Higher prices at the pump affect us all in many ways but have you noticed how much it affects real estate? I noticed a change in the overall dynamics of my solds this week. Comparing to years before my vacation home sales were way down and my local residential are up. Most of our vacation home buyers are from down state or even Northern Indiana or Illinois and I noticed last year more were asking for vacation homes within a 3 hours of their areas. Now gas is $4 per gallon I think they have tightened up that radius even more as the calls for these properties is almost non existent these days.
The higher costs of gas has also affected how I show homes. I am more likely to refer clients looking in far off markets. After figuring in the cost of showing homes along with extra mileage and time sometimes a referral fee is the better way to go. I still hang tough with repeat buyers and past client referrals but the price of gas definitely enters into every part of my business. Even my advertising has changed as I have tighten up the areas to a closer group of potential clients. With the number of foreclosures out there, the lower commissions offered and the price of gas, keeping my business closer just makes sense. How has the Pain at the Pump affected you?