There have been substantial gains in 2011 in the Woodstock market compared to the same period a year ago, as well as showing more robust numbers than the rest of the county. The number of units sold is up slightly, but the dollar volume of sales is up substantially: + 32% indicating that more expensive properties are now selling. Average and median prices also reflect gains of over 20%.
Lawrence Yun, Chief Economist for the National Association of Realtors foresees a recovery in the real estate market:
"After six years of a demoralizing and protracted housing market recession, a light is finally appearing at the end of the tunnel - and it is not a headlight from a freight-train. It is a genuine warm sunny glow. The latest pending home sales index - which reflects contract signings to purchase a home - rose more than 10 percent in October from the previous month and more than 9 percent from one year ago. Because the wide swings in sales related to the homebuyer tax credit are largely over, that year over year increase is a clean jump and not just a rise due to some artificially low comps of the past year. Clearly the data implies something is brewing out there. Yes, there are still cancellation issues related to appraisals, tight underwriting, and other issues. But buyers are evidently recognizing the great opportunity to own real estate and acting accordingly."
He bases this prediction on - reduced home inventory - rising rents - mortgage rates that are too low to pass up - the addition of 2.5MM jobs to the economy
Here are the numbers for single-family houses:
Year ending 12.31.11 compared to the same period a year ago
Number of units sold:
Year ending 12.31.11: 93 Year ending 12.31.10 : 86 Percent change: + 8%
The absorption rate for Woodstock, i.e. the amount of time it would take for the entire inventory of houses to sell, based on the rate of prior sales, is 11.5 months, lower than it was 3 months ago (15.2 months), and less than that of the entire county which is 15.7 months. There are currently 92 houses on the market, ranging from a 860-square foot ranch on ½ an acre in good condition for $110,000, to a 4,000-square-foot contemporary on 183 acres for $1.99MM.
Of the 92 houses that sold during the previous 12 months, here's a breakdown by price range:
Over $1MM: 5
$800k-$999k: 2
$700k-$799k: 2
$600k-$699k 6
$500k-$599k: 5
$400k-$499k: 4
$300k-$399k: 23
$200k-$299k: 21
$100k-$199k: 21
Below $100k: 2
The highest priced property that sold was a farmhouse in fair condition on 1000 acres which sold for $3.25MM. The least expensive property that sold was a 900-square-foot cabin, whose floors gave out due to the weight of the owner's possessions, that sold for $62,500
Ultimately, if you can afford to, this is a great time to buy. Inventory is high, prices are the lowest they've been in years, and interest rates are still low, though expected to rise over the course of the year. The average for a 30-year fixed rate mortgages is 3.9%
If you're a seller, pricing and presentation are key: properties need to be priced below market value to attract buyers and offers. As for presentation, a house needs to stand out in its price range, in other words be "staged". The basics of staging are cleaning, doing obvious repairs, decluttering and depersonalizing.
About Nancy Brenner:
After being a weekender for 10 years, I moved upstate permanently in 2001, and have never looked back. My background as an executive recruiter made real estate a natural progression, using my intuitive and negotiation skills.
My clients, whether buyers or sellers, appreciate the knowledge I bring to the table.
For more information, access to listings, as well as a library of real estate articles covering just about everything, please visit my website www.nancybrenner.com.
These reports reflect the views and opinions of their authors and are not necessarily the views and opinions of Realty Times.
