By Jennifer Klein and Derek Sandoval
There is a shift toward a seller’s market in many areas of the country. Placer County Association of REALTORS® YPN members Jennifer Klein and Derek Sandoval discuss contributing factors, including lack of inventory and fewer distressed properties.
Jennifer Klein is a REALTOR® in Northern California who is experienced in short sales, investments, and property management. Connect with Jen at RosevilleAndRocklin.com, JenKlein.com, and @JenKleinSac.
Derek Sandoval has worked for Keller Williams Realty in Roseville, Calif., since 2009, and specializes in residential, REO, and short sales. Find Derek at www.dereksellshomes.com and dereksellshomes.featuredblog.com.
By Brooke Wolford
Most have us have been hearing lately that prices have hit bottom. If you are like me, you are almost scared to say it. I say it quietly, so if I am wrong, maybe nobody will hear me.
Many of us have been nervous to say anything. Looking back over the past several years, how many times did we hear “it will happen”? Then some statistic would come out that would shoot that idea completely out of the water.
What I can say is this: My average sale price in 2011 was around $90K. I had many buyers looking at homes in this general price range. I still do in 2012. What is different in my market this year is that I have hardly any inventory to show them. Just today I looked on behalf of a client seeking a single family home under $100K. In the city they were looking, only six out of 42 listings were not pending or contingent. If you are lucky enough to get your clients to offer on one of the few properties left, you end up in multiple offers.
I am a believer in numbers. To me, they do not lie. In my four years as an agent, I have never seen it like this. I can’t speak for every market, but I am feelin’ it here in Minneapolis/St. Paul.
If the conditions are similar in your market, get the word out. It’s time to sell! The time has never been better to go after those listings. Please! I need some more houses to show my buyers!
Brooke Wolford is a real estate practitioner with Coldwell Banker Burnet in Woodbury, Minn. Follow her blog at adventuresinrookierealestate.com.
By Rob Reuter, YPN Manager
It’s official: 2012 has kicked into full gear. If you haven’t already, now is the time to start your business planning. Elizabeth Mendenhall, 2012 chair of NAR’s Strategic Planning Committee, recently asked YPN members what kind of statistics they consider when forming their annual business plan. From my former selling days, I focused mainly on two statistics:
- Absorption Rate: Focus marketing in areas/neighborhoods/price ranges that have high turnover rates and low time on the market.
- Frequency of Income-Producing Activities: Where does my business come from and how much time/energy do I put in these areas?
Several other YPN members have great ideas as well:
Dollars/Hour Earned (Brian Copeland): How much are you earning per hour? Take your gross annual income and divide it by the number of hours you worked. Increasing this number means you are making more and working less!
Months Supply/Inventory (Nobu Hata): Communicating this information to the consumer effectively will help ensure more accurate pricing.
80/20 Rule (Tiffany Curry & Kate Koplinka): Are you part of the minority doing the majority of the business?
Market Share (Lena Williams): Increase the percentage of your market share if geographical farming is part of your plan.
Average Sales Price (Kenny Parcell): Continue reading »