As a real estate professional, it seems almost all conversations I have eventually lead to real estate. This has been happening even more since the extensive media coverage of the "mortgage crisis".
I am constantly asked "How's the real estate market?" My answer is always the same. If the media would stop telling us the sky is falling, it would be awesome!
I recently pulled some statistics from the Northeast Board of Realtors web site. These statistics will show you how strong the market could be in northeast South Dakota if people paid less attention to what everyone is saying and paid more attention to the statistics.
I compared January 1, 2008 through May 13, 2008 to the same time period in 2007. Here is what I found:
- Total active listings were up 7%
- The total number of properties sold was down 19%
- The average sale price was up 11%
I don't think most people realize property values in our area are still appreciating! Please keep in mind this is residential only. It does not include any commercial property, farm land, etc.
I hope you can see the same trend I do. If consumer confidence wasn't shaken so badly by the national media, home sales in our area would be booming!
Unfortunately, there are many parts of the country where these statistics don't look nearly as promising. There are many parts of the country where homes are selling for just pennies on the dollar. South Dakotan's, for the most part, were much more conservative when it came to their home purchases. We tended to stay away from the ARM, interest only, and other "creative" financing options. For this reason, we are not affected nearly as much as the rest of the nation by the "mortgage mess".
So, if you see me on the street and ask me how the real estate market is doing, my answer is: It is going GREAT! The average residential home sale price is up 11% compared to 2007!
As always, if you or anyone you know is in the market to buy or sell their home, please call me anytime.
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