I am sure if you are reading this blog then you have been keeping up with the market and do not need a quick synopsis of what has been happening over the past 3 years. Realtors as well as Sellers have been struggling and hoping for better days; the buyers, well are just popping popcorn watching the show.
First off, let me say that I totally understand why SOME buyers are hesitant on pulling the trigger. There is not one week that goes by when I am just in a casual conversation when someone says "I can't imagine why it's so slow for you guys, the rates are low and prices are low...buyers are crazy not to buy now". True and not true. The fact of the matter is rates and prices are low, but in general a lot of people are unemployed and if they are employed they are shaking in their boots that they will lose their jobs, so buying a new home isn't even a thought now. BUT, for those that are very qualified and secure with their employment and currently out looking at homes and giving feedback like "house needs too much work, waiting for rates to drop, waiting for prices to go down or priced way too high for competition out there.......your days are limited to have that ability to pick and choose on your watch. I have many listings that are getting a few showings, but the above is the typical feedback from the buyer's agents. In the buyer's agents defense, they give this feedback from their clients and are not really sure what the buyer is thinking or is going to do. For example, as most Realtors can tell you...they drive buyers around for 2 weeks or so and seem to be gung-ho on one house and then never hear from them or at the least hear something like "we are going to wait". That is okay in some cases, but my point is we are at a pivotal time here when buyers should definitely get off the fence and make a move within the next 8 months or so.
For the past year you have all heard reports.....we are coming out of the recession, or the economy is picking up or this or that.....well, that is coming from people who want you to believe that, ie: the National Association of Realtors or Home Builders Association or any other trade group who needs activity to increase....which is a legitimate claim given "their" studies. But now the Housing Starts have been climbing since June which is the single best indicator that the Real Estate Market, no matter where you live will start to pick up. Maybe not tomorrow or next week, but with increased Housing Starts, the countdown to recovery has begun.
Bottom line is by mid 2010 Sellers, instead of getting dreadful feedback on how bad their kitchen wall color choice is, will be getting multiple offers and scoffing at minor house flaws that buyers are giving now. Multiple offers and lower days on the market will be seen again and buyers will have to make quicker decisions if they really want that house....and be willing to come a lot closer to the Seller's asking price.
If you are in the market to buy, now is the time to get serious and do something before the rates climb and housing recovers fully. For more information on my Local Market in Raleigh, NC please visit us here.
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