Advice For Sellers in the Present Market
Market Update, March 2009
It’s March 2009 and the spring selling season is just around the corner. Every year just about now the open houses are starting to blossom and buyers are starting to come out of hibernation. All the pent up buying energy comes out, phones start ringing and it seems everyone is on line looking at the newest spring collection of homes. For sellers it’s a time of hope and for buyers there is the excitement of finding their dream home. I do not expect any of this to change, it never does. What I do feel compelled to discuss relates to our current market compared with where it has been in past years and compared with the projections of where it will go in future years. Guided by this information, and our agent’s expertise, you can get the best possible price for your property in the shortest amount of time.
Last year in Ulster County our sales price was only down by 4% and in Greene County the sales price actually rose 12%. However, by October of ’08 we had all begun to hold our breath. The uncertainty of the election, the difficulties in the banking industry, and tightening credit began to make us hold our breath. It was becoming clear that Americans were not spending if we didn’t have too. We stopped buying cars, going to restaurants and started trimming the fat from our hefty American diet of wanting it all now. Shopping “value” became very chic, and now is worn like a badge of honor. Real Estate was not at all different; in fact I think it was representative of the overall economic sentiment. Here is why. Closings reported in the first 10-12 weeks of this year were actually “sold” in the last 3 months of last year. The numbers are in for those last three months and sales were down 45% according to MLS statistics! Sale Price was down 18% from the previous year to date and our median price was exactly the same as 2003. (See attached graph)
How fast and how far this will go will depend in part on the number of foreclosures that come on the market; when foreclosures sell, it sets a new decreased value to surrounding homes. One thing we are absolutely sure of is the market is not going rise by the time your listing contract will expire. The very best we can hope for is that the market will flatten by 2010 and then remain stable for a few years. If you are moving locally or to an area that has more market decline than our economy, not to worry; you will get the benefit of being a buyer. If you need to sell, do it now before the decline kicks up another notch. It is our job to help you price sharply and not chase after a falling market. Pricing your property above the market will lose you both time and money. In order for buyers to have an interest right now, you must be the best possible “value” in your market niche. Presentation of your property is key; you only get one chance to make an impression. If you have your property listed or are thinking of listing, hire a stager if at all possible, start packing, do some spring cleaning.
Coldwell Banker Village Green Realty has over 100 years of dedication and experience attached to our name and we appreciate your faith in our integrity and expertise, I assure you it is well placed.
Joan C. Lonergan
Principal Broker/Owner
Coldwell Banker Village Green Realty
Member of Cartus, Largest Global Real Estate Network
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