Even though we are currently experiencing economic challenges, there are proven strategies to help you sell your home. In addition a recent 2009 pulse survey sponsored by the National Association of Realtors show that 83% of Americans believe that buying a home today is a good financial decision and a sound long-term investment. More than 75% of Americans believe that now is a good time to get in to the housing market. Three-fourths of those surveyed also believe now is a good time to buy a home. In fact, one-third of renters are thinking more about buying a home than they were a year ago. Low prices, good housing selection, an $8000 tax credit, and historically low interest rates make buying more desirable then in the recent past. One major concern for most Americans is the money for the down-payment and closing costs. However many folks who were not able to buy a home in the past are able to buy a home in today's market.
For seller's planning to list their home knows that more then 5 million homes sold last year in the United States. However, remember buyers are looking for a bargain. This is no time to reach for the sky when selling your home. The majority of homes selling are distressed properties. Ask your Realtor about the comparable sales in your neighborhood for the past six months or less. Pricing is the number one reason buyers are buying right now. For the past year there has been a considerable inventory available to buyers. Sellers, if your home is listed substantially higher then the bulk of homes in your neighborhood...it is possible that is why your home is not getting any offers. Remember you may have to sell your home lower then you may like, but if you are planning on buying elsewhere, you will also buy for a lower price. That means property taxes will be lower as well. If you buy your next home for a lower price you will carry those benefits forward well in to the future. Look at the homes that are selling in your neighborhood and homes that are not selling. Ask your Realtor why? It may be price it may be other factors. If a buyer offers a higher amount for your home still it may not appraise at that price which means the buyer can't secure a loan and the deal will fall apart.
Not everything comes up Roses...two-thirds Americans are concerned about losing their jobs which keeps some from entering the market. California was hit hard by the economic down turn. Prices fell about 40% and was devastating for many. However, right now buying activity is going through the roof.
In January buyer activity in California was up 100% from a year ago, in February it was up 83%, in March 57% from a year ago. Up to 70% of homes sales in California are distressed properties. The reality is millions of people who were not able to buy in the past are buying now. Buyers are back; inventory is dropping fast which, is good news. February last year California home inventory was 15.3 months on the market. February this year inventory was 6.5 months on the market. How does this relate to the rest of the country? Because California was hit hard and fast, its' coming back shows what is going to happen to the rest of the country. Buyers coming back and inventory is shrinking show the market will eventually normalize. Values will stabilize and the market will again show increased quarterly measurements. 54% of California's who took the poll believe that California housing market will recover by the end of this year. Bringing buyers back in to the market is the first step. Low prices, low interest rates and the $8,000 tax credit has begun the healing process. Part two is getting rid of the excess inventory. That is happening. Step three price stabilization and eventually appreciation.
California I'm coming home!
Renee Baccaro Realtor®
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