Divorce, Life Changes, First Time Buyers and Financial Distress
This doesn't exactly trip off the tongue, but it's not meant to be a new mantra. These life circumstances happen to be fueling the activity in our market area. The buyers and sellers we are currently working with tend to fall in one of the above categories. Due to the current market conditions most of our move up buyers and sellers are waiting in the wings - waiting for the market to turn around. Now we are working with people under stress - and often a lot of it.
Many sellers are feeling financial pressure which led them to put their homes on the market in the first place. Negotiations are even more stressful for these sellers if their reality holds the possibility of bringing a check to the closing or trying to work with lenders to secure a short sale approval.
We've also seen more clients going through divorce entering our market. Once again, due to stressful life situations they find themselves needing to buy or sell. This can complicate financing matters, and for sellers it obviously impacts the tone of the entire process. As agents we have to wear many hats when dealing with these clients. At times it seems we are called on to be marriage counselors, financial advisors, mediators, and last but not least, real estate professionals. Of course we can't act in the capacity of anything other than realtor, but it seems that at the very least a supportive ear is needed to get clients through these challenges in their lives.
Fortunately, we still have first time buyers. They're a bright spot in the otherwise stressful real estate picture. They're excited, enthusiastic and they are happy to be in the real estate market. Unlike the transactions I mentioned earlier, their's is a positive real estate experience.
So our real estate picture has changed from a few years ago. The buyers and sellers participating in our real estate market have changed, too. We have to adapt our style, knowledge base and skills to deal with some of the changes that this market is bringing. Three years ago short sales, distressed sellers, and foreclosures were not even in our vocabulary - yet alone present in almost every neighborhood. Yes, the market has changed, and to be successful we're evolving, too.
Here's the Buzz in Owatonna Real Estate - So far in 2011 there have been 41 homes sold in 2011 in an average of 106 days at an average sale price of $96,076. You'd have to go back to the mid to late 1990's to match that average sale price. There are currently 153 homes on the market and they've been out there for an average of 196 days at an average list price of 168,176. This market has certainly shifted in a downward direction..
Lynn Johnson, CRS, GRI, MBA
Broker/Owner
Owatonna Real Estate Pros
Coldwell Banker Home Connection
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