Fast Moving Market

by Darrin DeRoches October 11 - 17, 2012

Let’s look at the real estate numbers so far this year. For the first 9 months of the year, our market is up 7.5 per cent from last year. In comparison, the overall for last year was a 7 per cent increase and since the first nine months are up 7.5 per cent, we should easily beat last year’s increase. It is easy to say that in the past two years, real estate value has grown by over 7 per cent - that is a great increase. In today’s market, homes are selling faster – 45 days on the market compared to 54 days last year – and for higher prices. September actually had a 13 per cent increase in value compared to September, 2011. In short, fewer homes are on the market but are selling at top dollar.     The average home price during September in our market is $369,032. That is pretty impressive. The next question is, has it become a sellers’ market or is it a buyers’ market? The reality is it is pretty balanced right now but you can call it a sellers’ market since listings are way down and prices are through the roof. So what does this mean? Sell your home now! If you are even considering selling your property, this is the time to get top dollar. If you sell now, you will get the best price but you may also have to pay top dollar for the next property – or will you?     If you consider the reality that all properties are getting top dollar in today’s market, how can you take advantage of this? The first thing you do is prepare your property to get top dollar and once you hit the market, start looking at properties that have been on the market for over 45 days. If they have not sold, they are either overpriced, in need of repairs or have been over looked. These properties have become the “ugly ducklings” and there are deals to be made. A savvy real estate broker can pinpoint these properties where you can actually use the strong market as your bargaining chip. If a property is not being sold – something is wrong. Point out the issues and make an offer with these in mind and properly negotiated you can find the right property for a great price.     The market tends to slow in mid-November/December and if a property has been up since September they will be concerned that they cannot sell before Christmas. In some cases they have already bought and they will just want to sell to move on. I saw a property sell for $20,000 less than market value since he was satisfied to get his money out and move on to his new project. A quick closing can save you thousands of dollars right now. V     Darrin DeRoches is a local real estate and mortgage broker. H