Michael gave us strategic advice on submitting an offer that would make us competitive and set us apart from the pack. We had a Good-As-Cash loan that let us compete with all cash offers on an equal footing. They also put together a very attractive package for the Seller highlighting our family and why the house was perfect for our needs. The seller was really sold on our family and ready to go under contract. Unfortunately, several offers had come in raising the bar by $10K. We were torn. Should we or should we not. Michael negotiated with the Seller to give us the property if we matched the price, in other words, we had the property if we wanted it. I am the analytical type and numbers guy. I could afford the higher price but had set a limit that I did not want to exceed. Although Michael did not push me (later I wish he had) we discussed the pros and cons. He suggested we consider the time spent in finding just the right property given our requirements, and the possibility that we might not find another as “right” as this one. He also suggested we consider the real cost. On a monthly basis this extra 10K amounted to just a few extra dollars on the monthly payment. In perspective, the extra 10K was little relative to the price. More importantly, what was the value of the home to us. Value is a subjective figure. He reminded me that the market determines value, not me. He also pointed out that the home’s value, being in Huntington Beach, would edge up more than 10K in no time. Did we really LOVE this house and were we willing to let it go for 10K? All we had to do was say YES and it was ours!

But I said NO! I declined and let the house go. Call it ego, or false sense of value, it was a horrible mistake in retrospect. As Michael had intimated, we regretted our decision. And as he suggested, the value appreciated beyond 10K in no time before we even found a replacement. Soo price was really a non-issue. Despite this, Michael remained positive, and we continued our search. We eventually found another house which did not match all our criteria as well as the first house, but it was the best option available, and we did like it a lot. This time, I was the one who pushed Michael for us to get in first and make the highest offer possible to get the house. We did and we are very happy. But what a lesson learned.

--JL