I received an interesting call reflecting the mood of the times in the housing market. Before we even got into a conversation of homes for sale, the very first question I was asked from a new client was, “So, I hear you have to offer $100,000 over asking price to win the home of your choosing.” My response was instinctively that it is possible but depends on the home, location and market attraction. I am amazed at the contrast to previous times, when buyers’ running comments might include, “So, I hear an offer within 10% of asking price is a fair one.” Interesting how times and expectations have changed.
In my last article for The Jewish Link, I discussed the art of “change” during these pandemic times. Need I go further than the fear instilled in many of my buyers? The fear is transformed into motivation to offer the best and highest. The term “highest and best” is the latest catch phrase in the real estate industry for finalizing and choosing the right buyer. It has become the new strategy when an owner’s goals have always been to achieve the best offer the market can bear, especially when owners are overwhelmed with multiple qualified offers. Is it scary? Sure it is for the earnest purchaser, but it is the “survival of the fittest” in this current housing market if you want the home badly enough. It is the “nature of the beast” when motivated to purchase a home. And, keep in mind, there are always exceptions to the rule. Good luck, and, to be honest, it is a fierce seller’s market at this time.
On to the snapshot of the month. January 2021 monthly indicators report single-family closed sales up 33% to 1,083, townhouse-condo sales up 16.8% to 375, while adult communities closed sales were up an astounding 100% to 14. The NJMLS reports that single-family median sales price increased 17.9% to $507,000, townhouse-condo median sales price increased to 6.9% to $340,000 and adult communities median sales price increased 38.3% to $431,500. January continued the atypical December trend for a strong housing market with healthy, robust buyer demand. Beware that on the downside, mortgage rates have been recently inching up with a modest increase in short sales and foreclosures, which might be on the horizon.
So there you have it…as always, cycles of sellers’ needs and buyers’ motivation will continue to determine market trends.
Wishing you all a very happy, kosher, most healthy and safe Passover!
Ruby Kaplan is a realtor licensed in both New Jersey and New York. Visit www.rubybobbyhomes.com for more information. The Ruby and Bobby Kaplan team/United RE/ will promote your home with the best of social media and create alerts for your criteria of housing needs. Your housing needs are our priority! Ruby can be reached at 201-314-4152, on her cell at 917-576-4177 or at [email protected].
