Good News Bad News

The good news is that mortgage rates continue to drop after the Reserve dropped the Prime Rate last week. That combined with a surplus of available homes for sale is also good news for Seacoast buyers.
The bad news for home sellers is obviously that it is taking much much longer for homes to go under agreement. It is clearly a buyers market right now. Some home owners needing to move on to other living situations before the winter are opting to rent their properties rather than leave them vacant over the the next months. This is only an option for sellers who already have a down payment available and who can balance more than one home.
If you are thinking of putting your home on the market now it is very important to price according to what the market can handle. Prices have come down this summer moderately. Unfortunately, many sellers who where advised as to the market value of their homes in the Spring of 2007 and chose to list far above that price are still on the market, continually dropping their prices and playing catch up. Buyers are also weary of these properties and why they are still on the market. Hence there is now a glut of homes in the Seacoast for sale. Let's hope for more realistic pricing in the Spring of 2008.