October 22, 2007

Current listing inventory - 233 active listings in Owatonna as of today. Inventory has dropped just a bit more over the last several days and that contiues to be encouraging. Average days on the market in Owatonna has climbed to 142 days. The newer listings are getting the offers and dropping out of active category leaving the older listings which drives up the days on market count. The number of pending listings has dropped slightly to 45 houses. Average days on the market has remained remarkably low at 90 days. This is due to quite a few of the new listings receiving offers within the first 10 days or so of being listed. There have been 327 properties Closed properties since 01-01-07, with an average days on market time of 116 days.

Interest rates are excellent and there are quite a few good loan programs available. Also many of the lenders are offering specials that will save you quite a bit of money on closing costs or loan processing fees.

Interest Rates dropped just a tick to 6.000% on October 22, 2007.

Year-to-date closed listings 2007 vs 2006 are as follows: Closed 01-01-2006 thru 10-22-2006 369 homes with an average days on market time of 96 days. Average closed price $172,761 Closed 01-01-2007 thru 10-22-2007 327 homes with an average days on market time of 116 days. Average closed price $170,182. Those statistice show we are down 14% in homes closed in 2007, up 21% in days on market time, and down 1.5% in average sales price.

THAT'S NOT BAD FOLKS! When you stop to think about how we are being told every days that real estate is in horrible condition, houses are losing their values, foreclosures are increasing, and home buyers can make any kind of offer they like. In our little real estate world here in Owatonna being down 14% isn't good, but it isn't as bad as you are being led to believe.

Is it a buyers market? Yes it is, without a doubt. Buyers with no home home to sell, that are pre-approved with a lender have a wonderful selection of homes to choose from and some bargaining power. When you find a home you like, write an offer at the price that seems fair to you, don't be surprised if the sellers come back with a counter-offer. There are some bargains out there as we have mentioned in previous posts. However, you are for the most part, not shopping at the closeout rack. We are seeing deals go together much faster and easier when both parties are being realistic.

Try to listen to your Real Estate Professional and their suggestions of price.