I happen to agree with the sentiments of this article. Now IS a great time to buy in metro Detroit. Prices can and will go only so low, and I believe that we are nearing the end of the price depreciation that has plagued this market for the last few years. In terms of economic reality, I think the worst of what we are to suffer is behind us. Now it becomes a matter of public perception. As the old saying goes, "perception IS reality," so the main thing that has to happen now is for people to start seeing that the market has bottomed out. Once that happens, people will start seeing the incredible bargains that exist everywhere around metro Detroit. Once that happens, people will start buying again. Once that happens, the market will stablize. Once that happens, the market will return to normal. The statistics mentioned below might be indicative of a change back toward the direction of normalcy in real estate in this town. Let's hope it is!
SUZETTE HACKNEY: Stress positives in slow times
June 30, 2006
FREE PRESS REAL ESTATE WRITER
I've always known metro Detroiters are smart people. It never takes us long to see the upside of what initially seems like a down situation.
We all know southeast Michigan has a struggling real estate market right now. Communities are saturated with homes that are slow to sell, and when they do, they often yield less money than they once would have.
But when we're given lemons, we make lemonade.
In real estate terms, that means embracing this market as one in which we can find a dream home for less money.
In an April poll commissioned by RE/MAX of Southeastern Michigan, 55% of metro Detroiters said they strongly agree or somewhat agree that now is a good time to buy a new home. The poll, surveying 604 people, was done by W.K. Greene & Associates in Royal Oak and had a margin of error of plus or minus 4 percentage points.
The majority of the people surveyed cited overall favorable conditions like having many houses to choose from at good prices and a belief the market is heading for a rebound. That's clear thinking, folks. Despite the uptick in interest rates, this is a great time to buy if you want the most house for your buck.
I am astounded by some of the deals that are out there. I see neighborhoods that used to be way out of my price range, but where I can afford to buy now. I read the Real Estate ads and visit open houses and am amazed at the type of house I could get today on my budget, compared to the one I got when I bought three years ago.
There are so many homes out there to choose from; just the prospect of shopping is enough to make me want to upgrade. I probably won't, though, for some of the reasons the people in the RE/MAX poll cited.
About 45% of the respondents said uncertainty about the economy made them feel this is not a good time to buy a home.
Those who thought buying right now is a mistake viewed market conditions as depressed overall, said houses are not moving quickly and that it's tough to sell the homes they have. I know there are sellers in our market who feel no one will ever buy their houses. I interview them almost on a daily basis.
According to the poll, though, homeowners are realistic about the amount of time it would take to sell a home in metro Detroit. Respondents were asked to estimate how long they thought their home would sit on the market. The largest portion, 26%, did not know; 16%, said they believed the house would be on the market five to six months -- a pretty accurate guess right now, according to multiple-listing services.
In a strong market, a home would be listed 30 or fewer days, but no more than 60.
For now, though, the frenzied buying days are gone in metro Detroit.
But remember, this is all about accentuating the positive. If you're a buyer and not a seller, you might be able to sip that lemonade on your new front porch or deck by summer's end.
June 30, 2006
FREE PRESS REAL ESTATE WRITER
I've always known metro Detroiters are smart people. It never takes us long to see the upside of what initially seems like a down situation.
We all know southeast Michigan has a struggling real estate market right now. Communities are saturated with homes that are slow to sell, and when they do, they often yield less money than they once would have.
But when we're given lemons, we make lemonade.
In real estate terms, that means embracing this market as one in which we can find a dream home for less money.
In an April poll commissioned by RE/MAX of Southeastern Michigan, 55% of metro Detroiters said they strongly agree or somewhat agree that now is a good time to buy a new home. The poll, surveying 604 people, was done by W.K. Greene & Associates in Royal Oak and had a margin of error of plus or minus 4 percentage points.
The majority of the people surveyed cited overall favorable conditions like having many houses to choose from at good prices and a belief the market is heading for a rebound. That's clear thinking, folks. Despite the uptick in interest rates, this is a great time to buy if you want the most house for your buck.
I am astounded by some of the deals that are out there. I see neighborhoods that used to be way out of my price range, but where I can afford to buy now. I read the Real Estate ads and visit open houses and am amazed at the type of house I could get today on my budget, compared to the one I got when I bought three years ago.
There are so many homes out there to choose from; just the prospect of shopping is enough to make me want to upgrade. I probably won't, though, for some of the reasons the people in the RE/MAX poll cited.
About 45% of the respondents said uncertainty about the economy made them feel this is not a good time to buy a home.
Those who thought buying right now is a mistake viewed market conditions as depressed overall, said houses are not moving quickly and that it's tough to sell the homes they have. I know there are sellers in our market who feel no one will ever buy their houses. I interview them almost on a daily basis.
According to the poll, though, homeowners are realistic about the amount of time it would take to sell a home in metro Detroit. Respondents were asked to estimate how long they thought their home would sit on the market. The largest portion, 26%, did not know; 16%, said they believed the house would be on the market five to six months -- a pretty accurate guess right now, according to multiple-listing services.
In a strong market, a home would be listed 30 or fewer days, but no more than 60.
For now, though, the frenzied buying days are gone in metro Detroit.
But remember, this is all about accentuating the positive. If you're a buyer and not a seller, you might be able to sip that lemonade on your new front porch or deck by summer's end.
No comments:
Post a Comment