Stupid Is as Stupid Does
A little vignette into how greed and the housing bubble in Marin can tear apart a family:
Q: Eighteen months ago I and several other cousins inherited my aunt's home when she died. The cousin she named as executor has had the house listed with three real estate agents, and all of them have told him the house isn't selling because his price is too high. What do you say?I would not at all be surprised if the house in question is this one in Mill Valley. It is still for sale. Originally listed at $1.1 million (goofus), reduced to $999,000 (ludicrous) in July, 2006, now listed at $729,000 (absurd) -- a 34% price reduction from the original wishing price and still no buyers.
A: I say if I had the cure for stupidity, I'd be a zillionaire. A home is worth whatever someone will pay for it. Prices have softened in the months that your aunt's house has sat on the market. If your cousin had dropped his price by, say, 10 percent in 2005, he wouldn't be looking at dropping it by 20 percent to sell in 2007. Moreover, all of the cousins have lost 18 months of opportunity to invest the proceeds they would have received if the house had already sold.