Now Wait Just One Minute!
I would like to thank Joseph Welusz for the inspiration of this post. Joe responded to my September 2009 Cherry Hill Real Estate Market report with the following comment
"I also live here in the Cherry Hill area and lower end homes are selling they always have. That isn't the problem. It's the homes over $350,000 in the area (Cherry Hill, Haddonfield, Marlton, Medford) that are the problem and more home fall within $50,000 of that range then any others."
Since I also live and work in Cherry Hill, I thought I should address Joe's concerns. When assessing anything, you have to look at the facts. In addition to the facts, you must understand that there are always exceptions to the rule.
As of 107/2009 there were 498 single family homes listed for sale in Cherry Hill. 73% of those homes are listed for under $350,000. Within the last month 118 homes have either sold or gone under contract to be sold. 82% of those homes were sold for under $350,000.
|
Sale Price |
Homes for Sale |
Percentage |
|
Under $350,000 |
363 |
73% |
|
Over $350,000 |
135 |
27% |
|
Total |
498 |
100% |
Now let's take a look at the Cherry Hill housing supply. Simply stated, if every month, the same number of homes that sold last month is sold, how long would it take to sell every home listed for sale.
|
Home Price |
Supply |
|
Under $350,000 |
4.7 months |
|
Over $350,000 |
7.5 months |
As Joe stated, the homes under $350K are selling well. I know from personal experience that many owners of homes that would have sold for $500K 4 years ago cannot fathom the idea that the same home today is selling for $350K. They feel that they have lost $150K in profit and they want their Realtor to get it back for them. Many of these homeowners have been in their homes for more than 8 years and paid less than $250K. Instead of seeing $100K profit, they focus on the loss. In many cases, the profit from the sale of your home could help you move on to their next stage in your life.
Why hold onto hold onto the past? The housing market will not be what it was in the near future. Selling is not in every homeowner's best interest. However, if you are waiting for prices to go back up before you sell; you may be in for a bit of a wait. Most experts believe that homes prices will rise over the next 5 years. Will they rise to the level of 5 years ago? I highly doubt it.
If you are interested in exploring your options, call me today and we can set up an appointment.
Have a great day
Have a great day
Make This YOUR Best Year Ever
Leander McClain, Burlington /Camden County, NJ Realtor & Real Estate Consultant, Keller Williams Realty, 1814 Route 70 E Cherry Hill, NJ 08003 856-685-1677 Direct
Search NJ & PA Home Listings @ www.NJSouthRealEstate.com
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