I am frequently showing homes to buyer clients; I see that the market has changed quite a bit recently.
Six months ago, nine months ago, or a year or more ago, we had lots and lots of listed homes to choose from.
At one point, I remember thinking how hard it was going to be trying to know all the homes that were listed since that's part of my job.
When the market was in its free fall, buyers often had 50+ homes to choose from.
However....not anymore!
This past week, I took a relocation client out who has to buy quickly because he starts work at the end of July. There were only a handful of homes available and his price range was a reasonable one for what he was looking for!
What does this mean??? It could mean that the pendulum is starting to swing the other way. Maybe....just maybe...we're on the way to an improving market for sellers. When it improves, that means that prices will rise.
So what does that mean if you're a buyer or seller?
If you're a buyer, find a great Realtor, secure your financing and get shopping before the same house, if on the market a few months from now, costs you more.
If you're a seller who hasn't seen an offer or who has only seen low offers, review the price with your agent. Get your house in great condition so it's ready for showings as if it's going on a "blind date" because...it is! If you've requested 24 hours notice for it to be shown or any notice for that matter, reconsider it. If you're planning on buying another home, you'll still be able to take advantage of low mortgage rates that are still available. With fewer banks writing mortgages, the process is getting tougher and tougher.
My client now has an accepted offer; the home inspection is this Thursday.
I can't tell you how many homes couldn't be shown due to advanced notice & others that showed poorly. His offer is on a home that is in excellent condition.
What's interesting is that when my client asked for info on recent sales to support his offer, many of the recent sales in the neighborhood were higher than the listing price for the home he bid on and got! It isn't the first time I've seen this.
So....as I said before....could be that the market is improving! If so, let's hope it stays that way!
Donna Bruno is the Owner/Broker of Century 21 North Star Realty in Peekskill, NY. She is one of 4 percent of all Realtors nationwide because she is a Certified Residential Specialist (recognized as the PhD of the Real Estate industry). She services all of Westchester, Putnam, and Dutchess. You may reach her at (914) 329-7614 or via email at century21nstar@aol.com.
I remember before we bought, we would be walking into one overpriced house while another couple would be walking out. Then upon exiting, after trying some fine cheese and perhaps a complimentary glass of wine, another couple would be passing us, cheery smiled. Inventory will be low because people are either so underwater and are wating for this "turnaround" or they are just living in the house while it's in foreclosure. Don't get me wrong, there are still people who bought in the 80's who will still make out well when selling, but as far as people who bought between 2002 and 2006, or who got in over their heads with helocs, good luck.. Oh, and the process should have always been TOUGH.
I put a home on the market yesterday morning and it's already had 5 showings and one offer that's just come in.
I agree that there are a lot of people underwater but for those who are not, trading up is interesting because with decreased mortgage rates, a larger home often costs just a smidge more on a monthly basis. Agreed too on the process being tougher. Today, there are less banks writing mortgages. We're finding that credit is checked several times before a closing happens. And...sometimes the appraiser is ordered to go back in right before the closing to ensure that the value has not decreased since the contracts have been signed.
Jan 1-June 30, 2011 Homes Sold: 1715 Average Sales Price: $592,450 Jan 1- June 30, 2012 Homes Sold: 1889 Median Sales Price: $575,000 So, slightly more homes sold but prices have fallen Condo Sales For Westchester: Jan 1-June 30 2011 # Sold: 401 Median Price: $335,000 Jan 1- June 30, 2012 # Sold: 438 Median Price: $327,250 So more condos sold. Prices fallen over last year