One of the more frequent questions I’m asked is whether 2010 is going to be a good year to sell a home. Nationally, home prices are expected to rise between 4-5 percent in 2010. That is great news, but doesn’t mean your house is necessarily going to go up in value 4-5 percent. As traditional home sales are becoming more and more common, the discounted home prices of foreclosures and short sales aren’t factoring in as heavily to the median sales price. That being said, your home probably hasn’t lost as much value as the Median Home Price reflects. With the home buyer tax credit being extended into late spring, first time buyers are certain to be large portion of home sales early in 2010.
Locally, indicators are pointing towards a more balanced market. Home Inventory is down 22.9% and Sales are up 16.9% compared to a year ago, making the Supply Demand ratio snap back towards a normal balanced market. However, most of that 16.9% sales increase has been in the sub $190,000 price range. Homes above $190k show an actual Decline in home sales compared to a year earlier.
In Summary, if you own a home in the sub $200k price point, things are looking very favorable for 2010. In many neighborhoods its actually hard to find a home under $200k. If you own a home valued over $200k, prices will likely level off, with a slow to moderate gain over the next few years.
If you’re thinking of Selling, call one of our team members for a detailed analysis on home pricing in your neighborhood. If now isn’t the right time to Sell, you may be able to rent out your home and cover your costs.
Dan Asleson – Broker/Owner
HALO Properties and Management
