Happy New Year!
I hope you had an enjoyable holiday season with your family and friends. As we start the New Year, we still have many reoccurring questions: Are we now headed for a recovery? Has real estate finally bottomed out? Will values start to go up? Based on the statistics we have gathered in 2009, I would say the following for 2010:
- the $8000 first time home buyer credit and the $6500 move-up credit will give us only a slight boost in the spring market (most buyers decided to purchase last fall)
- appreciation rates will remain flat
- price points of $300K and under will still be the most desirable
- short sales and foreclosures for the area will be on the rise
- luxury homes will have to reduce their pricing even more
- neighborhoods with amenities will have fewer days-on-the-market
- staging (prepping the house) will be critical in preparing for the market
- the buzz word will be “pricing-flexibility”—owners must have options when selling, i.e. equity, ability to negotiate, motivation
- we will see a minor increase in relocation families visiting our area and purchasing homes
- rentals will still be a popular request, along with questions about Lease-Options
With this all said, the best news is that we are in an area that wasn’t hit as hard as other locations (i.e. Atlanta, Orlando, Charlotte) and we are bound to stabilize before most markets. And while many would also agree that we never anticipated such a slowdown, current attitudes are more optimistic and that goes along way. Should you have any questions about the current value of your home, or know of someone who’s curious, feel free to contact us.
May You Have Prosperous and Healthy New Year!
Linda Trevor & Company