Traditional Sellers: It's "Go" Time

Or so says local REALTOR® and our data-friend (is that a word?), Aaron Dickinson in a recent blog post.

With foreclosure inventory dropping like a stone and often subject to multiple-offer price wars, and short sales still requiring a substantial amount of time and effort to close, Dickinson argues that traditional sellers have a unique window of opportunity in the fall market to nab a buyer. And that's especially true for first-time buyers who need a quick close to get in before the November 30th tax credit deadline.

From the post:

• The first time home buyer $8000 tax credit expires on November 30, 2009 and most transactions take 3-5 weeks to close after an offer is made.
• Buyers will have to have chosen and negotiated on a house by the end of October to have a reasonable assurance of closing prior to the expiration of the credit.
• Banks do not have great concern over deadlines when dealing with REOs, so they are not likely to consider November 30th a “make or break” date even though the buyer will.
• Buyers making offers on short sales risk missing the tax credit if the answer from the seller’s lender takes to long or isn’t acceptable.
• In the coming weeks Buyers will find that the only option they have available to them has been the one who has been ready and waiting for this moment: the Traditional Seller.

If you are a Traditional Seller and your house is currently listed, keep it listed through Halloween if you can.  In past years the market quickly quiets after school starts but this year appears to be very different.  If you’ve been considering taking an additional price reduction, take it as soon as you can so you are priced correctly when the buyers’ interest swings your way… this will likely be you last-best-hope for selling till March 2010.

As we noted in our post from last week (see "Neighborhoods Where Traditional Homes are in Shortest Supply"), this has already started, to a degree. Sales of traditional, non-lender-mediated homes are up below $150,000 where first-time buyers can afford.

Sounds like "go" time for sellers.

 

Comments

[Mike Weiland]

A clear, concise assessment of the current market situation. The clock is ticking for the tax credit and there is no time to lose!

[Robin Smith]

Nice party..keep on the good work..

Thanks a lot..

[Jason Sandquist]

Isn't go time every day in Realtor world ;-)