Just in case you were wondering, FOMO is Fear Of Missing Out and FOOP is Fear Of Over Paying.
In today’s real estate market, buyers seem to always be wondering what to pay for the property that they want. They end up constantly stuck in limbo worrying about bidding too low and risk missing out (FOMO), or bidding too high and risk paying too much (FOOP).
It’s understandable, given how the old style private treaties keep buyers completely in the dark, and auctions create needless stress to place bids quickly. This can make buying far too nerve-wracking.
But it’s not just the buyers!
Right now, we’re experiencing a market that’s cooling off.
After years of heated clearance rates and soaring prices, this sudden shift is really changing the game. Sellers are now starting to experience FORP (Fear Of Public Rejection). Buyer numbers are starting to thin and they are being far more selective, meaning that sellers are worried that their property won’t get the interest they want.
This can force sellers into influencing their Agent to set a price, and with the hot market from last year still fresh in their mind, they often set unrealistic and unachievable prices.
As a result, potential buyers disengage because there is a lack of price transparency within a cooling market environment, which triggers their FOMO/FOOP downward cycle.
With no buyers, the property remains on the market for too long and everyone loses - the seller, the buyer and the agent too.
Before you think that these acronyms are getting out of hand, there’s a way to leave all three behind with one simple process: Openn Negotiation.
Due to the way Openn Negotiation works, FOMO, FOOP and FOPR are removed from the buying and selling process completely, because the whole procedure is totally transparent to all parties.
Openn Negotiation is a new and proven online property purchasing platform designed to be fair for both buyers and sellers. Managed by professional real estate agents, it allows ‘qualified buyers’ to openly negotiate on price with the advantage of knowing exactly how many real competing buyers there are. This means that it’s impossible to overpay as they can see the other potential buyers and their bid amounts and know that every one is by a fully qualified buyer.
Therefore, FOMO and FOOP disappear, as the amount that is achieved with an Openn Negotiation is the true market value of a property at the time of selling.
On the other side, buyers are only able to participate once their terms and conditions are accepted and agreed to by the seller. And as the seller can see and qualify buyers, their FOPR is put at ease.
An Openn Negotiation campaign usually lasts between 1 - 4 weeks, but properties can sell earlier if the seller chooses or if the reserve price is met early.
This ground-breaking technology makes the process exciting, enjoyable and rewarding for all parties, and doesn’t leave anyone frustrated or in the dark.