The Next Hot Home Market May be Unrestricted Property

Interest in unrestricted property surges as people flee from the rat race of a city lifestyle. In fact, people who move to property outside of urban areas is so common that it has taken on the name of "Ruralpolitan".   These pioneer spirited people seek the more self-reliant lifestyle and a sense of value that is real. They may have experienced huge portfolio losses because of the stock market. Placing their investment in a piece of land gives them confidence and peace of mind where the pain of the recent recession imprinted fear.


Retiring baby boomers are the largest segment of the population driving the push for rural living. However, a huge number of 20 and 30-somethings are flocking to the country when they can. What may be different between the two "ruralpolitan" groups is the access to metropolitan areas. The baby boomers may not need access to the employment hubs in the city, but the younger group still needs to have a reasonable drive into the metroplex.

Motivations vary but many of the younger segment have professions that don't require a daily commute into the city. More and more employers are encouraging home offices and flex schedules. This enables families to live the ruralpolitan lifestyle and make a couple of trips into the city each week when needed.

In a recent Wall Street Journal article Wendy Bounds explains the phenomena saying, "Green Acres Is the Place to Be". She tells many stories of people who have taken the plunge into rural living. It is not all the fairy tale vision that people expected.  She states that "For some people, the break to rural living is a hedge against an unpredictable future."

If moving to the country - or atleast out of the crowded deed-restricted communities - sounds good to you, give me a call.  We can find the perfect place for your personal escape without giving up such things as internet access and easy access to the Greater Houston area.

Highest and Best...

It is a concept used in the real estate industry in many ways. As a residential specialist, it is most often used in relationship to a competing offer. Even in today's relatively tough market, we deal with competing offers on a regular basis.

When a listing agent (the one representing the seller) gets notification that more than one offer is being submitted, they will usually tell each of the buyer's agents to get the "highest and best offer". That way the seller knows that each of the prospective buyers have been given the opportunity to express the degree of interest in the property and give it their best shot.

A good agent develops a protocol for handling multiple offers that maximizes the benefit to their client. Whether you are a buyer or a seller, you better hope that you have a strong negotiator working on your behalf if you find yourself faced with a competing offer. An uninformed decision about how to handle mulitple offers can lead to dissappointment and even the failure of the sale. (I could write pages in this blog sharing case studies of what works and what does not...and all the nuances where you have to simply take a chance. But that is not what I am posting today. Maybe sometime in the future. Let me know if you would like to see me share those case studies.)

These competing offer situations happen primarilly in two scenarios:


* Foreclosures: When an asset manager places a residential property on the market, if it is priced right it will often have more than one person attempting to purchase it within a week or two.

Please Note: I am speaking about the real estate market in the Greater Houston area...specifically The Woodlands and Spring. If you would like to learn more about what is happening in your market, simply let me know and I will connect you with an expert for your neighborhood.

* Smart Sellers: Many homeowners simply cannot grasp the extreme importance of preparing their home for the market. They look to the agent to obtain a buyer at "the highest possible price, in the shortest amount of time, and with the least hassle." I make that statement in quotes because it is a common promise that agents make to prospective sellers.

When markets were hot, the agents did not always have to share the cold hard fact that the seller has a huge role in whether a house sells or not - AND - how much money they will make in the sale. When markets soften...buyers are able to become extremely picky.

Today's buyers are well informed with all the internet data available. They know a good buy when they see one. They also recognize that the BEST ones seem to sell very quickly, so they have learned to monitor the market and move quickly when something well priced, well staged and well marketed shows up.

It creates two markets for the available inventory. The first market is full of "Smart Sellers." This group of properties often sell in less than two weeks and it is not unusual for there to be competing offers. The second market is the ones that are not snatched off the market by the well-informed and ready buyers. Unfortunately, those properties often linger on the market for months and months. (The statistics are easily gathered to see how the market is working in each community, so don't hesitate to ask for the data.)

This is only one of many areas of real estate where we use the term "highest and best". Keep coming back to this blog to learn about a range of other uses of this phrase. Don't hesitate to call or email me with your questions.