Real Estate Myth #7: Waiting for Spring to Sell Your Home Will Get You More Money

Real Estate Myth #7: Waiting for Spring to Sell Your Home Will Get You More Money

The old adage that told sellers to wait until the improved spring market

to put their home up for sale is just that – an old saw.  And not true today.

Buyers tend to favor the spring and early summer market to move but this time

around, it could be costly for both buyers and sellers.

 

Wake Up! The alarm is ringing!

 

If you haven’t been following real estate news, yes, I know, it starts

to become blah, blah, blah, after awhile; then you might be unaware of the

shadow inventory.  All the experts agree, this 4 million+ housing inventory

of foreclosed and about-to-be foreclosed homes is weighing the market down

right now—and we have 45 more months of inventory to work through.

 

This will hit all price levels, as many higher priced homes are seeing

owners make a financial decision to walk away from homes that have

lost 25-40% of their value.  The national news has been telling us this

week that despite a rise in home sales, home prices are on the decline.

And will decline at least another 10% in the next year.

Buyers who wait until next year are also missing the boat.  The price

of their new home might be less but will the COST be less?  Will interest

rates rise?  A one per cent rise in rates will affect your monthly payment

for 15-30 years.  Will mortgage requirements and costs go down? Not likely.

We have seen nothing but a steeper climb for buyers on the home

ownership hill.

 

Bottom Line Prediction:  If you are waiting for the “Spring Market”,

you will sell for less and pay more for the home you are buying. 

 

SEARCH FOR GRAND RAPIDS HOMES

________________________________________________________________________________________________

The authors of the this blog write about Grand Rapids Real Estate,

the Greater Grand Rapids MI area, and what it is like to live in

West Michigan. We believe: Grand Rapids is a Great Place to Live!

ar125812212017642 Kentwood Michigan Top Best Buy Homes Nov 2011 ar125812218972939 Kentwood Michigan Top Best Buy Homes Nov 2011 ar125812225271331 Kentwood Michigan Top Best Buy Homes Nov 2011

Westbrook Realty Grand Rapids MI Real Estate

Contact Terry   616-292-7263

OUR FLICKR PHOTOSTREAM

Foreclosures and Short Sales Affecting Grand Rapids Housing Market

Foreclosures and Short Sales Affecting Grand Rapids Housing Market

We have been tracking the activity on Short Sales and Foreclosures

of our local Grand Rapids market for some time.  They have become

a large share of our housing market here in West Michigan and sellers

must understand the fact that they have to compete with this segment

of the market and will for the next few years.

Experts in the financial markets have written extensively about the

increase in foreclosures, last month figures were estimated to be 3

million or more homes that are facing foreclosure in U.S. in the next

6-12 months.



1) What are buyers looking for when they search for a home?

Selection search Criteria Grand Rapids MI

As you can see from the graph above, this is the order of importance buyers

put in their home searches:

  1. Square Footage
  2. Bedrooms
  3. Baths
  4. Price

Price is number 4 behind Square Footage, Bedrooms, and Baths. So, will a

buyer always go for the distressed sale home over the traditional sale?

Apparently not.  We hear from our buyer clients  over and over that they

DO NOT WANT TO DO REPAIRS or UPDATING. They want to purchase a

home and get on with their life – not devote 6 months to 12 months of their

spare time and money on painting, repairs and updating.

BUT Price is the ultimate point of competition.


Price is the only thing left when you have 30 similar homes on the market

competing for the same buyers. Supply and Demand will continue to rule

the real estate housing market in the foreseeable future.

_____________________________________________________________________________________________________

The authors of the this blog write about Grand Rapids Real Estate,

the Greater Grand Rapids MI area, and what it is like to live in West

Michigan. Grand Rapids Michigan is a vibrant, growing metropolitan

area with a diverse business community, great medical research & services,

numerous universities,plus lively arts and entertainment of all kinds.

We believe: Grand Rapids is a Great Place to Live!

ar125812212017642 Forest Hills Michigan Neighborhood Real Estate Market Report – Watermark Residences Nov 2010 ar125812218972939 Forest Hills Michigan Neighborhood Real Estate Market Report – Watermark Residences Nov 2010 ar125812225271331 Forest Hills Michigan Neighborhood Real Estate Market Report – Watermark Residences Nov 2010

Westbrook Realty Grand Rapids MI Real Estate

Contact Terry   616-292-7263