Comments on: GDoN Revisited by Hipchickindc – 2010 1st Street, NW

By: Anonymous

Anonymous — Fri, 08 Jun 2012 19:59:07 +0000

Thanks, hipchickindc, for coming to help clarify things for me. I understand the bidding wars/escalation clause as one reason. Could you expand on your first reason. I am not getting that one. Or let me see if I am. Are you saying that the final sales price will reflect higher because it factors in closing costs. In reality, the offered contract price is lower because that is what potential buyers are offering but during the negotiation time (prior to closing) what is negotiated is that the seller wants the final price to reflect higher (better for the agents and for the market/property values) but in reality the buyer will be paying the contract price offer because that includes the calculations removing or refunding the closing costs (or some of them)? I just want to understand this.

I know that during negotiations before a closing, that a seller subsidy behaves sort of in that refund way, essentially what it does is let the buyer come to the table with less cash in hand and it doesn’t negatively impact the final price of the sale of the house. But to see a house where the final price increases from a contract price offered (without an escalation clause or allowing the contract to be open to multiple bids), it’s hard for me to understand how the final sales price can end up higher.

By: hipchickindc

hipchickindc — Fri, 08 Jun 2012 19:50:00 +0000

There are generally two reasons that a property would settle above list price. If the purchaser is getting a significant portion of closing costs back, it is often written into the price so that it impacts the seller less.

The other reason (that we are seeing with more frequency in this market than we have in the past few years)…that there were competing offers driving the price. I know how many offers there were on this property because I represented the seller, but whether there was more than one offer is not communicated via the multiple listing system.

By: hipchickindc

hipchickindc — Fri, 08 Jun 2012 19:46:27 +0000

anon, I always include the legal subdivision in the GDoN-R info, as well as the advertised (what the agent chooses to market it as) subdivision.

Years ago, I always marketed as LeDroit Park for almost everything in the general vicinity, now I most definitely advertise Bloomingdale since more people are familiar with it as a location and neighborhood.

By: novadancer

novadancer — Fri, 08 Jun 2012 19:39:53 +0000

I meant 6%…

By: novadancer

novadancer — Fri, 08 Jun 2012 19:35:30 +0000

hmm not sure. I see it via Suzane’s listings on the bloomingdale list serve

By: Anonymous

Anonymous — Fri, 08 Jun 2012 19:14:37 +0000

Where can I see the financing terms?

By: novadancer

novadancer — Fri, 08 Jun 2012 18:56:19 +0000

I loved this house… this has been the first listing that made me a little jealous (especially the kitchen)!

although I was baffled by the 4% down. When we bought two years ago there was no way you could get away with that on a jumbo…

By: anon

anon — Fri, 08 Jun 2012 17:30:54 +0000

why is this tagged to ledroit park, not bloomingdale?

By: Grand Funk

Grand Funk — Fri, 08 Jun 2012 16:38:06 +0000

This is a really nice house with character

By: AP

AP — Fri, 08 Jun 2012 15:37:04 +0000

Great house, great price!