Rochester NY, Real Estate Recap (2014)
End of the Year Market News
It is hard to believe that Christmas is only a few days away. I wanted to send you one last update to help you stay current with the local real estate market.
2014 was a breakthrough year for many areas. Prices are almost as high as they were 8 years ago yet the market did not make a turn in the right direction, YET!..
Here are a few highlights from the past 12 months:
1) Inventory decreased at a big enough rate to influence prices. In many cases, we are getting sellers an additional 10% more for their properties.
2) Sales increased. I am sure you know this but it is important to note it once again.
3) Interest rates remained very low making it a great time to buy real estate. The low rates have really influenced new buyers to come into the market. Demand for real estate was high this year.
What will we need to look out for in 2015:
Of course, I am not in the business of making predictions yet here are a few topics that are being discussed.
1) New construction is increasing at such a fast pace that it may start pushing prices down for existing homes. The builders are increasing supply too fast right now. I am not anti-development, yet we must understand how it impacts current owners. The reason why prices rose this year was due to low supply. Many local builders see the low supply as an advantage and you will see many of them forecasting with added inventory and Spec Homes For Sale.
2) Interest Rates! All signs point to an improving real estate industry and this will drive up the cost to loan money, you can still get locked into a historic low interest rate.
3) Due to a healthier real estate market, and a supply shortage buyers will need to be prepared to make faster decisions or compete in bidding wars to win the prize of home ownership. Due to the shortage of home on the market sellers will have the ability to get top dollar for their existing homes.
We are preparing a 2014 Annual Report which you should receive by mid January. If you want specific information about your community, please let us know so we can create a custom report just for you.
We appreciate you allowing us to be your real estate resource. I will continue to keep you informed as the year goes by. Have a Merry Christmas and a Happy New Year.
We are here to serve you so please let us know anytime you need something.- Craig Schneider