July 21, 2008. Chevy Chase, Md. Anxiety.

I think every one in the whole world is anxious. Or perhaps just every one in the United States is anxious. Certainly, every one involved in the world of Real Estate in 2008 seems full of anxiety. The buyers are fearful to buy, because their job might be in jeopardy, or perhaps the prices might fall so the price they are looking at might be too high. Certainly, they are afraid to over buy. Then again, another house may come on the market which could be better for them, so perhaps they should wait. Anxiety leads to lack of action. The reality is that most people have secure jobs, certainly in the D.C. area, and most people here stay 10 years in their house, so to delay building equity could be counter-productive. But buyers are anxious. There is no doubt about it.

Sellers are even worse. Their crystal ball is very cloudy. Trying to choose the selling price is very difficult, because the history of sold houses is not helping. Many folks made decisions based on the probable selling price, only to find that the sold house could end up much less than anticipated. So Sellers worry through the question of their listing price, and worry even more when their house does not sell in 30 days. Free floating anxiety is the name of the game in the world of sellers of real estate in 2008. Not much to do about it if you are a seller today. The only thing to do is to test the market, and if the price is wrong, then correct the price. That is, if they want to sell their house.

Now Real Estate agents understand markets. They remember when we could not get any one to buy a condominium in the District of Columbia in the early 90s, and that we had buyers paying any price to buy the same units in the last few years. We know the last comparable sales in each neighborhood for the past few years, only to have to admit to the seller that the comps are not helping now. The agent can justify the price based on past sales until they are blue in the face, but if the buyer will not pay the price, the house will not sell for that price. So agents have to be careful to defend a price, yet, when we list a house, we want to get the highest price for the seller. So the agent is also full of anxiety. The whole world is anxious. But I said that before.

We know several facts. People need from time to time to sell or buy a home. The decision on pricing is ultimately the job of the seller, after the agent gives the seller all the facts and figures. To help both sellers and buyers, we, the agents bring a solid show of support and encouragement to both buyers and sellers, keep them both informed about trends, and then try to bring sellers and buyers together to agree on a price. And do it all with a smile. That is how you deal with anxiety.