Regional Spotlight—Reports from local agents in Andover, Massachusetts indicate that buyers aren’t scouring the market before putting an offer down on a property.
Lisa Johnson Sevajian, vice president of Coldwell Banker Andover, Massachusetts says, “Buyers are buying and they are buying quickly. The trend of two to four showings on a property before an offer would come in is changing. I’m seeing offers coming in during the first showing or shortly afterward. When buyers see value they want to take advantage of it right away.”
Much of this has to do with the fact that many buyers have been waiting on the sidelines for months, even years, as a result of the instability of the real estate market. With interest rates at all-time lows, and the beginning of stabilization, consumers are motivated to find a home quickly so they can take advantage of low rates while they are still available. According to CNN mortgage, rates are at four and a half percent; one year ago the average was five percent, three years ago it was six and a quarter percent.
Chip Poli, CEO of Poli Mortgage Group, Inc. says, “Consumers are smart to take advantage of the current market’s record low rates because they are bound to go back up. Buyers don’t need perfect credit to buy a home or even qualify for an FHA program; they just need to work with seasoned professionals that will allow as seamless a process as possible.”
Chobee Hoy, Owner of Chobee Hoy Associates Real Estate, Inc. in Brookline points out, “When it comes to getting a sale closed quickly the most effective strategy is reasonable pricing. With an experienced agent that understands how to price a home properly based on comparables, it’s much easier to sell a home quickly.”
In the past, the market was flooded with homes for sale, many overpriced, as sellers weren’t eager to accept the fallen values of their homes. The news has been out for some time that the appreciation of the early 2000s has reversed, and many sellers are being more realistic in their pricing strategy, which in turn is appealing to buyers.
