It's almost a buzz word. At parties, in the office, at school, in the grocery line, the minute someone hears I'm a REALTOR®, the question pops out, "How's the market doing?" It's like asking a plumber if water is hot or cold. The answer is, "It depends." It depends because how the market looks is based on the perspective from which you're viewing it.
St. Paul home sellers probably think the market sucks. They have good reasons: prices are down; length of time to sell has increased; lots of competition in the housing market; and a real possibility of not successfully making a sale.
St. Paul home buyers probably think the market is awesome. They also have good reasons: prices are down; no multiple offer pressure; time to think about the purchase and do due diligence; and lots of houses from which to choose.
St. Paul real estate agents have mixed feelings about the market. Agents specializing in foreclosures are busy beyond comprehension, but not all of that "busy-ness" is making money for them. Marketing mass amounts of foreclosures is expensive and time consuming. Agents only get paid when a house sells and since not all houses are selling, a lot of time and money is being spent with no compensation in return. In like manner, regular listing agents are having to market harder and explain the lowering of home prices to their clients which is no easy task. Many have had to learn what a short sale is and how to negotiate the layers of paperwork involved. Once again, there is no guarantee of a sale and thus, no guarantee of being paid.
Buyers real estate agents are happy with the inventory and the lack of multiple offers. Lowers prices are a boon for their clients although that also means lower commissions. But, a buyers' agent is guaranteed to get paid . . . eventually . . . maybe after showing 50-60 or more houses!
All of the other real estate professionals have taken a hit as well. Many mortgage officers, title companies, and paper processors have experienced lay-offs and slow downs. To them, the market is in a slump.
So, if you pass me in the grocery store or see me at a party and ask the all pervasive question about the market, don't be surprised if I tell you, "It depends". Truly, I'm not trying to be cagey. It just depends!
St. Paul is definitely worth spending and i was bit disappointed to read that St. Paul real estate agents have mixed feelings about the market.I believe this situation will change and happy hours are not far behind.For better information on Real Estate ,Visit-http://www.realestateinvestor.com
Posted by: Real Estate Investor | March 22, 2008 at 08:33 AM