April 27th, 2009
IF buying a home or condominium in Door County is one of your goals, why should you do it now? It is really a no-brainer. (1) There are sellers motivated to sell. (2) Interest rates are low and loans are available to qualified buyers. (3) Values overall have held fast and have a solid history of appreciation. How could conditions be any better than that? Even if what you buy now and trade up later, you will be ahead. Homes are a great value and can be found at prices well below building cost. Condominium values are readily available in every price range from the low $100K range to over a million. Land, especially acreage that has future division potential, is a smart investment.
But, you ask, how can there be such great values for sale while at the same time property values are holding strong? It is an idiosyncrasy of a recreational property market. Most sellers in this market are financially stable enough to hold out for the price they want, so they can wait out a bad market until someone buys at the price they want. On the other hand, some sellers are not in such a good position, so in order to sell the property they are reducing asking prices to what is sometimes actually below market value. They need buyers now. A good Realtor (such as those at my company) can help you find those properties.