blue Diamond is built all the way up to that last stop gas station.

Speaker 1: 4:57

Yeah.

Speaker 2: 4:58

And so it's just getting where Perump's not the hour commute. Now it's like a 45 minute commute.

Speaker 1: 5:04

Yeah, and quick shot out to Boulder City, because when I was growing up here, boulder City was like where people that couldn't afford Vegas moved to oh no, but now they're like where people who can't afford Boulder City move into Vegas. Yeah, like Boulder City is, like it's getting to be like a really big hotspot now yeah, it's sort of feeling kind of like Calico Basin.

Speaker 2: 5:27

Yeah, it's a little sort of prime piece of property that everybody in the city that people want to move to.

Speaker 1: 5:35

Yeah, keep it a quaint town and it has like this little, like hipster vibe in your downtown area? Yeah, and it's got some like historic buildings and what people are doing, which you see. This happen whenever there's, like you know, things changing in a neighborhood. They're buying the old, like 1950s house and just tearing it all down and starting over with these big mega mansions that overlook the lake. So it's absolutely beautiful.

Speaker 2: 6:00

Yeah, it is definitely becoming more desirable than when we were growing up yeah, which was very recently. Remember, we're young.

Speaker 1: 6:07

We were just barely out of high school Just the other day. But yeah, it's like before. People would be like, oh, I'm moving to Boulder City. It's like okay you're my stocks yeah.

Speaker 2: 6:18

Well, yeah, but that's not the case anymore. It all changes, but I mean, I've said it time and time again that I think that service workers and things are going to be able to commute back and forth from Perump into Vegas, because Vegas might become so unaffordable if the town grows. And then, as far as losing dirt, I would like to see the city go vertical, especially like around the downtown strip area, and start building like townhomes and condos and high-rise and stuff that people can use as housing, rather than them doing what has been talked about and slated is to carve into the mountains so then, like other cities, will just have homes and lights all over the mountain.

Speaker 1: 7:02

They're only doing it in a sky right now, and so I have concerns about that which could be unfounded. Not only that I know. Geolod wizard geologists.

Speaker 2: 7:12

Geologists.

Speaker 1: 7:12

Are those the people?

Speaker 2: 7:13

I don't know, I don't have a survey done before we can dig into a mountain.

Speaker 1: 7:17

Well, have you ever looked at a fault line map for Las Vegas?

Speaker 2: 7:19

Oh yeah, we're right there. It terrifies me.

Speaker 1: 7:21

Like there's fault lines all over the city. So like when you talk about like building up and more high rises, I'm like, ah, that sounds so scary, like that we are. We have a lot of fault lines in the city.

Speaker 2: 7:33

Well, yeah, what is it? The San Andreas is almost dead ends into Vegas.

Speaker 1: 7:40

Yeah, yeah, and I know even where my home is. It's like on a fault line.

Speaker 2: 7:45

She's afraid of fault lines, so she's like this is like a great place to be. Yeah, this looks like a great place to build all over right here. Yeah.

Speaker 1: 7:54

So, yeah, it's just like that terrifying thing, that luckily. And where do we have wood around here? Well, like just.

Speaker 2: 8:00

Not on. Ok, well, here you can use my noggin.

Speaker 1: 8:02

You can not run wood. So luckily we haven't had any big events happen, but that's still it. It is something to wonder if that's ever going to happen, but yeah Well things change.

Speaker 2: 8:15

I mean, we were talking about Vegas not having water two years ago because boats and bodies were showing up at the lake and with all of this rain it came up almost to the lowest point. It's over the dead pool now.

Speaker 1: 8:31

Yeah, yeah, I want to say seven feet, but that sounds like ridiculous.

Speaker 2: 8:34

Somebody said that to me yesterday and I'm like no one inch of rain is like how many acre feet of water. There's no way they raised seven feet, but it very well could have. I don't know.

Speaker 1: 8:44

Yeah Well, we haven't been out there. We get rain all the time Like we're Seattle now, so OK, OK dramatic.

Speaker 2: 8:51

We had two weeks of rain this winter.

Speaker 1: 8:54

And now we're Seattle. I don't think so Like. It just doesn't feel like Vegas. I've never seen so much water, but I kind of love it. Yeah, it's nice. Every time I see the rain I'm like I hate the rain, I'm a desert girl. So I'm not used to this, but I'm like, oh, it's a good thing, we need it.

Speaker 2: 9:12

Yeah, I know I like the rain, I like all of the elements to come in for a minute like a little vacation, like, oh, we have a week of rain or we have a couple days of wind, no problem, but I don't want it sticking around.

Speaker 1: 9:25

Yeah, I just remind myself we need the water. Yeah, my tree trees will look great when this is all done. Yeah, exactly, exactly.

Speaker 2: 9:31

All of the trees at my house have already gotten buds and stuff all over them. I'm like, yay, spring is almost here. Spring, yay. And today feels like spring. It's beautiful out there, it's bright, it's sunny, it's blue and it's almost 68 degrees.

Speaker 1: 9:45

Wow, yeah, where Back to good weather. Thank you you.

Speaker 2: 9:50

So yeah, we got a little distracted there, so we're all builders, so, ok, we covered one of three numbers OK, so how many did we sell this week? 379 homes sold this week. That's pretty good.

Speaker 1: 10:04

Pretty good, that's pretty good and price reductions dropped, dropped, so price drops dropped.

Speaker 2: 10:10

Price drops, dropped, and I think that has to do because price numbers are not going up. Yeah, where's?

Speaker 1: 10:16

the inventory kiddos. So the prices dropped to 315. Now here's one thing that I've been seeing, which I guess the numbers aren't showing this yet, they're not revealing this thing yet. It's just kind of like what I'm seeing out there in the world.

Speaker 1: 10:28

Right A little it is, January was on fire. Everybody's doing everything in January. I feel like it kind of slowed down in February, Like the rates did go up a little bit, yeah yeah. So maybe that caused some pullback or some whatever. But I mean we still have movement. Yes, we're not like we haven't come to a halt.

Speaker 2: 10:49

We're not stagnant, yeah.

Speaker 1: 10:50

But January felt way busier than February is filling, so far.

Speaker 2: 10:55

Maybe it's not busier, you're just more in flow, because December felt so slow. Like you're on vacation, yeah. So maybe now you're in the swing of things and you're into the activity of doing activities, so it doesn't feel as busy.

Speaker 1: 11:08

Yeah, yeah, it's like the roller coaster of real estate that we all talk about.

Speaker 2: 11:11

Yeah, because February's been pretty busy for.

Speaker 1: 11:16

And there has. I've been seeing multiple offers and things like that and things are changing, they're still.

Speaker 2: 11:21

It's such a weird thing because each deal obviously we talk about how each deals, its own life force or whatever but usually you'll have a lot of the same life forces happening at the same time, like when people are overbidding, most offers are overbidding, or if people are getting concessions or below list price, most people are offering that Right now. Does it feel like it is a wonky mix of some people are getting concessions and some people are offering over list price? It's just all over the road right now.

Speaker 1: 11:51

So I was with a client yesterday looking at he's looking at townhouses.

Speaker 2: 11:55

Yeah.

Speaker 1: 11:55

And oh my gosh. So I have a question. Instead of, like, listener questions, I have a question to the listeners.

Speaker 2: 12:02

We're reversing this here. Kids Pay attention. She's got a question.

Speaker 1: 12:06

Inquiry minds want to know Like OK, so I was looking at a bunch of townhouses, so a lot of townhouses. It's very common in the valley where a townhouse community will cover the roof Right, the HOA will cover the roof. Yeah, and it's hit and miss, not always.

Speaker 2: 12:22

Not always.

Speaker 1: 12:23

We see it a lot. It's common. So I ran across three different communities where they have an assessment that's almost equal to their HOA dues. That was bringing these HOA dues to $400, $500 a month. And the assessment was because they cover the roofs and over the last year or so we've had so much rain and our roofs here were not built for this rain.

Speaker 2: 12:48

Right, we can handle 115 degree weather day after day, but you start adding a little water to the valley and the valley's like I don't know what this is.

Speaker 1: 12:56

I'm not a fan. We kind of weren't made for this. So the assessments on these HOAs went up so tremendously because of the roof repairs that they had to do from the rain. So now the homeowners are paying this, and I even talked to a homeowner that I called just to ask what's going on with the HOA, with this assessment, because a seller didn't know really when it was going to stop, how it was going to end, and I happened to know someone that bought that community.

Speaker 2: 13:23

Well, in his defense, assessments usually for HOAs tend to be open-ended. We're going to try it for a little bit, see how we do, and we might need to extend it.

Speaker 1: 13:31

Yeah. So I ran across it three different communities, all of them substantial, and I was like this really sucks for the homeowners, sucks for the homeowners. Your dues increased double. But that's awful, and why don't so? Like, my mind, you know, is like where's the solution? Right, why don't they go? And so I'm asking people out there if anybody even knows that this is possible and I don't know either. So, and you know it's not, they don't teach us this in real estate school. But why don't they go, like to their like board meeting and talk and vote on this where, like I mean, at some point maybe they all agree to cover their own roof over their own building? You know, if we're talking single story townhouses, right, you cover your own roof and instead of paying the assessment to cover everybody's roof, you have damage that would probably cost less than a you know $200 assessment that goes on for two years to replace your roof on your little townhouse yourself if you need to, or do your own repairs. Like, can't they like just change that?

Speaker 2: 14:38

Okay, well, with 80 ways, they could possibly change everything, but the reason they do that is not for the specific roof, it's for the health of the community. So if we rewind back to like 2018, I had a California client who was looking to move here and she wanted to be close to the strip and because she was, you know, a walker and she didn't want to have to get a car or whatever, so we were looking down by like sunrise hospital in Maryland Parkway, between Desert Inn and Sahara.

Speaker 1: 15:11

So same location there's like those really old, vintage, vintage townhouses.

Speaker 2: 15:16

Okay, so you're talking like what is it off of?

Speaker 1: 15:17

like Vegas, that Vegas Valley, it's just that like area that like historic Vegas alley area like the Las Vegas Country Club and all of those Yep, yep, yep, this was across the street.

Speaker 2: 15:27

So this is somewhat similar. So when we went in there there was a leak in the roof and it was causing mold down the storage closet on the balcony. So there wasn't mold in the actual unit, but mold is never good. Right, it should be remediated before you move into it. I mean, you have the choice not to you do what you want, but it's just a suggestion. But they had a special assessment because whoever banished the community beforehand had run the HOA into the ground and they didn't have any money to do any of those repairs and they were liable. And they weren't single story, they were two stories right.

Speaker 2: 16:06

So it was the apartment conversions. But so they put on a special assessment and that special assessment is really what broke the deal, besides the mold, because if they've been willing to like fix the, because it was the air conditioning that was leaking, that was causing it, it wasn't. Like you know, occasionally we get rain and so there it needed to be repaired and the HOA wasn't willing to make that repair, obviously before the purchase, because they only work for people who own the property. It's double edged sword, right. So we ended up not canceling that deal.

Speaker 2: 16:41

But when I was talking to other agents that had listings and stuff in there, because I wanted to get an idea of what was going on, I wasn't talking to the HOA at that point. They weren't returning my call. That's what they were figuring out that the management of the community had been so bad for so long. They just didn't have the money to do their obligations. So then they were grabbing pieces from each tenant to sort of fill that treasure chest of cash so they could fix properties. So now that was an 18. So you're saying, years later it's still the same thing, that those roofs have not been fixed and they're still adding a special assessment because at the time they were adding $85 a month, which would have taken the HOA to almost $200 a month and back in 18 for a HOA townhome. That was a lot.

Speaker 1: 17:28

So I'm seeing one assessment yesterday that was $360 a month.

Speaker 2: 17:33

Additional assessment on top of the HOA yeah, and for listeners out there, you have your HOA payment, but the HOA can come in and put a special assessment to take care of something specific like repaving the community roads or the roof or whatever, and it's usually supposed to be temporary, right? We're going to do this for a year. We're going to do this for 18 months until we build those reserves. It doesn't always happen, though, because some communities are now. We're in the like what is it? The heritage squares there in year three of adding about $20 to $40 a year I mean a month onto the HOA for like the third year in a row for special assessment.

Speaker 1: 18:10

So I just feel like there's got to be some like relief or solution for homeowners out there to fix this, because in my opinion, it's getting out of control. Yeah, like you can't just like open ended, you know, I mean adding $300, $400 to your payment a month, can that can break people. Yeah, that changes budget, yeah. So I there's, there's, I feel like it's, it's one of those things that is not addressed or overlooked that someone needs to open up and dig into and do something for.

Speaker 2: 18:41

So if there's someone out there, yeah, If you don't have I don't know responsibility or a job or whatever, you just want to put an action plan that sounds like a chat GPT thing.

Speaker 1: 18:52

Yeah, like someone needs to.

Speaker 2: 18:54

They could pop that answer out and in like a minute.

Speaker 1: 18:56

Yeah, someone needs to use that thing about us. But if you do, have an answer.

Speaker 2: 18:58

you can email us to a vigasrealitycheck at gmailcom and answer that question for us.

Speaker 1: 19:06

Yeah, yeah. I just feel like like someone you know the state's like looking into all these like affordable housing things and all these other things like that. This is something that they should look into. This affects a lot of homeowners. Yeah, so it just. It just doesn't seem right.

Speaker 2: 19:18

Well, I think HOA is because they're specific to their communities. They sort of fall in a gray area. I don't know what kind of legislation could sort of govern that.

Speaker 1: 19:28

So if your HOA has this, this assessment, it substantially affects your home value. So there's, you know there's, there's repercussions from it. Like it just doesn't. It's just not right.

Speaker 2: 19:37

Yeah, and when you have that assessment on lender's always going to take the HOA and the assessments and everything into consideration and an effect your purchasing power. Absolutely so you might be able to afford the list price, but once you attack on those prices then you lender will be like no, that's not the property for you, so it's just one less spot in the valley you can buy.

Speaker 1: 19:57

Yeah, and then it stays on the market for longer and then the value goes down, and you know all of those. So, um, in addition to that, um, we all know this, I don't even know why I'm reporting it, but review journal reported it, so I'll just say it. Um, californians are out competing the bad ends on home offers.

Speaker 2: 20:15

Really, that's shocking and I didn't see that like every day, yeah, so most days.

Speaker 1: 20:21

Um so I brought up all this HOA stuff and I totally like hijacked our show.

Speaker 2: 20:25

So I'm sorry, but I Well, the good news is, it's our show.

Speaker 1: 20:30

Yeah, we can do whatever we like. So, um, we did have some listener questions. I don't think we'll get to all of them today, but, um, we didn't even get to price reductions.

Speaker 2: 20:39

We didn't, we talked about price reductions. They were oh yeah, that's right. They're not oh yeah, that's right. Yeah, price drops, dropped yeah.

Speaker 1: 20:47

So, um. So our first question is from Jose. Okay, Um, Jose made an offer on a home. It was lower than the sales price. They said no. Um, he wants to know if he can try again.

Speaker 2: 20:59

Because they didn't counter him or anything. Yeah, he was just ghosted.

Speaker 1: 21:02

They just rejected. So One thing you have to remember, jose when you're sending offers on homes and all buyers have to like, take this into consideration. Sometimes sellers get emotional. They're just people, they're just people. Sometimes they get emotional, they get offended Um, they get, you know, and I've seen rare cases where the realtors get offended, which I never understand. That I'm like yeah don't take it personal.

Speaker 1: 21:28

Yeah, you need to be not attached to that, like emotionally, but, um, you know, a good realtor is going to like kind of talk their seller off the ledge of that. I like you, let's look at this, let's counter it, let's, you know, see if we can work this out, right? Um, I, I'm always with the mindset I don't care how low the offer is. I think it's better that we counter and tell them where we're going to be Right. Then just reject, not respond, not, you know, do anything. Have a lot better chance at countering, because sometimes the buyers just want to see where you are right. Yeah, um, and it's not always a good play for buyers, especially if there is multiple offers or you do have competition, because that could cause you to Get ignored. And you're ignored because they go with another offer, right. But if you're ignored and they have no other offer, then that's just emotions into play right.

Speaker 2: 22:19

Yeah, that is emotions into play, and I always set expectations when I'm sending out an offer to my buy or sending out an offer from my buyer, that, hey, there's a very real chance that they are just going to ignore us.

Speaker 1: 22:31

Yeah, yeah, I, I've told buyers that you know many times too.

Speaker 2: 22:35

But um good news Jose.

Speaker 1: 22:37

Yeah, well, the good news is, if they so, if they ghosted you because they didn't um like your lowball offer.

Speaker 1: 22:44

They didn't like your lowball offer. Let's just, you know, be real here. So, um, if they ghosted you because of that and they have no other offers on the table, by all means try again and maybe come back with like a you know like, ask your realtor to just kind of like give like an explanation. You know like, hey, I know we came off on the wrong foot, let's try this again. You know, I've, I've, I've groveled before just to make you know, like a Pull things together Totally.

Speaker 2: 23:09

It's only business. Yeah, it's only business.

Speaker 1: 23:12

You have to, like, set your ego aside sometimes and do what's right for your client. So that could happen. But if they ghosted you because they had another offer that was better and they chose not to respond to yours and just went with the other, well then, yeah, you can submit as a backup offer. But if they're in contract already, your chances are probably pretty low. So really depends on what they're doing now. Um and uh, that is.

Speaker 2: 23:38

Yeah, and for realtors out there, just don't be afraid to send a quick email saying uh, my client didn't like the offer, or we're rejecting the software, or we went with another offer.

Speaker 1: 23:49

Yeah, yeah, no, a response is always nice. Keep us in the loop on what's happening. It's totally fine. Yeah, totally fine. You could like let us know, like, yeah, you suck, we went with the other one, it's fine.

Speaker 2: 23:58

No, but like my seller said, they wouldn't take that offer in a million years. Yeah, I'm like oh well, good, now we know what will they take?

Speaker 1: 24:06

So I had a case recently when I had a buyer send an offer and and it was low, you know it was it was. It was um A percentage off the list price, you know not super low, but it was, you know, lower. Again I I knew exactly where the buyer was coming from with this. Just want to see where the sellers were Seller well, I don't know if it was a seller or the agent got like totally emotional and offended and like she was, like I don't even want to present this and I was like, well, you kind of have to so yeah, it's kind of your job.

Speaker 2: 24:34

Yeah, I love that you don't love that, but you get to do it anyway.

Speaker 1: 24:38

And that's a rule. So, because she said that she didn't want to present it, when she was like, well, we're just rejecting, I was like, okay, well, I want to see that in writing.

Speaker 2: 24:44

Yeah, you know like. So I want to know, because you know what there's a fancy schmancy little checkbox that you can do.

Speaker 1: 24:49

We reject, yeah, so, um, anyway, she had a rejection to me in like 10 minutes, so I'm like you didn't even like. Do you like a good faith effort of presenting this? In my opinion, you know, if you like, you're going to reject in 10 minutes. But the thing is, our offer was a cash offer and my buyer was very motivated where, like, even if they would have countered a little bit, like did any sort of compromise, we would have came to terms, and I know that.

Speaker 2: 25:13

And so when she was telling me they were rejecting, yes, because some buyers absolutely 100 believe that there needs to be an offer and a counter and a Negotiation and everything in order to go into a deal. They expect that, they want that. So I always have to set the expectations like I don't know how you've done real estate in other states or in the past or whatever, but in this valley we don't get rejected offers and the communication that we should get all the time and you need to be prepared for that.

Speaker 1: 25:46

Right, yeah, and that, that. So you know, I had this conversation when she's like we're just going to reject, and I was like I really think you should at least try to counter, let's, you know, at least see if we can come to terms. You know, like where, where are they at? No, no, we're reject. So sent over a rejection like 10 minutes, which was silliest thing ever. So my buyers then got, you know, emotional too. So they're like I don't even want to deal with them. They like give us a you know consideration. They sent over rejection that fast, like that. My buyers were upset then. Yeah, so now the whole thing's blown up, right, so we go find another house. Buyers fall in love with another house. We're in contract. We did the same thing, except for the seller countered and we came to terms, right Right. So it's not you know, it's just a different person. So here we are a month later, buyers closed and the, the listing agent from that first house, reaches out to me like Our house is still sitting here.

Speaker 2: 26:37

You want to buy this one.

Speaker 1: 26:39

Guys, guys come buy this house, it'll be so fun. Yeah, and it was a team, so it was like someone else on the team that reached out to me and said hey, we saw that you did an offer.

Speaker 2: 26:48

We'd love to see if you're still interested.

Speaker 1: 26:50

Yeah, and I was like that whole situation played out so bad and that was so reckless. Yeah, it was so like why, why did it even turn out that way? Like didn't even want to like have an open conversation. We could have made it work and it just went nowhere. And now you're still on the market and we closed.

Speaker 2: 27:08

Yeah, exactly so I've had situations like that and it is it's emotion and ego that in which you know everybody gets emotional and everybody has an ego to some extent. Right, but you just try and reel it all in and make the best decisions you can around the circumstances that are surrounding that transaction.

Speaker 1: 27:30

Yeah, and just understanding, like when I see, you know, when I say an offer, come in. I got an offer yesterday that gosh, it was like 70,000 under.

Speaker 2: 27:39

And I'm like there's no way. What do I think? I love how optimistic you are. Yeah, we're just going to have to fine tune this, and then I bet you countered.

Speaker 1: 27:49

But of course I talked to the seller and I that's just the things you know and I haven't heard back. We're probably not going anywhere with that. There was way too big a gap. Right, there's a big gap. But again, what if they were just trying to see where we're at and that counter? And I've had those cases too, where it was like crazy far off, it sounded insane. We countered and they're like okay.

Speaker 2: 28:10

So I had something very similar to that where they offered I think it was 65 grand under and my seller was super offended, not interested. You know, I can't believe they. You know what makes them think this is the best house it's got four walls in a roof, right. And so then you just have the conversation and you sort of mediate those emotions for them. And then I was like, well, let's just counter. And they're like, oh, they wanted to counter back at 65 grand over list price and I was like, okay, so that's just being petty, let's not be petty, but let's come back with a realistic offer. If you took this amount, this is what it would look like on your net sheet. How's that feel? And they ended up countering back at list price and the buyer accepted it. They just wanted to play the real estate game.

Speaker 1: 28:55

They just wanted to see what I can get away with. It's like earn it Right. They're like I want to earn this.

Speaker 2: 29:00

I want to do this.

Speaker 1: 29:01

I want to see where we're at. I want to. You know they watch suits. I don't know they watch suits. They just want to do something to get stuff. That's all it is. It's that simple.

Speaker 2: 29:13

Well, for that particular transaction it was. They just wanted to play real estate counter negotiations and my seller wasn't having it. They countered back at list and the buyer was like all right, we accept.

Speaker 1: 29:25

Yeah, and in December I had a random like this doesn't happen, so let me not set that expectation. It was just one of those things, like all the stars aligned. But we had an offer that was 40,000 under and I'm like worse, they could say is no, you know, my buyer wants to send it. I'm like I don't think so. Like, usually this doesn't perform well, you know, when we send these offers. But let's give it a shot. See what happens. You know, like worse, they can say is no, and then we move on Right, and they said yes and accepted it as is, without a counter. I was like I think crazy.

Speaker 1: 30:03

But sure do love a motivated seller. Sure, do love a motivated seller. So you never know, and you know. At this point it's like you know, sometimes you just got to just go with it and remove your emotions from the transaction and let's see what we can work out. Yeah, totally.

Speaker 1: 30:20

Yeah, but that doesn't. Again, I want to put that, that that expectation out there that that can happen. Because in reality, when it comes to like your list price from a seller's perspective, I usually say like the best rule of thumb is, if they're going to come down, if they're going to come down 1020, 30,000, 40,000 from their list price In most cases, unless the seller has some like crazy motivation that they need this home sold ASAP, which sometimes those guys are out there, you know, yeah, or they have a number that was lower than what the initial list price was. And there's those people out there too where they're like if I get in their head and they never share it with anybody, right, but they're like if I get this number, I'm good.

Speaker 2: 31:03

Yeah.

Speaker 1: 31:04

And you never know what that, where they are with that, but in most cases A realtor once they're 30 days on the market they're going to go in and ask for like a $10,000 reduction at minimum.

Speaker 2: 31:15

Right. Sometimes it's not even 30 days, because our market moves so fast. We sometimes have rewritten it in the listing agreement that after 12 days on the market we're going to decrease five grand and after 25 days on the market we're going to decrease by another 10 grand or whatever, because you're trying to find the sweet spot where people are putting eyes on it, thinking it holds value, and then they want to go see it.

Speaker 1: 31:39

Yeah, and there's times where I've had as little as like a $5,000 adjustment that all of a sudden came up, I had a $2,000 adjustment.

Speaker 2: 31:47

create a frenzy.

Speaker 1: 31:48

Yeah.

Speaker 1: 31:49

So you never know where it's at. There's always a number that works right. But a lot of times when you're thinking and I share this with my buyers if it's a house that they really don't want to miss out on, right, you know it, but they want to negotiate still is like okay. Well, a lot of times the sellers agent will tell them instead of coming down 30,000, let's adjust 10 and see if we get more offers, more action or whatever. That's a big step to make in between, do you want to do gradual adjustments or do you want to go forward with the software or do you want to counter the software? So there's a lot of things to take into consideration there.

Speaker 2: 32:25

Yeah, totally. And one of the things to take into consideration is the agent's ability your agent's ability to communicate with other agents, because before even sending out an offer, if you're going to do it 40 grand under, just having a conversation with the list agent could give you great indication, if that's even a possibility. Are they going to ghost you? Are they going to accept it? Can we play ball? Are there going to be negotiations? And when that happens, you want a good realtor on your side that can communicate. You're a good realtor. How do they get a hold of you if they want to communicate with?

Speaker 1: 32:59

you, so you can call me 702-308-2878. You can text me and Tiana also, an awesome realtor. How do people reach you?

Speaker 2: 33:07

You can always call or text me 702-379-9948. Just throw in my information out on the internet. Go, do your thing, I'll figure them. Find my clients.

Speaker 1: 33:17

Yes, if you guys have listener questions, we'll get to them eventually.

Speaker 2: 33:23

Maybe not today, today's, not that day, but if you do have them, you can email them to us.

Speaker 1: 33:27

Yes, so that's going to be Vegas Realty Check at gmailcom and we do have our link tree website active with lots of different tabs. You can even submit your listener questions on the tab. So that is at realtycheckvegas. So check that out. You can link to everything our socials, everything that we have going on there our show, our audio, our YouTube, wherever we're all in one place now.

Speaker 2: 33:55

All things, everything Vegas Realty. Check for both Trish and Tiana. And then, if you do find value in that content, make sure that you join our tribe. Like, share, subscribe. Hit the little bell notifications. That way you're notified every Thursday when we are here talking. All things Vegas Real Estate. Until next week, vegas, have a great week. Thanks guys.

Speaker 1: 34:15

Bye, bye, bye.