For the first time in a very long time, we are seeing an increase in buyer activity in homes priced over $450,000 in the Philadelphia suburbs. A recent evaluation of the activity of agents making appointments on our CENTURY 21 Alliance listing inventory of homes priced over $450,000, has shown a promising increase since March 1, 2010. In looking at homes priced from $450,000 to over $1,250,000, we have seen a 26% increase in buyer appointments in the past 90 days.
The first part of the rise was probably due to first time buyers scrambling to find homes by April 30th. Those homesellers were able to make their move up in the market. However, since we are still seeing an increase in upper end activity in May and June, I believe those who have been sitting on the sidelines are reading the market and coming to the realization that the best prices and the best interest rates are out there right now.
Local market statistics are showing a decrease in housing inventory and in increase in May pending homes sales year to date over 2009 as well as an increase in average prices over last May, year to date. We all know what happens when inventory goes down. Demand goes up and prices soon follow. I believe that buyers who have been on the fence are realizing they don’t want to kick themselves later so they are out there looking. They realize they can afford more home now than they could before, and perhaps even in neighborhoods where they could only dream of living before. Now, more than ever, they have a chance to make their dreams become a reality.
As is typical, the media will not be able to broadcast the sales results until the numbers come in down the road. However, we in the trenches have our fingers on the daily pulse of the market where experience tells us that when activity is up, sales will typically follow.
As Rick Davidson, CEO of CENTURY 21 Real Estate LLC recently said, this is a “Once in a Generation home buyer opportunity”. Let’s hope more buyers contact a REALTOR and weigh the pros and cons of buying a home now. Saving money should be foremost in their mind. We don’t want to see them sitting there saying, “shoulda, coulda, woulda” next year because we did not do our best to get the positive news out there.
To all my Fellow REALTORS. it is up to us to be the news reporters of the activity in our local real estate market! Let’s get on our Facebook pages, let’s get out to our sphere, and let’s move this market! Our clients are depending on us.
No matter where you are moving in the world, my network can help, it is a great time to take advantage of the pricing and the interest rates. 5.6 Million homes have sold in the United States in the past year, there is a pulse out there and we are keeping it alive! My email for questions at anytime is Kathy@CENTURY21.com
