SO HOW IS THE REAL ESTATE MARKET?

I was sitting on the couch with my 9 year old niece this morning.  I was drinking my coffee, reading the paper, and CNBC was on in the background.

"So how is the real estate market, Dylan," I asked. 

It felt good to ask someone else this.  As a Realtor, I am asked this question many times every day.

I was curious how a 9 year old girl would answer the question.

"I have heard that it is not very good," Dylan answered.

"Where did you hear that," I followed up, nervous she would name me as the source of her gloom.

"I think I heard it on the TV," she said.

Well, at least it didn't come from my mouth.  Although I am the one who watches CNBC religiously.

Bad Ken.

So, if a 9 year old girl thinks the market is no good, what must homeowners be thinking???

So how is the real estate market?

Back in 2001, my young fiance Nickie and I put down earnest money on a townhome to be built in Lisle.  The home would be beautiful, and end unit loaded with upgrades.  

After a many anxious months, the home was completed and we closed in March of 2002 for about $280,000.

We loved living in the home.  Great neighbors, great space, awesome windows.  A perfect place for us.

After 5 years, a marriage and the birth of our little girl, we regretfully decided it was time to move on.

So, in August of 2006, we put our home on the market.  Inventories had been rising.  There was 15 homes on the market in the subdivision.  We knew we would have to price competitively.

We priced the home at $349,900.  We had a contract offer in 8 days and closed on the home for $346,000 soon after.

It was truly a bittersweet time.

Many neighbors thought we had sold too cheaply.  Friends asked if we had "given" the home away.

The home was very nice, after all.

The point of the story??

Well, the buyer of my home got a job transfer soon after buying the home.  He put it on the market after only a year of ownership. 

First at $349,900.  He wanted to recoup his purchase price.

Then at $329,900.  Months had passed.  He needed to sell.

Then he took it off the market.  It had been 10 months (with another Realtor).  Selling a home can be a very frustrating time.

He called me a couple months back.  He wanted to know what I thought of the current market.

I told him I could get it sold for $295,000 to $315,000.  It felt quite awkward.  After all, he had purchased the townhouse from me for MUCH higher less then two years earlier.

He decided to go in another direction, and chose another Realtor.

They put the home on the market for $312,000.  It came under contract in 16 days.

I must admit, I was jealous.  Having a high visibility listing in one of my farm areas come under contract in 16 days??  This would have been good for my business.

The home closed yesterday.  The final selling price???

$280,000.

Wow.  Everything does come full circle.

Ken

To buy or sell a home, call me anytime at 630-697-0536.