If you are reading this column, you are no doubt following the home market in our area. You are being bombarded with news from the media that the housing market is turning and is no longer the hot market that it was even several months ago. Disappointed? Well, hold on a minute and let’s look at what the housing market facts are in our local market.
The housing market is anything but normal right now. In the past, when the housing market begins to shift its because of the larger economic trend within our economy. That has happened again within our national economic changes. But let’s define the housing markets we typically see:
• A buyers’ market is when there are more homes for sale than buyers looking to buy. When that happens, buyers have the negotiation power because sellers are more willing to compromise so they can sell their house.
• In a sellers’ market, it’s just the opposite. There are too few homes available for the number of buyers in the market and that gives the seller all the leverage. In that situation, buyers will do what they can to compete for the limited number of homes for sale.
• A neutral market is when supply is balanced and there are enough homes to meet buyer demand at the current sales pace.
For the past two years, we certainly had a hot housing market in our area because there were not enough homes for sale to meet the demand. As in the definition of a sellers’ market above, buyers did what they needed so they could compete and be successful for the limited homes for sale.
Have things changed in the housing market? Yes, but we are still experiencing nearer to a sellers’ market than even a neutral market. That is because there are still far fewer homes for sale than what the market demands. Even with interest rates moving upward and the housing market cooling, the market is still in favor of sellers who do their homework on home values in their area, work with a real estate broker to do that research of valuation and price of their home at a true market value.
Looking around Teller County, you will still see a number of homes being built, new subdivisions being developed and a fair number of real estate signs on homes in the market. Housing market cooling? Yes, but it’s far from over.
If you are considering selling your home, make an appointment with a real estate broker and have the discussion of what your home’s market value may be in the present market and what further market research indicates for timing to sell and what the current market indicators are for number of days on market for home to sell. The may information surprise you.
As always feel free to call any broker at Michael Harper Real Estate and have this discussion. See you next time!
Michael Harper is owner/broker of Michael Harper Real Estate. Contact him through his website, MichaelHarperRealtor.com.