Indian Peaks Real Estate Stats May 2017

Here comes the summer and with it a slow in the marketplace. This has been something we have talked about consistently over the past few years. About the time June hits the spring market slows down and the Buyers thin out.

The inventory in Indian Peaks virtually the same as it was in May of 2016. However, the days on market has increased from 53 to 93 days to close a real estate transaction from list to sold. That is a 56% increase in the days on market! The absorption rate also shows the slowing in demand from one month of inventory in April and May of 2015 to over 2 months of inventory available today. The part that is strange about this is that we are seeing the slowing in demand through April and May, which is before the historic decline in demand when we normally see a slower June.

One thing that makes me think that demand is slowing is that prices are increasing to a point that make them more difficult for the average buyer to obtain. The homes that are still active on the market are pushing over the $600,000 mark. This is making it imperative that a home coming to the market has its best foot forward in order to entice the Buyer. That is more than simply being clean. Things like updates need to be considered. Considering the following updates is crucial to entice a Buyer to offer on your home. Some things to consider might be:

• Flooring – is it dated? Could the wood floors be restained with a new more modern color, or are they the honey oak color? This color is out of style and turns off Buyers.
• Trim – is it over painted, or dinged up? Its probably time to upgrade to a tall, flat plank.
• Cabinets – are they the original McStain (which have likely yellowed like the floors)? This is a big deal to Buyers who want to move into a home and not worry about making updates. Do you price the home for a new kitchen, or do you replace the kitchen? These are serious questions.
• Carpet – if the carpet is older than 5 years it is likely that it needs to be changed before selling.
• Bathroom fixtures – if they are gold they are not in style anymore. These are easy fixes that don’t break the bank.
• Ceiling fans and chandeliers – are they the original ones McStain put in with the house? If so, they should likely be updated.
• How old is the roof? Many throughout the neighborhood are coming due for replacement.
• Do you have any energy efficiency features that Buyers might be interested in such as solar, upgraded insulation, high efficiency furnace and air conditioner or new windows? These are popular with Buyers who don’t want to move into an uncomfortable home that is expensive to heat and cool.

Its best to do these updates slowly over time so that your budget isn’t overwhelmed by the to-do list. Call me and we can discuss a 24 month timeline for doing these updates slowly. I even have advice on getting some rebates for the energy efficiency items.

Leanne 720-465-7005