I’m sure you’ve heard it before, “The market is going gang busters!” or “It’s a seller’s market.” Well, what exactly IS a seller’s market and what conditions have to exist for a seller’s market to occur? There are many factors that can lead to a seller’s market. Everything from location to environmental conditions can impact a local market. But there are two factors that ultimately determine whether it’s a seller’s or buyer’s market.
First is the number of actual homes for sale in any given area. This can be homes listed by licensed real estate agents as well as homes privately listed by the home owner which are called For Sale By Owner or FSBO’s. For this article, we’ll be looking only at homes listed in the MLS as they represent the vast majority of homes for sale. The second determining factor is the number of buyers who are actively looking to purchase a home. Let’s take a little deeper look at these prime factors.
As of this writing, there is a total of 4, 379 homes listed in MLS as active. This does not include homes that are listed but are in contract or pending and have not yet closed. In the Columbus market, and heading into the busiest time of year for real estate transactions, we should be looking at a number as high as 8,000-10,000 active listings! So our listing inventory is way down. In fact it’s estimated that the Central Ohio MLS has an inventory of just 30 days. That means quick selling time! Meanwhile, with the improving stability of the economy (perceived or real) and very decent interest rates for mortgagors, we are seeing a tsunami of active buyers entering the market. This creates a sense of urgency in buyers which leads to offers coming in quickly and often times at or over the list price. This is probably the most basic example of a supply and demand environment that creates a seller’s market.
What does this mean for you if you’re thinking about selling your home? Get it listed! This market will correct itself…it always does. When this happens, days on market will likely go up and purchase prices will level out.
With all this said, the question becomes, “Should I sell now when inventory is low?” If you need to move quickly, if you need top dollar for your home or if the idea of keeping your home “showing ready” makes you break out in hives, the answer may be YES. With the average days on market in Central Ohio at 47.4 and list price to sale price ratio at 98.2%, you stand a darn good chance of going from listing to contract to the closing table in record time.
About the author: Michele McTeague has been a licensed real estate agent since 1992 and has helped many people buy and sell homes in varying market conditions. Michele can be reached email@example.com
Thinking of selling your home? I am honored to help people with the biggest financial and perhaps personal decision of their lives by utilizing my years of experience in marketing real estate and industry connections.My utmost goal is to provide each and every client the highest level of service that is based on honesty and integrity.
A word from Chris Russell, CEO of Plum Tree Realty:
"One of my greatest passions is to use our real estate business to help alleviate suffering in this world. So we take proceeds from Plum Tree to help orphans, feed the hungry, heal the sick and hurting, and to aid the homeless ... both in the States and abroad. We are not about "getting rich." We are about making a difference. So when you do business with Plum Tree Realty, you can know that a portion of your money is going toward helping those on this planet who are in need of help. Together we can make a difference!"
To help people realize their dreams in home ownership and real estate investing through the highest levels of broker services at the most affordable prices available.
Our Core Values:
Integrity in every relationship, decision, and transaction.
Truth in word and deed.
Hard work that keeps us ahead of the competition.
Sacrifice of our own interests for the gain of our clients.
Commitment to excellence in every task we perform.
Respect for all people.
Giving to those with whom we work.
Areas of Expertise:
Residential Real Estate Sales and Purchase
Commercial Real Estate Sales, Purchase and Leasing
Real Estate Investing (buying, selling, holding, rehabbing)
Property Management and Leasing
Putting it Together
Plum Tree Realty is a premier real estate marketing company focused on helping buyers and sellers get the highest level of real estate services. We help home owners, for instance, who have homes for sale in Mason, Ohio to price their homes in a competitive way since the market is growing in such a fast rate in that area. When a buyer is looking for West Chester, Ohio real estate for sale, we can guide them to the very best deals that are available, and we can give them expert advice as they make such a huge purchase. We cover all of the major real estate markets of the Greater Cincinnati including the following hot markets:
Cincinnati, OH Real Estate (homes for sale)
West Chester, OH Real Estate (homes for sale)
Madeira, OH Real Estate (homes for sale)
Monroe, OH Real Estate (homes for sale)
Indian Hill, OH Real Estate (homes for sale)
Hyde Park, OH Real Estate (homes for sale)
Blue Ash, OH Real Estate (homes for sale)
Lebanon, OH Real Estate (homes for sale)
Loveland, OH Real Estate (homes for sale)
Fairfield, OH Real Estate (homes for sale)
Hamilton, OH Real Estate (homes for sale)
Liberty Township, OH Real Estate (homes for sale)
Kenwood, OH Real Estate (homes for sale)
Mount Adams, OH Real Estate (homes for sale)
While some people search for homes according to the suburb names, others are very interested in the top school districts in the area such as homes for sale in Mason School District, homes for sale in the Lakota School District, homes for sale in the Wyoming school district, homes for sale in the Sycamore school district, homes for sale in the Monroe School District, and more. Our agents are highly-skilled in placing families in the best school districts in Cincinnati according to the desires of each family involved.
Of course, we also have great skill in helping buyers and investors find foreclosures, short sales, bank owned homes, and other great investment properties in the Greater Cincinnati Metro Area as well. Many of our agents are investors themselves, so they are great at helping other investors be the first one to the "golden egg."
We also have agents who specialize in helping families who are relocating to Cincinnati, Mason, West Chester, Blue Ash, Madeira, and any of the other regions in Southwest Ohio. It's great to have "feet on the ground" when you are looking to make such a move.
Plum Tree Realty has also become quite a favorite company for those who like to try to sell their home as a For Sale By Owner in Cincinnati as well. The reason for this is that we offer a $500 flat-fee listing to home owners who would like to sell as a FSBO, but they would also like to have a presence on the Cincinnati MLS search for homes for sale. Most FSBOs miss that exposure, but for just $500, we can help them get listed on the Cincinnati MLS and find buyers at the speed of ... the internet!
While most brokerages feel they have the best agents in Cincinnati, we truly believe that we are at the top. Many larger companies like Sibcy Cline, Remax (RE/MAX), Coldwell Banker West Shell, Comey & Shepherd, and others are at a size that makes it difficult for them to react to the markets and changing times at a great speed. Since Plum Tree is smaller, we are able to respond to market conditions rapidly and efficiently which gives us a disting market advantage. Remember: "It's not the big who eat the small; it's the FAST who eat the SLOW!"
"We have purchased 2 homes with Plum Tree Realty. We initially found Chris Russell prior to having even visited Cincinnati. He sent us many MLS's and we found our home while on our pre-move vacation in Japan. I probably looked at 15 or 20 houses with Chris on a few occasions. He coordinated the viewings well. He knew about the neighborhoods and which ones were being updated and selling for more. He gave me space to form my own opinion about the house, but if I specifically asked, he would lend his expertise. As first-time home buyers, we were very uneasy about the process. We would ask a ton of questions just to truly understand. Chris was very patient with that. He helped us through the negotiation process and helped explain the titling process when it overlapped with the deal. We closed in record time! We found the house and negotiated the deal within a week of moving to the area and were moving in 5 weeks later. When we went to buy our first rental property, I reached out to Chris and he referred me to one of his realtors who took great care of us. I don't doubt that the rest of the Plum Tree team has just as much integrity and professionalism as Chris and Mike."