Marketing Response and Inflated Expectations

[Derrick Strope]

So I started a reasonable sized mailing campaign for my first attempt and have been receiving a decent amount of contacts.  While I have enjoyed the conversations with these homeowners, I am starting to see a trend that people seem to expect that they can sell their house for current value +10-20%. 

Yesterday I had a lady contacting me saying she would take nothing less than half a million for a manufactured home that is currently renting for 1,100$.  It just makes me smile :)

Do others see a lot of this stuff as well?

[Trevor Ewen]

@Derrick Strope

Hysteria has been a little crazy, particularly in urban areas. On the edge of Seattle, you are definitely seeing a bit of that craze. People in NYC talk about paying 1M+ for a condo and call it an investment, knowing that the rent on the unit is nowhere near 10,000 (1%), I am completely shocked. 

This in turn ups the confidence of everyone on the outskirts, and even people in areas where the gain is not that crazy are seeing gain, because cash flow investors are heading to their regions. 

I would consider going for some geographical diversity or a little further out. Right now NYC and most of NJ is crazy hard for me, and I imagine Seattle greater area is very similar.