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December Real Estate Forecast shows a strong finish to an extremely active year in the Central Oregon Real Estate Market

2016 was a great year for real estate in Central Oregon, and December closed out the year with a strong finish. Sales were up in December, despite lots of inclement weather and snow, inventory dipped expectedly, and a consistent number of pending sales are expected to complete in 2017. Let’s take a deeper look.

Monthly Number of Sales and Price Reductions

The monthly number of sales stayed at a consistent high in the market. The number of price reductions in the month of December were fewer than the month before, as the number had nearly stabilized in November. Price reductions typically happen when properties sit on the market too long, with little to no interest, and it typically means that the property hasn’t been priced correctly. With fewer price reductions in December, we can expect to see more sales moving into early 2017.

Inventory low

Inventory has dipped to an annual low, which is to be expected in the month of December and is typical during the holiday season. The inventory seen this month was lower than the previous four months.

The real estate market becomes more of a seller’s market during the winter months, with fewer listings available.  Property owners should take advantage of this time, with little competition for potential buyers. Duke Warner has months of inventory for every price point under $525,000 in Bend being less than two months.

Consistent Pending Sales

Pending sales stayed at a high number for the month of December, which is surprising considering the winter weather December brought.

Final Analysis

All of this proves that we can expect an active beginning to 2017, that will carry on into the coming winter months.

Sales are expected to remain at slightly above average numbers. Due to the interest in the Central Oregon Real Estate Market, we can expect that fewer price reductions will take place.

The seller’s market will continue into the new year, with fewer properties listed. The time to get a property listed is now, with the expectation of significant activity and lots of serious buyers early in 2017.

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Pros and Cons of Open Houses

Pros and Cons of Open Houses

Selling your home? Considering holding an open house to spark interest? Open houses have long been a point of contention between seller and real estate agents. Some sellers insist upon them, refuse to have them or are undecided about them. Real estate agents are the same: some love them, hate them or don’t have an opinion either way. Learn about some of the pros and cons of hosting an open house, and decide if it’s a great option for you or not.

Pros

There are both negative and positive results to holding an open house. By holding an open house you may be able to attract buyers who are dragging their feet on the start of their house hunt. Some buyers may not be sure as to how to get the ball rolling on a house hunt, and an open house is a great way to get some potential buyers in the door. An open house sign on the side of the street may attract someone who has not yet begun the steps to start house hunting. They allow potential buyers not to feel pressured.

Open houses give great additional exposure to a home. Often open houses are advertised with street signs, newspaper ads, ads online and more. They may also be beneficial to your realtor, as it gives them a chance to connect with other potential buyers.

Cons

Open houses are not necessary to sell a home. The percentage of homes that sell as a result of an open house can actually be quite low. More potential buyers schedule private showings of properties that they’re seriously interested in. Most buyers want to be taken through the home by an agent, and learn about the property. Most open house crowds are less serious.

In order for a potential buyer to be viewing homes with an agent, they must be pre-approved for a certain level of mortgage. The potential buyers that you’re going to attract with an open house could contain a majority of visitors that aren’t even pre-approved. Having people walking through your home, that can’t afford to buy it, is a waste of your time. You would be upset with a realtor that kept showing your home to potential buyers that couldn’t afford to purchase it. Hosting an open house can sometimes be the equivalent of this.

Final takeaway

Deciding to hold an open house for your home is a choice you must make. Consult your real estate agent and get their thoughts on it. Some think that open houses are old fashioned, and in today’s market where the seller has technology at their fingertips, they’ll probably do most of their research online.

 

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Why Hire a Listing Agent?

Why Hire a Listing Agent?

If you’re getting ready to sell your home or property, you may be thinking why do I need a listing agent? With technology these days, you can probably list the property yourself and save yourself the cost of a real estate agent, right? Here are some reasons why hiring a professional real estate agent could benefit you in the long run.

Experience

Local real estate agents have experience selling. While this may not be the first home you’ve sold, a real estate agent has sold hundreds. They know the market you’re selling in, and know what listing prices to recommend, who to market to, etc. A great real estate agent will help you negotiate on a great price, not simply delivering the offer to the buyer.

Agents also can act as a filter for showings and visits. Your agent isn’t going to show your house, unless they’re sure they’ve found a great buyer for it. Typically, your agent will show the house to prospective buyers that have already been vetted or pre-approved by the firm they represent. In short, they’re showing your property to people who they know are interested and who they know can afford it. When you list a property yourself, the calls you get for showings won’t be verified and you could wind up wasting time showing the property to a lot of uninterested buyers, or buyers that aren’t serious about committing to a new property.

Market Knowledge

Agents know what you should list your property at, because they’re working closely with the real estate market in your area. They can find comparable sales for pricing references. Local real estate agents also know where it’s best to market your property. Your agent won’t tell you what you should list your property at, but they can help guide you to a price that increases your changes of selling.

Your real estate agent is there to ensure you have as easy a sale as possible. They’ll help with paperwork, questions and more. Purchase agreements can run over 10 pages, without including federal or state disclosures.

Take Away

There are a lot of questions that come with buying or selling a home. One of the greatest benefits of having a listing agent is that you can call them and ask questions anytime. Even after you’ve closed your home, if you get an invoice about property tax assessments that you don’t understand, you can call them and straighten it out. Lots of questions can pop up after the excitement of closing on a house, and a real estate agent will still be there to answer them.