November 2018 Fraser Valley Real Estate Update
No matter what time of the year it is, or what time of day it is, I am always a realtor. You would think that this would be the same for all realtors, but the reality is that there are many "part timers" out there who will make you think that my job can be done in a few hours per week.
After a 60 hour work week I often wish that was the case, but the truth is that it is not. There is so much that goes on behind the scenes, that most weeks I am actually working for at least 30 hours behind my desk, and of course I have to be on the road meeting with wonderful people like you, my amazing clients!
Gaining in depth market knowledge and expertise on different types of homes, keeping up with the newest and most effective techniques for marketing your home, and going through and selecting all the properties that will be suitable for my buyers are just the tip of the iceberg of what happens behind the scenes of a regular day for me. I can't imagine working another full time job on top of all of this, so think about this before you consider hiring a neighbour, friend, or family member who "has a real estate license" on the side and works a full time job during the day.
I'm not saying that it can't be done effectively, but you might want to think twice about the level of expertise you are getting on one of the largest investments in your life. Call me today and I can show you what I do to get your home sold quickly and for top dollar!
October 2018 has finally once again seen more sales than we did in the previous month. We are still down year to year with 1,155 sales in October 2018 compared to 1,779 sales in October 2017, but we are up 11.6% compared to September 2018. October 2018 was still below the 10 year October average of 1,255 sales, but not by much. We also have to take into account that October 2017 was not an ordinary October considering that the market increased substantially due to upcoming government policy changes in the new stress test that we saw roll out in January 2018.
Once again we have seen well over 50% of the sales happening in the attached markets with 306 sales of townhouses and 292 condo sales. 438 detached homes were sold in October 2018. As I have mentioned in past market updates, this is likely to be the new norm for our market, as more and more attached homes are built. To compound this effect, many attached homes have to tear down detached homes in order to free up the land to use, so I would certainly expect this to be the reality from now on.
Our market is still considered to be in a 'balanced market' with a sales to active ratio of 16.3%. This means that 163 homes out of every 1000 listed will sell. This is up from September 2018s 14.6% which is a positive thing for both sellers and buyers. A balanced market is the best market for most, and the majority of homes are sold in order to purchase a new home. If you are upgrading your home in a balanced market, you know that you will likely get a good price for your home, while being able to get your new home for a good price as well. There is one market that I would say this is not the case for right now, and that is if you are thinking of upgrading from your townhouse into a detached house. I think that the price difference we are seeing now, is likely to be the narrowest gap from townhouse to detached that we will likely see in the near future, as detached homes are likely to stay at the prices they are currently at, while townhomes are still seeing the high prices that are a result of last years price spike. I would speculate that this will likely change over the next year while we see townhouse prices come down at a higher rate than detached homes.
I would love to hear from you with any questions you have, whether it be about the market as a whole, or a specific area and property type, I am always here for you. If you are thinking, even a little bit, about buying or selling, give me a call or get in touch with me today! I will never pressure you into making a decision one way or another, instead I believe in giving you the facts you need to make an informed decision yourself.
HPI® Benchmark Price Activity
- Single Family Detached:At $986,700, the Benchmark price for a single family detached home in the Fraser Valley decreased 0.2% compared to September 2018 and increased 1.1% compared to October 2017.
- Townhomes:At $538,400 the Benchmark price for a townhome in the Fraser Valley in the Fraser Valley decreased 0.2% compared to Septmeber 2018 and increased 7.1% compared to October 2017.
- Apartments:At $432,800, the Benchmark price for apartments/condos in the Fraser Valley decreased 1.3% compared to September 2018 and increased 17.2% compared to October 2017.
New Listings
3 Reasons Why a House Isn't Selling
Have you ever driven by a For Sale sign and wondered, “That house has been on the market for a long time, I wonder why it isn’t selling”? You might have asked that question because you were worried the same thing would happen when you put your own house on the market!
Often a home doesn’t sell for one of three reasons:
1. The price is too high.
Sometimes a homeowner will set the listing price exceptionally high in the hopes of getting lucky. What happens instead, however, is potential buyers stay away. In today’s real estate market, a house usually sells at a price that is close to its market value. Fortunately, the current market value of your house - and, hence, its approximate selling price - may be higher than you realize. It’s worth getting a free market assessment.
2. The house doesn’t show well.
Sometimes a house is strategically priced for the market but doesn’t show well. It’s difficult for buyers to look past issues, such as clutter, and see the potential. In those cases, prospective buyers who view the property, don’t like what they see, and move on. If you put your house on the market, make sure it looks its best for prospective buyers.
3. The listing is poorly promoted.
Clearly, buyers won’t become interested in a property if they don’t know about it. The listing must be promoted effectively, and that involves much more than a For Sale sign.
Want more tips on selling your house? Call me today.
Judgements Buyers Make in the First 30 Seconds
You’ve probably heard the expression, “You don’t get a second chance to make a first impression.” When it comes to selling your home, that is definitely true. In fact, a buyer will come to several conclusions about your property within the first few minutes of seeing it. That’s why it’s so important to make a good first impression.
How do you do that?
One of the best techniques is to pretend you’re a buyer. Drive up to your home. Open the door. Step into the foyer. Take a quick look around. Then ask yourself, “What impressions am I getting from this property so far? What stands out? What impresses me? What concerns me?”
Of course, you want to get a sense that the home is attractive, spacious, and clean. You want to emphasize the enticing features, while minimizing the less desirable qualities. There are many great tricks that can help.
For example, if your foyer is small, eliminate furniture and other items in that area in order to make it look a bit more spacious.
If you have a fantastic kitchen, show it off to the buyer. Make sure the appliances sparkle. Set the table with your best dishware. Make it look like a showcase in a kitchen store. You want the buyer to see it and say, “Wow.”
Buyers make judgements about your home very quickly. In fact, it’s not uncommon for a buyer to make a comment about your property, like - “I love the high ceilings” - within the first few seconds of coming in the door. Don’t underestimate the importance of that first impression.
Of course, serious buyers will scrutinize your property more closely, especially if they have an initial interest. What you want to do is to make sure to peak that initial interest.
Want the latest tips in showing your home effectively, so it sells quickly? Call today.
