Turning Around? 8-20-2009
The local market has picked up steam over the past few weeks. With sellers getting used to the lower values and buyers getting great rates and a first time home buyer tax credit the market has responded. The numbers are still down from last year but things do seem to be getting somewhat back to "normal". Tighter lending guidlines are weeding out those who probably shouldn't have been buying homes to begin with and foreclosures are providing some real values. Now more than ever you need a true professional on your side. Things are changing daily and navagating through the mortgage, buying and selling process requires someone who is experienced and knows how to overcome those challenges. The first time buyer tax credit ends on November 30th so you need to get busy right now finding the right home. Don't wait, call me today! Dave
Still More Numbers 6-Like It or Not, Here's The Latest 5-14-2009
Here are our latest numbers from Jan. 1st until now...
The number of homes sold compared to the same time last year is down 34.1%, the total sold volume is down 41% and the average sold price is down 10.4%. It is a tough market to say the least. Considering the number of homes currently on the market, if you are selling a home here's what you can expect...
In the $0 to $100,000.00 price range there is 7.02 months worth of inventory available.
$100,000.00 to $125,000.00 is 8.54 months.
$125,000.00 to $150,000.00 is 9.51 months.
$150,000.00 to $200,000.00 is 10.71 months.
$200,000.00 to $250,000.00 is 12.45 months.
$250,000.00 to $300,000.00 is 15.10 months.
$300,000.00 to $350,000.00 is 18.07 months.
$350,000.00 to $400,000.00 is 24.07 months.
And the numbers go up from there.
Want to move to the front of the line? You can beat the market by properly pricing and staging your house. If there are 30 houses in your area and price range you have to be one of the top two or three to receive an offer. The fact remains, good deals will sell in any market. So be a good deal! Dave
The Three Most Important Words 4-9-2009
The old mantra states that the three most important words in real estate are location, location, location. Now those have been replaced with price, price, price! Prices continue to fall, so now more than ever it is important to price your property ahead of the market. What do I mean by ahead of the market? Prices, like the expiration date on a container of milk also have an expiration date. It's a little like chasing a bouncing ball down a hill. The best strategy for a quick sale is to be the best deal on the block. Not only do we have to look at what has sold recently but also what is currently for sale in the area. You will save yourself time, money and frustration by beating the competition. If you want to know what it will take to get your home sold in this market, give me a call! Dave
Changes 3-9-2009
Things have changed and are continuing to change at a rapid pace! So what's changed? Rates are down, prices are down, inventories are up, deals are waiting to be had by saavy buyers and investors. If you are selling you might have to sell for a little less than you would have say six months ago, but you likely can make up the difference and more on the buying side. Super low prices and incentives are the norm on new homes, foreclosures are selling for way under market and short sales are providing some real bargains if you have the patience to wait it out. This is a great time to buy that home that you always thought you couldn't afford because now there's a good possibility that you can! There is no way of predicting where the bottom is so it would not be wise to try and time it because there will eventally be an upswing. Now is the time to buy!!! Call me!!! Dave
Here's The Data 1-21-2009
Here are the latest numbers from the Greater Greenville Multiple Listing Service...Comparing Jan.1, - Dec.31, 2007 to Jan.1 - Dec.31, 2008 sales of single family homes were down 20.2% in our area. The average price was down 1.3% bearing out my prediction that prices were falling somewhat. So what does 2009 have in store? My feeling is that prices will continue to fall for at least the first half of the year. There are a lot of foreclosures on the market right now and they are selling, but those foreclosures are what seem to driving the market and they typically sell for less than an owner occupied home. Again, this really is a great time to buy. There are some super deals out there. Until next time... Dave
Just An Observation 12-31-2008
There's never been a better time to buy!!! Sounds like a television car ad doesn't it? Prices and interest rates are down. So where's the bottom? The truth is there is no way to predict where the bottom is. It's like trying to hit a moving target. I don't currently have any official data to back up my observation but from what I'm seeing from day to day, home prices are falling here in our area. If you're selling, not so good. If you're buying, very good. This market is changing daily but prices can rebound just as quickly or even quicker than they fell, so if you've been thinking about buying a home now is the time. Don't put it off. Take advantage of the bargains that are out there right now. Call me! Dave
S.C. Ranks Sixth In Nation For Home Value Appreciation Over The Past Year! 12-3-2008
GSA Daily Staff Report
South Carolina ranks sixth in the rate of appreciation for single family homes over the past year according to third quarter statistics released Tuesday by the U.S. Federal Housing Finance Agency. Nationally home values dropped 4% from the third quarter of 2007 to the third quarter of 2008 the report said. During that time in S.C. values rose 2.42%. The nation's 4% four quarter decline was the largest four quarter drop in the history of the index which started in 1975. The quarterly report report from the Federal Housing Finance Agency is based on sales and re-financing data for existing single family homes. Transactions included in the data are conforming and conventional mortgages purchased or securitized by Fannie Mae or Freddie Mac. The report ranks states and metro areas only by yearly changes but it also lists value changes for the third quarter of 2008. Those quarterly numbers are negative for most states and metro areas. During the third quarter home values dropped 0.45% in S.C. compared with a 2.68% drop nationally. Among metro areas ranked by appreciation from third quarter 2007 to third quarter 2008 the Greenville-Mauldin-Easley MSA was no. 9 in home appreciation during the past year at 4.55%. For the quarter, the upstate MSA saw home values drop 0.61%. Also in the upstate, Spartanburg was no. 11 with a 4.12% appreciation rate over the year and 2.2% in the third quarter. Anderson was no. 39 with 2.28% appreciation over the year and a drop of 1.86% over the most recent quarter. Augusta-Richmond County MSA, which covers parts of S.C. and Ga. was no. 2 in the nation. The area which saw values increase 5.48% over the past year fell behind only the Austin-Round Rock MSA in Texas. The Charleston-North Charleston-Summerville MSA came in at no. 65 with 1.37% appreciation over the last year. The area's values fell 0.3% during the third quarter of 2008. The Columbia MSA is listed at no. 24 with 2.92% appreciation during the year. For the quarter home values dropped 0.05%. The upstate is still the right place to be! Dave
News Flash!!! 11-21-2008
Forbes Magazine has included Greenville, SC in it's "10 Best Places In The Country To Weather The Economic Storm"!!! Isn't it great to live in the upstate?! Dave
Updated Numbers 11-14-2008
Well it's been a while since my last entry and boy have things been crazy in the markets, not only in this country but worldwide. We are finally starting to feel a little bit of what I believe is a "correction" in an overheated market. Our local real estate market was not exactly overheated but we still are effected to some extent by what happens around us. So here are the lastest local numbers as of October 31,2008...The number of properties sold is down 19.8% compared to this time last year and for the first time in a very long time the average price has fallen .1%. Still not bad considering all that is going on. There is however reason for optimism. I expect our local market to make a turn around soon. The job outlook is bright in the upstate, interest rates are still low and hopefully the mortgage markets will get back to normal soon. Houses are still selling and buyers are still out there, although there are a few more "bargain hunters" than before. It's just a storm we'll have to weather, and we will. Where's the bottom you might ask? There is no way of knowing or predicting that. Things can turn around as quickly as they came down, so if you're trying to time the market, don't! Now is the time to buy! Until next time... Dave
Investing In Real Estate 10-21-2008
What can you do to make your stocks worth more? Hope, pray, wish? While hoping, praying and wishing are all great things, they might not work so well when it comes to investing. There are thousands of stocks out there that you can invest in and it can be very confusing for the avereage person. With the latest turmoil in the market even working people have lost thousands in their 401K's. So what do you do? Someone once said, "The best investment on earth, is earth". Real estate has always made a quicker comeback than stocks and there are things you can do to improve the value of real estate, whlie stocks, well are pretty much left to chance, at least as far as the investor is concerned. Right now is a great time to invest in real estate with inventories up and prices down there are some bargains out there and now is the perfect time to take advantage. If you are interested in a real estate investment or would just like to know more about it give me a call and let's talk. I look forward to hearing from you. Dave
What A Mess! Right? 10-8-2008
I just had to address what is going on in the financial markets AS I SEE IT. How did we get here? How will it effect you? And how do we get out of it? Let me preface my comments by confessing my belief in the free market system and it's ability to sustain and correct itself and also my belief in conservative economic policies. So with that said. First, how did we get here? Some years ago during the Clinton administration our government decided that as many people as possible should be able to realize the American dream of home ownership. That's a good thing. The only problem was the way in which it was done which was to lower the standards for what it took to qualify for a mortgage. In other words, giving home mortgages to individuals with low credit scores and a bad history of being able to repay. The first objective was achieved, which was the fact that they were able to buy a house. But the problem was with actually being able to pay for the house. So here we are with all of these "bad" loans which has put a strain on the credit markets. Our government has voted to purchase these bad loans in order to free up the credit market and they are buying them with taxpayers money, but then again, isn't every dime the government spends taxpayers money??? So, how will it effect you? It's going to be a little harder to get a loan, but if you pay your bills on time and do not over extend yourself financially you should be fine. You CAN still get a mortgage! Probably the biggest change I've seen so far is that most 100% loans have gone away. But other than that everything is pretty much the same. You can still get a mortgage with as little as 3% down. How do we get out of it? I'm a little torn on this question quite honestly. I believe that the market would have corrected itself eventually even without the "rescue package", it always has ever since we've been a nation, but there would have been some tough times ahead and there's no guarantee there still won't be. But nevertheless here we are. The market will eventually correct itself. One thing to keep in mind is the last time we had a similar situation was when Jimmy Carter was elected president. The country was facing tough economic times when the new president came in and raised taxes, which is what one of current presidential hopefuls is promising to do. The result was 18% home mortgages and something called "stagflation". There was even an economic calculation referred to as the "misery index"... Yikes! The fact is, we've been through tough times before but our system is the very best in the world and we WILL come out on the other side. And yes, home values are still continuing to rise in our area. Hang in there! Dave
Getting Your House Sold In Todays Market 10-2-2008
This will be the third and final installment of our discussion on how to get your house sold in todays market. Marketing is the next key. Before you hire an agent to represent you in the sale of your home you need to ask some important questions about their marketing plan. First, what is it and is it effective? Does your agent understand where your potential buyers will come from and how will they expose your home to those buyers? In todays competitive market you need to have your home looked at by as many buyers as possible both in person and in areas such as electronic mediums. Making your home stand out from the crowd is very important. Around eighty percent of buyers now begin their search on the internet with Realtor.com being the number one search engine. The way buyers find the right home has changed since I first began my real estate career and I fortunately have been able to keep up with the times. I won't go into my personal marketing plan here because it is quite extensive but if you are looking to sell it would be my priviledge to sit down with you and explain how it all works. Until next time... Dave
Getting Your House Sold In Todays Market 9-17-2008
For todays discussion let's talk about the second component to getting your house sold and that is staging. What is staging? Why should I do it and how do I do it? Let me start out with a question...Have you ever gone into a model home in a new neighborhood? Did you notice how it was decorated? There is a science to that. Professional decorators and stagers are hired to make the home look and feel more appealing. Notice I said look AND feel. For many buying a home is a decision made with the emotions as well as the brain. For this reason a home needs to smell good, look good and feel good. Countless times I have walked into a home with a buyer client and have them comment on how the house just "feels" right. The first thing is to de-clutter. A rule of thumb here is to get rid of about half of your "stuff". Go ahead and pack it away, your going to be moving anyway. The second thing is to take down personal photographs and replace them with more generic decorations. Trust me, people WILL look at your pictures instead of your house. A few more tips include not covering windows with furniture, tone down wild colors and clean clean clean! Both the inside and outside should be bright and shiney including the driveway and sidewalks. If you're not sure about what to do and how to do it there are professional stagers that can be hired at a modest price. Their services range from a simple consultation to full on staging including furniture rental. Does staging increase the value of your home? Not really, but it will result in a quicker sale which will save you money in the long run. Dave
Getting Your House Sold In Todays Market 9-4-2008
For the next couple of weeks we're going to talk about exactly what it takes to get a house sold in todays market. There are basically three things, the first of which we will discuss today, and that is pricing. Pricing a property correctly could very well be the most important factor in this current market. When inventories are up pricing becomes all the more important. Let's say you have an appraisal done on your property and want to price it "a little higher" so you'll have some wiggle room. While an appraisal is a great thing to have it doesn't guarantee a certain sales price. A property is ultimatly worth what a buyer is willing to pay for it. So if your property is priced "right" according to the appraised value but still hasn't sold then maybe it needs to be priced "better than right". In other words, below appraisal. If a property is priced too high the buyers who look at it will simply go and buy the competition. I understand that this isn't nessesarily what sellers want to hear (I know beacause I talk with them daily), but pricing a house too high or waiting until you get "your price" can be very frustrating in the long run. I'm sure you've heard the old saying "the three most important things in real estate are location, location, location". Well I'm here to tell you that the location has a lot to do in determining the price. It could even be said in this current market that the three most important things are "price, price, price". As always I welcome your comments. Dave
Where NOT To Find Local Real Estate Information 8-25-2008
Fact: All real estate is local. Market conditions are not the same everywhere. They often aren't even the same within a local area. Conditions can vary from one neighborhood to another. Getting real estate information for the entire country is like getting a weather forecast for the entire country. It's never sunny and 85 everywhere; at least I don't think that's ever happened. That's why it is important to talk to a local real estate professional about market conditions in our area, and that is one of the reasons I started this blog; to keep you informed about the local market. If you ever have questions or comments let me know. I'm here to help. Dave
Exciting News!!! 8-19-2008
According to the Greater Greenville Multiple Listing Service, between Jan. 1, 2008 and July 31, 2008 the Keller Williams Greenville office was NUMBER ONE in total number of units sold! Way to go guys! It is truly an honor to work with you. Dave
Area Population Update 8-18-2008
Stats...Some folks love 'em and others not so much, but they do keep us informed about the latest trends and can be very helpful when deciding when and where to buy and sell, as well as what kind of activity you might expect. According to the U.S. Census Bureau there were areas of both decline and increase here locally between 2000 and 2007. Areas of decreasing populations are Gaffney -.022%, Spartanburg -2.41%, Woodruff -3.61% and Union -8.00%. Most other areas are experiencing growth with Greer leading the way at +31.84%, followed by Reidville +7.29%, Campobello +5.90%, Duncan +5.08%, Lyman +4.86%, Cowpens +4.25%, Wellford +4.13% and Greenville +3.91%. Now, what do all these numbers mean to you as a homeowner? It's really a simple question of supply and demand. That's why areas of increasing populations are still seeing home values go up, even in the midst of decreasing values in many parts of the country. Dave
Who Are Fannie Mae And Freddie Mac And What Do They Do? 8-11-2008
There has been a lot of talk recently about Fannie Mae and Freddie Mac but exactly who are they and what do they do? Fannie Mae was established in the 1930's by the U.S. government and was ran by them until the 1960's when it became a private enterprise owned by shareholders. Freddie Mac began in 1970 to compete with Fannie Mae. There are primarily two functions that are performed by both and those are (1) to guarantee loans and (2) to buy and sell loans to investors as mortgage backed securities so that the banks will have more money to make mortgage loans. Because Fannie Mae and Freddie Mac are guaranteeing these loans they are the one's who set the standards for who can qualify and receive loans. If an individual falls outside of these established guidelines because of a less than stellar credit history they fall under "non-conforming" guidelines. There is still money available for those types of loans but at a higher interest rate simply because they are riskier. Currently about half the mortgage debt in the country is backed by Fannie Mae and Freddie Mac. Some economists have suggested that there should be more businesses established to insure mortgage loans so that when Fannie Mae and Freddie Mac face trouble it doesn't effect such a large portion of U.S. homeowners. Now, when Fannie Mae and Freddie Mac do have problems how does it effect you? (1) If you are trying to buy a home it may be harder to qualify for a loan because of tighter restrictions put in place by both Fannie Mae and Freddie Mac and (2) if you are trying to sell a home your pool of potential buyers may be smaller for the same reason. To some it all up this is a small "blip" on the screen of a much larger picture. Eventually the "bad " loans that were made over the past few years will all wash out and things will get back to normal. If your credit history is good you have nothing to worry about. If your credit history is less than good keep paying your debts on time and you'll be fine in the long run. If you're not sure about your ability to qualify for a loan let me know and I will put you in touch with a mortgage professional who can answer any and all questions you might have about what you can do to get a mortgage loan. It's also a good time to invest in rental property because there are those who cannot qualify for a mortgage who have to rent until their situation turns around. I welcome your questions or comments. Dave
Some Facts About The Local Market 8-5-2008
Comparing Jan. - July of 2007 to Jan. - July of this year home prices in our area are up 2%.
For the same time frame the number of homes sold is down 12%.
List to sales price is currently at 97%.
The average days on market is up 8% (Keller Williams days on market is 22% better than the area average).
Supply is up 7% compared to this time last year.
Sooooooooo what are we to gather from this gathering of information? First, we are in a bit of a buyers market where supply outweighs demand. Second, home prices are up. Third, list to sales price is still strong. Fourth, Keller Williams agents like myself are the one's to call when it's time to sell! Dave
Good News For The Upstate! 8-4-2008
Amid all the doom and gloom talked about constantly on the cable news channels about the housing market, prices are actually continuing to rise in the upstate of S.C. That's great news for homeowners looking to get a positive return on their investment. These down markets are for the most part confined to California, Nevada, Arizona, and Florida where home prices have soared in the past few years and where speculators have over-built hoping to make a quick buck. California alone has more homes currently in foreclosure than 40 other states combined! About the only thing that has effected us here in the upstate is the changes in the way mortgage loans are given, and that's been because of the "housing crisis" in the other areas. We will get more indepth on this subject in a later entry. The good thing about a free market is that if left alone everything will eventually correct itself. So just hang in there and be thankful you live in one of the most beautiful places in the country! Don't you just love it here! Dave
