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Why Are We Running Out of Houses? In July of 2011 we SOLD 86 houses of Lawrence Kansas Real Estate. In July of 2012 we SOLD 121 houses of Lawrence Kansas Real Estate. There was also a 38% increase in houses going under contract in July 2012 over July 2011. Overall, there were area sales of 752 properties for sale from Jan 1 through Aug 15 2011 and 833 properties for sale from Jan 1 through Aug 15 2012 or a 10.7% increase in units SOLD and a 10.9% increase in volume SOLD.
Why Are We Running Out of Houses? Sellers have not been replacing houses onto the market fast enough and so we have a housing shortage in several price ranges. Where a buyer may have had 4 to 6 homes for sale to choose from in 2011, in 2012 there may only be 1 or 2 in a given price range.
The average DOM (Days on Market) is down to 60 which is down from about 100 DOM just a couple years ago.
Buyers need to keep in close contact with their buyer agent so they know what the market is doing at any given time.
The biggest mistakes I have seen buyers make in today's market is 1) "Sleeping" on it and then being told that the house has already gone under contract after they slept on it, 2) Offering too low a price and another buyer out bids them, and 3) Not having a pre-approval letter in hand before going to see their first house. Buyers have set up an appointment for their first house, fall in love with it, go to get a pre-approval letter, and while they are waiting on it, the house goes under contract.
If you need a pre-approval letter, call John Ketchum (contact info below).
John Ketchum, Mortgage Banker, NMLS# 505638
Commerce Title Building| 1420 Wakarusa Dr, Suite 203, Lawrence, Kansas 66049
Why Are We Running Out of Houses? Sellers don't know we have a housing shortage and can get more for their house than they have been able to get for the past 6 years. Once sellers discover they can get a higher price and they all start listing their homes for sale, the inventory will fill up and we won't be asking the question Why Are We Running Out of Houses?