Fall is here in Hampton Roads. Our first hurricane scare has come and gone. Children can be seen puttering around at local bus stops in the early mornings. Nobody knows why, but pumpkins and Halloween trinkets have already begun lining the shelves of every store we frequent.
It has been said that the real estate market in Hampton Roads doesn't have an off-season. But if you speak to any agent in the area who has hosted an open house or added a listing to the MLS recently, they would tell you otherwise.
Fear not, my friends! There will be fruit for all in this year's Fall real estate market in Hampton Roads.
This year's Fall real estate market should favor home buyers more so than the past few years have...as the seller's market shifts back towards being a buyer's market.
The interest rates are rising, we heard. Although it may cost a bit more in the long run (if you don't refinance at some point), people in our industry are noting that the rising mortgage rates are predicted to be offset by a reduction in sales prices...and this in addition to the panicked price reductions that usually occur in the weeks leading up to Christmas every year.
✓ This year, I believe that the declining power-position of sellers, which comes inevitably with diminished median home prices, presents an opportunity for buyers to be more aggressive when having agents negotiate sales, demanding inspection item corrections, and seeking reduced sales prices in their purchase offers.
✓ Additionally, the annual holiday offloading of homes will(as usual) allow buyers to be more demanding of things like property inspection items being corrected to their specifications, receiving timely communication, and getting adequate closing cost assistance for their home purchase. Ultimately, the forecast of a power shift in the real estate market will assist buyers in getting to the closing table faster than you can cook a holiday turkey.
✓ Buyers also have the advantage of thinning competition from other buyers (especially those with children in school), and the impending Christmas deadline always rushing sellers to close the deal.
All in all, the real estate playing field becomes a little more even in the Fall season.If the housing market wasn't being predicted by experts to have peaked, and set to decline, It would be hard to say which party in a transaction has a decisive advantage by default during the Fall season...It all depends on who has done their research and come up with the best game plan for coming out on top in the home purchase transaction.
The Fall real estate market is tricky for sellers as it is. However, sellers can capitalize on several different factors if they are properly prepared for the season.
So, the interest rates are rising...and apparently, you'll have to reduce the sale price of your listing, due to an overstocked housing market. These issues don't mean you have to move your furniture back in and slap a "For Rent" sign on your property. Consider the following seller advantages of this Fall season.
✓ The declining power position of sellers, which is sure to be common knowledge this Fall, will have buyers coming out of the woodwork with low-ball offers and aristocratic bravado. This phenomenon can be exploded, however, by strategies such as listing your home well above your minimum acceptance price. Buyers will believe they're getting a great deal when you accept an offer far below a original asking price.
✓ Less offers, but more qualified ones. People on the buying side are rushed to close before Christmas...just like sellers. However, buyers not only want to get the transaction closed before Christmas impedes their day-to-day activities, but they also want the purchase to close before January 1st, sick allowed them to claim the transaction on their tax returns.
✓ Less competition equals more time for your agent to spend with each potential buyer and their agent...allowing your agent to concentrate on details and decisions that could truly seal or kill the deal. You're better off (if you have a personable agent) with less buyers of higher quality...who your agent can connect with and influence to submit offers...than you would be with a stampede of buyers and agents who you couldn't possibly keep track of. With less buyers to show around before loan qualifications hinder your goal of selling your property, you can expect the ones who do show interest to be more qualified, and ready pull the trigger on a reasonable offer.
Overall, I think it's going to be a decent Fall season...either way.
Now let's all get back to work.
Author:Maury Dial Phone: 757-651-2900 Dated: September 29th 2018 Views: 223 About Maury: Maury Dial brings a lot to the real estate world with his extensive background in the tile, stone an...
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