Part of my responsibility to my clients and prospects, sellers and buyers, is to update on the changing conditions of the Interlochen Real Estate Market, and the Traverse City Real Estate Market. The one thing that is constant in real estate is that it changes all the time. If your agent can’t tell you what is going on in the real estate market TODAY, you are not working with the right agent.
So here’s an important update– our market is changing! It is changing, and with it comes changes to the dynamics of buying and selling. It can affect both buyers and sellers, so whatever your position, there’s news you can use here.
Nationally, the real estate market is still very depressed. But real estate always has been, and always shall be, a local phenomenon. It’s governed by the laws of supply and demand. And I am here to tell you that the Interlochen real estate market, and the greater Traverse City real estate market, is getting stronger. Waterfront properties, which tend to lead the market ahead of off-water homes, is actually appreciating in value. Let me say that again: waterfront properties in the Interlochen area are appreciating. Prices are up nearly 9% over last year, and the volume of homes sold has increased by almost 15 percent. This news is from Bob Reamer of Setpoint Property Solutions. Mr. Reamer is an experienced appraisal professional with over 30 years of experience.
Off-water homes have stabilized in value since the first of the year. That means that, at many price points, prices are no longer going down. In fact, in many price segments in the Interlochen real estate market, and the Traverse City real estate market, we are seeing multiple offers on many, many properties. That changes the dynamics from a strong buyers market to a fairly strong sellers’ market. There is intense competition for quality homes that are priced at market value. Between owner-occupant demand and investor demand, the competition is fierce, and we are seeing sale prices over asking prices in many cases. If you’ve been thinking of buying a home in Interlochen, or the greater Traverse City area, this should serve as a wake up call. You may not have the luxury of leisurely looking at homes; the old adage of “you snooze, you lose” is becoming a truism.
Of course, we’ve been waiting for the market to improve for the last six years. Homeowners have taken tremendous hits to their equity, as home prices tumbled. I don’t mean to say that all is rosy, and we’re back to where we were. Home prices are still at 2001 price levels, but at least in the Interlochen and Traverse City areas, they don’t appear to be going any lower.
For buyers, this change to our market will impact your purchase strategy. And for sellers, it may be time to re-think your position. With home values increasing for Duck Lake homes for sale, and Green Lake homes for sale, it may be wise to consult with a real estate professional and discuss how this changing market can impact your ability to sell, and your bottom line. As always, I remain available to consult with my clients and prospects.
Traverse City, and Interlochen, are places people want to live. Living Between the Lakes is almost idyllic, with beautiful, peaceful settings and a better way of life. If it is time for you to buy a home, or to sell a home, please call me today and let’s talk about.
Chuck Gollay, Residential Realtor
Real Experience. Real Value. Real Estate.
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