The mortgage crisis… specifically, mine
November 19th, 2008As you may have gathered by the lack of posts referencing travel, entertainment, dining or anything else that requires spending money, we’re largely still enjoying the abstemious life, courtesy our two extra mortgages. The Madison housing market remains woefully slow, along with the rest of the nation, and while there are a number of interested buyers for my condo, they all have a place to sell before they can buy mine, and they’re not having much luck either.
Meanwhile, prices continue to drop. For reference, when I purchased my condo in 1999, I couldn’t find anything worth looking at for under $100,000. Today, there are 2,125 condos for sale on the MLS in Dane County and 169 of them are under $100k, nine years later. And some of them are surprisingly nice… desperate owners slashing prices just to be rid of the burden. Tough competition for the determined-but-not-quite-desperate (yet) condo seller.
In an attempt to reach a new audience, I have made some changes. When my contract ran out with Jenny Swain, I decided to try Madison For Sale By Owner, which effectively allows you to put the commission you would have paid to your agent into a lower price for your buyer. At 6%, this is substantial… after the FSBO listing fee, marketing costs and attorney’s fee, I can drop my asking price by $10k and still potentially end up with a similar (or better) bottom line. The downside of course, which is huge, is you’re no longer listed on the Madison Listing Service, which is how many, if not most, homes are eventually sold. You’re also tasked with all the marketing and open houses, which I actually enjoy, but it does take some research and time. I’m going to give this a go during the real estate “down” months (Nov - Feb) and may return to Jenny in the spring if I don’t have any luck… we’ll see.
In the meantime, check out my groovy new marketing materials:
- My listing on Madison FSBO (try to ignore the teal color, not my call)
- Photos of the condo on Flickr
- Printable flyer (PDF) - print them out, post them on bulletin boards, wrap your Christmas gifts in them… all help is welcome!
I also get to hold my own open houses, Julie style. This Sunday’s will feature the New York Times’ chocolate chip cookies, (1-3 p.m., you know you want one) and I’m contemplating a week-night showing, with wine. Might as well make the best of it… feel free to stop by and have a cookie.








