GOOD MARKET – BAD MARKET ?
HOW IS THE REAL ESTATE MARKET SHAPING UP FOR 2007 ?

A brief summary of the year so far shows results compared to 2006 year to date.

2007 2006
Single family homes

Sold single family homes 2,554 2,625

Average asking price $177,646 $175,163

Average sale price $170,356 $169,498

Percent sale to ask price 95.9% 96.8%

Average days on market 113 100

Current active for sale homes ` 13,290 n/a


Condominiums

Sold condominiums 398 379

Average asking price $141,706 $145,281

Average sale price $138,705 $142,489

Percent sale to ask price 97.9% 98.0%

Average days on market 132 113

Current active for sale condominiums 2,631 n/a


Interest rates are still at an all time low (last week 5.875% on 30 year fixed with 20% down) and the weather continues to be reasonable enough for buyers to go out looking.

National and local forecasters are anticipating a good year and citing 2006 as “the bottom of the trough” for real estate. Builders and their forecasters are anticipating a robust 2007 compared to 2006.

In contrast, the national and local news media continue to paint a less than favorable picture of the real estate market, leading many buyers to make offers 5-10% below asking price, which price has often been reduced from the original ask price. Buyers and sellers need to become more realistic in their expectations and not be so influenced by media “mis-information”.

We truly believe this is a good time to both buy and sell a home. Low interest rates, the expectation of values rising in the coming years and the general good health of the economy all bode well for your real estate investment.

Jim Lubinsky
Re/Max Affiliates
614-766-5330 ext 119