Happy Monday to all…. What an amazing weekend in our little corner of the world! I spent a great weekend with my family as we entertained my cousin who was in town from Denver. She is a St. Charles native and is continually amazed at the changes that occur in our community between her visits! The weather continues to be ultra-enjoyable and provide for lots of outdoor enjoyment, the grass in the backyard has never looked better, and the pumpkins on my vine are getting larger and larger each week! I LOVE FALL!!
Back by popular demand, here is the ever-so-poplar Monday Morning Market for Geneva real-estate junkies!! Keep in mind this is for single-family, detached homes in our area for the last 7 days….. Here goes:
· Active listings
o 202, ranging from $149,000 to $3,299,000
· Under contract in last 7 days=
o 8 listings, ranging from $229,400 to $437,000… 5 out of 8 were under $350,000
· Price changes=
o 7, with the greatest reduction going from $499,000 to $475,000* (more on this later!)
o 6 in number, from $162,750 to $510,000
A couple of observations from me to you….
1. One of the price reductions that I marked with an asterisk above would pretty much be a poster-child for our market…. That particular property belongs to life-long Geneva residents…residents who were born and raised in Geneva, raised their own family in Geneva, and spent an entire career as highly esteemed builders in our community. Their beautiful home, currently on the market, was built in a way that builders wouldn’t even CONSIDER building today…. Everything top of the line quality and construction! Everything!! Located on an amazing one-acre lot with a garage that I have seen 4 cars in!! When they listed it at $499,000 I thought it would sell right away to someone local…. A buyer who would appreciate the reputation and construction afforded in that property. Lo and behold, months later, it sits, a “sign of the times”, reduced to $475,000 and waiting for a new owner.
2. The other amazing property in our statistics this week was one of the closed sales I noted above. This property, also in an amazing location (on an ultra-quiet cul-de-sac just blocks from downtown Geneva) was on the market for 300 days. Now, in and of itself that’s not a real talking point! However, the fact that it was originally listed at $775,000 and just closed for $481,000 IS A TALKING POINT! This is not the market for any Realtor to let a seller choose their own listing price. The comparables are surely speaking loud and clear right now. Clearly, based on comparables, that home was grossly over-priced from the beginning.
Here is my assessment…… which I believe to be right on the MONEY:
If your property is around $350,000 or less, it has a good chance of selling. If it’s over that magical price, then I believe that buyers are probably only going to buy it if they perceive it to be an extremely good value. Period!
I feel so strongly about this statement! I have discussed it with every buyer I have worked with, and I have presented it in this fashion to every seller that I am working with as well! I have seen these strategies for over a year now, with groceries, clothing, cars and homes…. Buyers are just looking for a deal. I laugh as I write this because it makes me think of the “Kohl’s” flyers that come out in the mail… when my friends and neighbors get the 15% off coupon, it’s no longer good enough. They search out for the 30% off coupon instead before they go off and spend their hard-earned cash!! Even the Geneva Public Library offered a “super couponing” seminar at the library last week, teaching shoppers how to be ultra-savvy when spending for food! I would guess that 3 years ago that seminar wouldn’t even have been suggested? What do you think?
That’s it for today… as always, please let us know if we can help you in any way with your real estate needs! Remember, if you have a first-time buyer in your family/office/neighborhood, there are only 63 days left to enjoy the $8000 tax credit being offered up…. Let them know!!
Have a great week everyone!
Stone Tower Properties