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I am sure you are reading all the real estate headlines regarding foreclosures, changes in the mortgage industry and a slow down in real estate sales. All of these things are happening. The sky isn't falling and the world isn't ending. However it is important not to underestimate the fallout from the recent turn of events. There is some good news buried in all of the bad, however there is every indication that home prices will continue to soften simply based on the new reality that fewer people are going to qualify for mortgage loans and the money they are borrowing is more expensive.  

That being said I would like share a tag line from an insurance commercial that ran not too long ago...

"You can't predict however you can prepare."

I do not have a crystal ball and I cannot predict the future. No one can. However if you still have a real desire to sell your home I can help you be prepared to do so.  

1. Price is the most important factor when it comes to selling your home in this market. No amount of marketing, advertising, or open houses is going to cause an overpriced home to sell. And most of the recent sales are no longer a good indication of the value of your home as we are in a brand new real estate market where new price levels have yet to be established.  

2. The sellers who are most successful in getting their home sold in this current environment are the sellers who are getting ahead of the market not lagging behind the market. What you would view as a very disappointing sales price today MAY look like an incredible price six months from now. That is how quickly things can change. The most common mistake a seller can make in a market like this is to chase the market down. My fear is that you spend the next few months listed too high and then when you decide to lower your price the market has moved again and you end up still overpriced and unsold. This pattern of chasing the market down repeated itself frequently in the early to mid 90's as sellers never really accepted the idea that prices were falling until it was too late.  

3. If you are saying to yourself you will only sell your home at a certain price.... you are not a real seller in today's market. Right now buyers are not interested in what you need in order to get your home sold. They are also reading the newspapers everyday and they have a big fear that the home they buy today will be worth less a year from now. Therefore today's buyers are very price sensitive and they are making offers with the idea that prices will be lower going forward.

4. Being a seller at this moment in time is not for the faint of heart. The only people who should have their homes listed for sale are those sellers who truly have to sell their home now. There is no point in "testing" the market to see what you can get. The name of the game right now is equity preservation. The equity in most homes is eroding on a daily basis. In some areas this loss is very slight. In other areas the erosion of property values is very noticeable. So far the high end of the market is feeling the least effect from all the changes that are taking place in the world of real estate. On the other hand, lower end properties are feeling the biggest impact from these changes. Just keep in mind no property is immune from what is taking place at this time. All properties are going to be impacted as time goes on.

My purpose of sharing all this with you is not to paint a picture of doom and gloom. Again, no one can predict what is going to happen tomorrow much less 6 months or a year from now or longer. My objective is to keep you informed of the changes that are taking place in our local real estate market. If you are still considering selling your home I would like to sit down with you and discuss your specific situation and what actions will make the most sense in helping you achieve your real estate goals.

Sincerely,
Steve Lewis  
760.476.9560 - Direct Line  

If you would like to talk about what it will take to get your home sold, whether you have equity or not, just give me a call or email. There is – no pressure, no hassle, and no obligation – just a friendly conversation about your options and how I can help.