Where in the heck has 2014 gone? This year is flying by so fast that my head is still spinning. Within a month Alan will be in full-on holiday mode. While the rest of us play catch up for the holidays, I will talk a little real estate.
The latest and greatest in our market it is a term called “Leveling.” Over the past several months the market has slowly switched from one where sellers were getting multiple offers and homes flew off the market to one where days on the market has increased and sellers need to become more realistic in pricing their homes. Prices in our area have leveled out and will probably be there for a bit longer.
If you or someone you know is considering selling then it’s important to know there is a difference between “Listing a home” and “Selling a home.” Understanding the market and how it could affect value is an important aspect when deciding if it is time to sell. By looking at all the trends in the area and the statistics it’s obvious the market has been changing. There are more homes available now lowering their price and some more than once, because it didn’t sell at their initial listing price. The trend of listing high and hoping for someone to overpay are coming to an end. Remember, the more homes available are competition and increases the options for a buyer to consider. So why the change?
One reason is the lack of buyers. Currently, every lender I talk to says loan applications have decreased. They are seeing fewer buyers each month and some are flat out doing nothing. Everybody has a theory about why the number of buyers has decreased, but the bottom line is they have, and in order to stimulate the buyers to act pricing a home correctly is going to be critical.
With all of this in mind, this is an awesome time to buy a home. We should be telling everyone we know to get prequalified and consider home ownership. The values are still good and owning is always better than renting. The long-term benefits are definitely worth it. We continue to see clients making great returns on their home investments and want to help others do the same thing in the future.
It’s not all gloom and doom for sellers. We are still selling homes, but sellers have to be smart and price correctly. It’s critical a buyer sees the “Value” in the home.
As always, we are available to assist with all your real estate needs, so reach out if you have any questions.
