It is about more than money
With better employment in the county and with interest rates dropping again last week, there are likely more qualified buyers in the market than at any time in recent history. The problem many of those prospective buyers are having is finding suitable properties to buy.
Yes, the investor is still competing for good low-priced homes, but they too are finding that they have to be quick, and make a strong offer to win the purchase. With only 1,315 single family homes on less than two acres - our largest category - many agents are scratching their heads and wondering where they will find the right home for their clients in Kootenai County. The right home of course has to be the right size, the right price and in the right neighborhood.
Friday we received 12 individual inquiries from agents seeking assistance in finding the right home for their clients. Usually that means that the agent has scoured the Coeur d'Alene Multiple Listing Service and has come up short. Many of the homes listed there are "active with contingencies" which means that they already have an accepted offer but are willing to accept backup offers to protect their sellers. Yet, for those who search, these homes appear as active listings.
Some property owners tell us that they cannot remember a time where they received so much mail from agents seeking listings. If your mailbox is full of solicitations from agents, it probably means that you live in an area of high demand due to the reasons listed above.
When demand is high of course that is the right time to sell if you are in a position where you want to maximize the income potential of your home without disrupting your life. Competition is not as vigorous for higher priced homes so, if you have been anticipating moving up, this could be a good time to sell high and buy low.
You have to be careful though. With inventory short, some agents are inclined to second-guess their own research and agree to list your home for your ideal number. When demand is high you will get top dollar for your home, but top dollar is dictated by the market rather than by delusions. When an agent suggests a market price it is usually because they believe that is the most they can get. If their analysis does not suit you, it may be better to wait a while than to insist on listing for a price higher than recommended.
Although there is a low supply of good homes, there are still plenty of over-priced homes listed that have little hope of attracting buyers. Even worse, when an acceptable offer is negotiated and both buyer and seller are emotionally involved the home has to appraise at or above the negotiated price or the buyer will not get financing.
Selling your home should make you feel good about your investment. Expecting a higher than reasonable return will only disappoint.
Trust an expert...call a Realtor. Call your Realtor or visit www.cdarealtors.com to search properties on the Multiple Listing Service or to find a Realtor member who will represent your best interests.
Kim Cooper is a real estate broker and the spokesman for the Coeur d'Alene Association of Realtors. Kim and the association invite your feedback and input for this column. You may contact them by writing to the Coeur d'Alene Association of Realtors, 409 W. Neider, Coeur d'Alene, ID 83815 or by calling (208) 667-0664.