Steve's Market Update

Fall 2007

Current Real Estate Trends

Kimberly Blanton in a Boston Globe article, (September 20,2007), stated, "That while much of the Massachusetts housing market is slumping, one segment is booming: The million dollar plus properties." According to The Warren Group of Boston, sales of single family homes priced at one million and above have surged 9.6 percent this year, compared with a 5 percent decline in sales under a million.

We at The Buyer Brokerage can attest to the truth of these statements as our boutique office is involved with three sales above a million dollars. Cape-wide since April 1, more than 165 homes have sold above a million. Analysts suggest that an explanation for strong sales is that the wealthier homebuyers are paying cash and are less affected by economic cycles.

That may well be true. However, in our experience, the local Cape Cod banks, (notably for us, Cape Cod Co-Operative Bank), who offer in-house portfolio loans, are ready, willing and able to provide mortgages at very competitive rates for qualified buyers.

At the same time, the overall house prices across the state have fallen 4.7 percent this year. The median price sale in the million plus category has risen 3.7 percent, according to The Warren Group. On the Cape, the overall number of single-family and condo sales grew from 318 transactions in August 2006 to 361 in August 2007, according to the Cape Cod and Islands Association of Realtors.

Higher priced homes do stay on the market longer, due to the smaller pool of buyers. The average house under a million currently has been listed for 100 days, compared with 139 days for one million and up, according to MLS Property Information Network.

Whatever your price range, we want you, our buyers, to stay "CHOOSEY"! We believe that now is a very favorable market for you to find the quality home that suits you, and purchase it at the optimun price.

We look forward to working on your behalf!

As we like to repeat... "Be served, not sold" in 2007.

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