ERA Evergreen Real Estate

Recently there has been a lot of talk about the “Real Estate Bubble.” While it’s true that our local area has seen a cooling in the real estate market from 2005, what we are currently experiencing is simply the law of supply and demand. From 2003 – 2005 we had few sellers and lots of buyers. Many of these buyers were turning to real estate investments in droves due to the unpredictable performance of the stock market in recent years. This influx of buyers drove prices up at an unsustainable rate. Property owners saw the huge price increases that their neighbors experienced and many decided to sell. With the combination of rapid price increases, rising interest rates, and rising energy costs, this sudden shift upwards in supply quickly outpaced the number of buyers, creating the slowdown we are seeing right now.

I don’t see this slowdown lasting for an extended period. I see the long-term future of our market as very strong. The first set of baby boomers turn 60 this year, and we have an 18 year supply lined up after them. This generation is looking for second homes or retirement homes, and despite the drop in the stock market, they still have money to invest and love real estate. In addition, a good portion of these Boomers state that they want to move to the Southeast U.S. for their retirement years. With a mild year-round climate, extensive recreational activities, and developments catering to the 55+ crowd, the desirability of our location is a plus for buyers considering the Southeast.

For buyers, now is a good time to buy. With the increase in inventory, there is no shortage of properties available no matter what you are looking for: second homes, investment properties, retirement homes, and primary homes. And, sellers who jumped on the sky-high pricing craze are generally more negotiable now than they were last year.

For sellers, the best time to sell is when you are ready to sell. If your property is priced right, shows well, and includes features such as a home warranty, statistics show that it will sell within a normal time frame. However, it is very important to find the right real estate professional to help you market your home or property. This market requires more than just putting your property on the local MLS. Look for someone that can help you price your property competitively, “stage” your property for good showings, market your property using a variety of methods including the internet, and offer a wide range of value-added services. For instance, at ERA Evergreen we pledge that “We will sell your house or ERA will buy it.” There are some conditions that apply, but this is just one way to take out the guess-work in selling a home.

Kristy Gonzalez is Broker in Charge of ERA Evergreen Real Estate Company. kristy@evergreenbg.com www.eraevergreen.com