Discounts for real estate purchases: from a fence to a notary bill

When a situation in Real Estate market is compared to the one in the funeral, each potential customer is met as the star which must proposed with something attractive. Now salesmen have become very amenable – they offer various discounts and do not take any bucks for negotiation.

Discounts have been always applied. On Christmas time some Real Estate developers named them Christmas discounts. With the discount package and offers “only for you”, the discount might reach up to 20-30 percent of the future flat or house value.

Those who do not want to decrease the price in money must use their fantasy. One of the most popular ways to make a discount is to give a place in a parking lot free of charge. For those who want to buy a house a proposal to hedge a site or even to grant bicycles is made. Also Real Estate project developers equip stillrooms, finish the flat or even pay the bills for the notary.

Real Estate price bubble has burst into pieces with prices decreasing and giving no hope to stop. Real Estate developers create and implement various strategies trying to retain the same prices. Excursion around the houses on sale are organized for the potential customers as well as advertising articles are published with the news of achieving the bottom the drop in prices and the time for buying to be the most beneficial. Consulting World-Estate.com database the fear of even more drastic drop in prices is quite logical.

The laws for the Real Estate market players are the same as those for the livestock – if they got used to a tasty and expensive food, they will not see a poor one. The same goes with the prices. However, it is interesting how long will the salesmen stay on the rope. In some countries the bankruptcies in Real Estate market have already started.

Auctions after the bankruptcies will show the real market prices. At the moment Real Estate market players try to seduce the customers with marketing means, though these means such as flowerpots or bicycles will not be suitable in the auction. In some countries auctions have already begun – News.Real-Estate.com witnessed many companies announce Dutch auctions in which prices decreases every day. Dutch auctions are announced when an item must be sold quickly. In such auctions only one offer is enough.

Companies are required to do so as they have built houses for money taken on credit from the banks. They need to pay those money back on regular basis. It depends only from a concrete company how long will the developers stay on market and will not reduce the price. Later one will not take care of the profit – money will be necessary for assets and credits. This will be the most appropriate time for the customer to buy a flat or a house.

What should the salesmen do? Market price is set by the relation between the supply and the demand not the price which a building is worth to be sold at. The bounds are set by the market not by the builder. So one should not state the limits for the price. A few years ago the current situation in the market could be hardly imaginable. So it is hard to guess what will happen in the nearest future.