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Author: Johnny Rojas
Written On: Tue, 22 Jun 2010
Garfield, NJ (Grassroots Newswire) June 22, 2010 - Many people dream of buying their first home or trading up to a new home that will better suit their changing needs. However, as the market begins to climb out of one of the most challenging economic downturns in recent history, the current state of the real estate market may be in question in many peoples’ minds. Is it the right time to make a move?
In April, two giants in the real estate market announced interesting survey results. Fannie Mae found that two-thirds of Americans (65 percent) are still bullish on homeownership, preferring to own a home despite the challenging economic environment and the housing downturn. Additional research conducted by Century 21 Real Estate LLC provides further insight.
CENTURY 21® First-Time Home Buyers and Sellers survey captured and compared the opinions of prospective home buyers and sellers who either purchased or sold their first home within the past year or are planning to buy or sell their first home within the next year. The majority of survey respondents had moved or intended to move more than 10 miles but less than 50 miles from their previous location, indicating current market conditions may be a catalyst for buying or selling homes, as opposed to a desire to dramatically change geographic location or relocate for a job.
“Buying a home, whether it’s your first or subsequent purchase, is the single greatest financial decision that most people will make in their lifetime,” counsels Rick Davidson, president and chief executive officer, Century 21 Real Estate LLC. “And, our research indicates that today’s market presents a generational opportunity for home buyers and current home owners looking to leverage their market position.”
Current Market Conditions
More than 80 percent of first-time home buyers and sellers feel the current housing market is more affordable today than this time last year. This is despite the fact that 40 percent of all respondents are more worried about the economy now compared to this time last year. Federal tax credits and solid mortgage rates have had a positive impact on driving people to take action.
A full market recovery takes time and current conditions continue to favor buyers. While buyers are excited about the opportunities in the current market, sellers note their main concern is losing money on the sale of their home and receiving offers near their asking price.
When will the balance between housing need and inventory return? The real estate industry typically considers six months of inventory to represent a balanced market. According to the National Association of REALTORS® the number of homes for sale currently represents approximately eight months of inventory and has decreased 21.7 percent below the record of 4.58 million homes for sale in July 2008*. First-time home buyers anticipate home prices will soon begin to rise and in fact, about half of first-time buyers (48 percent) expect an increase by this time next year, thereby reestablishing better market equilibrium.
Let an Expert Help Guide You
Whether you are considering buying or selling a home, 60 percent of first-time home buyers do not feel they have a good handle on the real estate process. Given the complexity and opportunity of today’s real estate market, 85 percent of both first-time buyers and sellers feel that using a real estate professional is important. Allow an experienced professional to help guide you to the home that is right for you, at a price you can afford.
The market is recovering and providing a powerful opportunity to act. Take advantage of positive price points and low interest rates today.
For additional information about market conditions in Garfield, contact Johnny Rojas at (973) 772-9404 or firstname.lastname@example.org.
*National Association of Realtors Existing Home Sales Report, March 2010
Methodology – Century 21 Real Estate LLC First Time Home Buyers and Sellers Survey
MarketTools, Inc. conducted a quantitative survey on behalf of Century 21 Real Estate LLC with 708 prospective home buyers and sellers who either purchased or sold their first home within the past year or are planning to buy or sell their first home within the next year. The quantitative study yielded results from 353 first-time home buyers and 355 first-time home sellers in the form of an online survey fielded from March 12 to 16. The margin of error for this study is 3.7 percent.
About Century 21
© 2010 Century 21 Real Estate LLC. CENTURY 21® Is A Registered Trademark Licensed To Century 21 Real Estate LLC. An Equal Opportunity Company. Equal Housing Opportunity. Each CENTURY 21 Office is Independently Owned and Operated.