If you and your neighbors are discussing the local real estate market, comparing
real estate rumors and wondering what’s up with the market? I’ll tell you it’s
next to terrible. The re-sale market continues to suffer due to all the new
construction competition and large inventory of resale homes on the market. I
know the conversations Donna and I are having with our Sellers. Sellers are
frustrated, having to keep the home “show ready” and not receiving an offer. If
you do get an offer on your house, you’d better give it some serious thought and
consideration to take it or negotiate very little. The resale market continues to
decline. New construction is the huge competition. Buyers want the bright,
shiny new construction. If a Buyer can afford $500,000, they can afford to spend
$700,000 and build new. Same thing in all price ranges. If one can afford
$900,000 they can buy new for $1,200,000.
The second very important item plaguing resales is not many owners are
updating their homes. The homes built before 2010 look tired. One needs to
keep up with the trends. But that doesn’t mean you’re going to get your money
back for the amount you put in. It just doesn’t work that way. Your home will
sell quicker and probably for a higher price than your neighbors who have done
nothing to their same age home. Trends and colors have changed drastically.
Yellows, golds are OUT. Its grays, certain beiges, either white or chocolate
cabinetry. Sea foam colors are great in bedrooms and bathrooms. We are even
seeing more navy blue accent pieces. Architectural trends are leaning toward
cleaner simpler lines. Certainly, not the heavy faux or green plants in every
corner of the home or above the cabinets. Architectural designs search for more
personal space. What you really need to live in, not just big space. Younger
families are living smaller, smarter and much more casual.
It’s taking much longer to sell homes due to the very high inventory and new
construction. Buyers are afraid they are going to miss something, SO they
continue to look and become more confused. That’s one of the real reasons
offers are so few and far between.