Long Beach Sellers - How Will Market Changes Impact You?

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Real Estate Agent with KB Home Bre # 01424127

Long Beach Sellers - How Will Market Changes Impact You?

The volatile real estate market has once again witnessed several changes. Interest rates have risen, the number of buyers has decreased and the number of sellers has increased; all factors combining to result in a slow down of the frenzied pace of home sales.

During the month of July interest rates increased impacting the buying power of many prospective home-buyers. The percentage of first time buyers dropped as it is more difficult to qualify with the stringent guidelines in place. The FHA loan, with its 3.5 percent down-payment, has been the loan most frequently utilized by buyers. Rising interest rates combined with the PMI (Private Mortgage Insurance) has forced many buyers to re-evaluate their financial strategy and opt to save a twenty percent down-payment thus taking them out of the market for now. house, trees, sky

An article recently published by Re-Insider, Move Over First Time Homebuyers, addresses the issue of diminishing buyers. The number of first time home buyers is down 11%. Traditionally these buyers represent 40% of closed transactions. Therefore the buying pool is slowly shrinking. The frenzy of multiple offers and bidding wars has slowed. 

Sellers, intrigued by tales of bidding wars, have entered the real estate market expecting to command higher prices. A strong indicator of the market is the average number of days homes are on the market before selling.  Even in the most desirable locations the number of days on the market has increased. In early spring homes received multiple offers within days of listing. Today the average number of days for Signal Hill homes has increased to 54. During the month of July the average number was 45 days.

Long Beach Sellers - How will market changes impact you?

Sellers need a realistic picture to understand the current market. The market is speaking and another shift is underway. The changes will determine the length of time it takes to sell your property, the type and quality of offers you will receive and the highest dollar net to the seller. 

Pricing is a critical component of selling a home. Call me for a home analysis. If you are looking to net the highest dollars in the least amount of time I have creative strategies to help achieve your goals.

Long Beach Sellers let's discuss how the market changes will impact you.

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If you are considering  buying or selling new construction in the Inland Empire ~ Give me call or email me 

Cause We Like Em' New!

 

Kristal Wilson                                           

cell: 951- 288-7079

Shoot for the moon & if you miss you'll be among the stars

 

 

Comments (4)

Jimmy Faulkner
Florida. Homes Realty & Mortgage - Wantagh, NY
The Best Of St. Augustine

Things have slowed down in Florida and my estimation is that we are in a bubble and have been for the last 9 months. People do not want to admit it but that is the case.

Sep 18, 2013 07:23 AM
Kristal Wilson
KB Home - Fontana, CA
Cause We Like 'Em New ~ New Home Specialist!

Jimmy ~ We have been in a swiftly changing market for some time. I think we are finally witnessing a stablization.

Sep 18, 2013 07:32 AM
Charles Stallions Property Manager
Charles Stallions Real Estate Services - Pace, FL
Pensacola, Pace & Gulf Breeze Property Management

Good luck with the marketing of this one Kristal and sell it quick and close it fast

Sep 18, 2013 01:15 PM
Debb Janes EcoBroker and Bernie Stea JD
ViewHomes of Clark County - Nature As Neighbors - Camas, WA
REALTORS® in Clark County, WA

Your words show your knowledge and experience. A house that sells is priced well for the market conditions - your CMA will show sellers where that price point needs to be.

Personally, I think a stablilization is a good thing. :)

( Chuckling over commenter #3 - in a hurry I guess) :)

Sep 19, 2013 07:28 AM

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