The New "Normal"

I had an opportunity to attend a sales class on Tuesday where the speaker was from Stockton, CA which in 2007 held the dubious distinction of having the highest foreclosure rate in the nation. Their market and other markets around the country have experienced now for 2 years, declining values just as we have in our Northern Michigan real estate. These lost values are not something that will come back quickly. We presently have a 31.5 month supply of direct waterfront homes in the Traverse City area - all things being equal it will take 2-1/2 years to sell your home on the water. As recently as last Fall, the direct waterfront home supply was at over 80 month supply. There has been some great activity in the waterfront market but only the most aggressively priced homes are selling and will continue to sell. We have a Buyers Market today and the shift has created a complete reversal of the type of market we experienced during most of the 2000's.

Every Seller has his own unique situation and as professional Realtors it is our job to help you navigate the road bumps and to be honest with you about the Fair Market Value of your property. If you have reasons to sell and move on with your life, please consider the carrying costs of not selling if yours were to be one of the homes on the market for 31.5 or more months. The market Shift is permanent and price, condition and flexibility are what is required of the Sellers of Waterfront Homes in 2010, in my opinion. We are selling homes and we have comparables that will support current Market Value.