Southern Pines is presently in a slight buyer's market. We did not see a decrease in our market until early 2008. This year, homes priced under $350,000 are experiencing better sales volume than homes priced higher. In many areas homes priced under $250,000 are experiencing steady or increased prices.
Linda Breeding
910-690-8368
The real estate market has held steady in Seven Lakes with only a slight decrease in units sold. Seven Lakes is a popular lake, golf and recreational gated community. Residents enjoy beautiful Lake Aumen and Beacon Ridge Country Club within the gates of Seven Lakes West. Seven Lakes North and South have additional lakes, golf and recreational activities.
Linda Breeding
910-690-8368
The Whispering Pines area is experiencing a slight buyer's market. The Whispering Pines Village limits include the subdivisions of Whispering Pines, Whispering Woods, Whispering Winds, Princess Gate, Royal Woods Way, Arrowstone and Newberry Ridge. There is significant new construction in Whispering Pines which has helped hold the overall average prices up.
Queens Cove and Village of Blue Farm are subdivisions close to the Village of Whispering Pines. Average sold prices have decreased slightly in these areas. There was one new construction home that sold for over the asking price which pushed the sold to list price percentage to 100%. The other homes in the area had a sold to list price of 98%.
Linda Breeding
910-690-8368
Pinehurst is presently in a slight buyer's market and actually did not see a decrease in our market until early 2008. Market statistics indicate that homes priced under $350,000 are experiencing better sales volume than homes priced higher. The market price for homes under $200,000 are actually increasing compared to 2007.
The following statistics are for homes separated in popular locations within Pinehurst Village Limits.
Linda Breeding
910-690-8368
I have so many people ask me, "How's the real estate market?" So I think it's time to discuss the Pinehurst area real estate market and real estate markets in general.
In real estate we are always in a buyer's market, a seller's market, or a neutral market. The neutral markets are usually short term with the buyer's and seller's market being longer term. There are causes for each, as we well know. Every free market goes through cycles. I do not like to refer to these cycles as a "crash" or other similar terms. It is a cycle and it has happened before and years down the road it will happen again - it is the normal flow of the real estate market.
In the Pinehurst area we are currently in a buyer's market. The inventory is high and buyers are few. When this happens it will naturally drive prices down. Is our market severe? No, it is not but it is a buyer's market. In a seller's market inventory is low and buyers are plentiful which naturally drives prices up. It's that simple.
So what should sellers do in a buyer's market? It's based on their motivation to get their house sold. If they feel the need to sell soon, then the price is everything. It is wise to keep their home priced as competitively as possible. This price can change frequently depending on the market. If prices are dropping, in a very short time, a seller could be "priced out of the market". If a seller is willing to "wait it out" to get a higher price, that is what they will be doing, waiting. Buyers will go to the houses that are priced correctly and will ignore the others. If the prices continue to drop these sellers could actually be "following the market downward" and selling for a much lower price in the future. Therefore, each seller is an individual case. If a seller decides that they do not want to be the "best price" in the neighborhood, then they must understand that at a future date, they may have to lower their price even more to get the house sold.
So what should buyers do in a buyer's market? If you are serious about buying this is opportunity time! This is why it's called a buyer's market because the buyers have the advantage! Prices are lower than they have been in the past, currently interest rates are low, inventory is high and the serious sellers want to see offers. Buyers should look at real estate as a long term investment. With this knowledge, know if they keep their homes for 4-6 years, in all probability, they are still coming out ahead.
What should someone do if they want to both sell and buy? In a buyers market the "trade-up" client is at an advantage. For example, if home prices drop 5% and the home you are selling is priced at $200,000 and sells for $190,000 that is a $10,000 "loss". Now, the new home which you purchase is priced at $400,000 and you are able to buy it for $380,000, you just saved $20,000 on their purchase. Leander McClain has written a very informative blog on the trade-up client, his post is well worth reading for a greater understanding. The smaller loss on the sale will be compensated by greater savings on the purchase of a new home, resulting in a significant net gain for the trade-up client.
There are also significant hazards of timing the market for buyers. If buyers are waiting for home prices to drop further they are also gambling on whether or not interest rates will hold at their present rate or drop. What is widely misunderstood, a drop in home prices of 10% is immediately nullified by a 1% point increase in interest rates on a 30 year fixed rate mortgage. It is impossible to correctly time the market. By the time people realize the prices are increasing, they have already missed the lowest prices and the competition will be heavier.
Linda Breeding
910-690-8368
Commission quoted is for illustration purposes only, commissions are negotiable
Linda Breeding, a Pinehurst native, is a focused real estate professional who understands that paying attention to the smallest detail can impact the success of your next move.
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