The spring real estate market in the Metrowest area has been gaining momentum, and certainly was not hit as hard as other areas in the first place. But buyers are still taking their time to decide on the perfect house at just the right price. They know that there are great deals out there and want to find them. For sellers, this means doing everything possible to make the home show well; staging, landscaping, and any necessary repairs or updates, or otherwise pricing it accordingly to attract those who truly want a fixer-upper.
Lots of buyers ask about foreclosures and say they are willing to complete the needed renovations. There is not much mystery to finding these properties, as most are listed on MLS (don't pay for a site to provide foreclosure listings - the information is public record anyway). The hard part for many buyers to swallow is the extent of work that many of these homes need, and the fact the they will face competition from offers with no contingencies submitted by investors.
For most buyers, they do have the opportunity to be picky, but will find that a move in ready home may not be priced way below an already low market value; they will likely be doing well with their timing of the market and interest rates alone. So to take advantage of this situation and find a home they love, they may have to be willing to make some small concessions.
And speaking of interest rates financing....
According to an article on www.housingwire.com, mortgage rates are at a new low for 2011, at 4.6% for a 30 year fixed rate loan. The FDIC and the Federal Reserve are proposing a required down payment of 20%, and it would likely take a while for the market to see an effect, however, the impact this could have on first time buyers and on sellers trading up from their starter homes would be very significant.
Food for thought for buyers and sellers before everyone enjoys a sunny Memorial Day weekend!
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