Real Estate Articles
Bust seller myth about waiting till spring
The broker panel at the Palo Alto District tour meeting included (left to right) Tim Foy (Midtown Realty), Bob Taylor (Taylor Properties), Robert Stelzer (Keller Williams Realty) and Mike Dreyfus (Dreyfus Properties).
Traditionally, spring has been regarded as a time when housing market activity picks up and the best time to put a home up for sale. This notion may not hold true in this market, according to some brokers. In fact, they claim, with inventory being low at this time, now may actually be a good time to sell.
At a broker panel at a Silicon Valley Association of REALTORS® Palo Alto District tour meeting this month, Tim Foy, a broker with Midtown Realty, refuted the popular sellers' notion that spring is the best time to put their house on the market.
"It's a myth, and it's especially not true in this market. Now is an outstanding time to put your house on the market," claimed Foy.
Foy noted there is a short supply of homes in places like Palo Alto. Data from MLSListings Inc., the multiple listing service of the local trade association, shows since September 1, 69 percent of homes have sold in 14 days or less in Palo Alto. "It says we have a lack of supply, which means it's a great time to be a seller!" according to Foy.
Foy questions why a seller would wait till spring when that's when competition from other sellers comes into the market. There are many buyers who would like to take advantage of the historically low interest rates and lower home prices. While people say it's a phenomenal time for buyers, it is also a phenomenal time for sellers, said Foy.
Right now, competition among sellers is significantly lower. There are buyers out there, but inventory is low. The brokers in the panel agreed and reported there have been multiple offers on million dollar properties because there is a low supply of homes for sale.
Traditionally, the ratio of sales price to list price is best for buyers in the November through December period. "Sellers are more reasonable and realistic. They want to get the job done by the end of the year," explained Bob Stelzer, broker with Keller Williams Realty. This market presents opportunities for both buyers and sellers, he said..
The 30-year fixed-rate mortgage (FRM) is currently averaging an interest rate of 4.125 percent, still at historic lows, but these rates will not stay there forever. Affordability has never been better, especially in California. This is why for sellers, as well as buyers, "there is risk in waiting," according to panelist Michael Dreyfus, a broker with Dreyfus Properties. He described the current market as "a very positive environment" for both buyers and sellers.
"Don't wait for your competition. Don't wait for interest rates to rise. Get your property out now," said Foy. "We need to bust the myth of waiting till spring."
The Silicon Valley Association of REALTORS® (SILVAR) is a professional trade organization representing over 4,000 REALTORS® and Affiliate members engaged in the real estate business on the Peninsula and in the South Bay. SILVAR promotes the highest ethical standards of real estate practice, serves as an advocate for homeownership and homeowners, and represents the interests of property owners in Silicon Valley.
The term "REALTOR®" is a registered collective membership mark which identifies a real estate professional who is a member of the National Association of REALTORS® and who subscribes to its strict Code of Ethics.
Variations of this article have appeared in local area newspapers.
For further information, please contact Rose Meily at SILVAR Public Affairs, email , or phone (408) 200-0109.