Should I Say It? The Cooling Market…
We’ve all read it. Most suspect it. The Washington, D.C. metropolitan area is cooling down in the area of real estate. There…I said it! The statistics say it and most sellers will now say it. However, the market marches on. Whether it is heating up or cooling down, the reality is, people still need to sell and buy homes for various reasons.
Right now there appear to be more seller than buyers, given the inventory of available homes on the market. For example, when national new home sales figures were recently released for July, there was a 6.5 month supply of new homes, the highest level since November 1995. Additionally, national figures on the sale if existing homes across the nation were also down in July (as compared to a year ago) and fell to the slowest pace since January 2004. As a result, there is a 7.3 month supply of existing homes, the highest since the early to mid 1990’s.
For all of you buyers, read the above and realize the days of escalation clauses and above price offers are over. Prices have come down and requests for things like closing cost assistance are becoming acceptable to sellers.
If you are a seller, you must recognize that the condition of your house and the price of your house are more important than ever based on the existing inventory of homes. When a buyer has a seven month inventory of homes to choose from, yours has to not only stand out but also inspire a buyer to make an offer.
Don’t lose heart, Mr. & Ms. Seller! Chances are that if you are selling, you will also be buying. If the cooled housing market has you depressed because your house doesn't get you as much as you had expected, remember that when you buy, you will also benefit from the current lower prices and the historically low interest rates. Move because the move is right for you, the rest will balance out!
Right now there appear to be more seller than buyers, given the inventory of available homes on the market. For example, when national new home sales figures were recently released for July, there was a 6.5 month supply of new homes, the highest level since November 1995. Additionally, national figures on the sale if existing homes across the nation were also down in July (as compared to a year ago) and fell to the slowest pace since January 2004. As a result, there is a 7.3 month supply of existing homes, the highest since the early to mid 1990’s.
For all of you buyers, read the above and realize the days of escalation clauses and above price offers are over. Prices have come down and requests for things like closing cost assistance are becoming acceptable to sellers.
If you are a seller, you must recognize that the condition of your house and the price of your house are more important than ever based on the existing inventory of homes. When a buyer has a seven month inventory of homes to choose from, yours has to not only stand out but also inspire a buyer to make an offer.
Don’t lose heart, Mr. & Ms. Seller! Chances are that if you are selling, you will also be buying. If the cooled housing market has you depressed because your house doesn't get you as much as you had expected, remember that when you buy, you will also benefit from the current lower prices and the historically low interest rates. Move because the move is right for you, the rest will balance out!
posted by kristinburns at 7:13 AM
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