The housing market has taken a lot of people by storm recently. Homeowners, Realtors, home buyers, and mortgage brokers in Oakland County can probably attest to that. Residential real estate sales in cites such as Farmington Hills, Novi, Northville, and West Bloomfield have been booming. Home prices have been on the rise as has sales transactions.
Looking at the high number of homes for sale in Oakland County, MI, there may be some indicators that a homes for sale in oakland county market may be on the horizon. If you are a home seller or buyer who has been trying to time the market, there are some housing sales trends that will be of interest to you. However, like all trends, even the experts find it challenging to determine the exact timing of upswings and downturns.
What are Some of the Indicators of a Cooling Housing Market?
In a red hot real estate market, home prices tend to go sky high, and the number days that homes for sale in Oakland County, Michigan remain on the market is impressively low. Houses sell fast at their asking price and frequently above the listed price.
Never underestimate the wisdom of the rule of supply and demand. When the supply of homes for sale in Oakland County, MI exceed the demand, this is a signal that something is changing. This may or may not mean that there are many homes just listed on the market. What you could be witnessing is that homes are on the market for longer than they used to be, and the demand is not keeping up with the supply.
There appears to be some subtle undertones in the Oakland County, Michigan housing market according to some people who are watching it closely. When one piece of the puzzle waivers even slightly, it could be the beginning of a domino effect that is about to happen. If their home is not selling as quickly as expected, a homeowner reacts by lowering their asking price. If this happens enough, other sellers are forced to lower their price to be competitive in the Oakland County, Michigan housing market.
This has a negative impact on home sellers who, of course, want to get top dollar for their real estate. It does, however, open up an opportunity for the buyers. A first-time buyer may now find themselves able to purchase a home in a market that was previously price prohibitive for them as long as they can qualify for a mortgage.
The Economic Unknowns in 2021
There are many economic unknowns at this time, and more seem to come into play all the time. While many people are talking about Washington DC’s inclination to raise interest rates, it’s a bit of a mystery so far. A rise in the prime interest rate will be reflected in the rate at which a consumer can obtain a home mortgage. Uncertainty slows down many sectors, and the residential real estate market is no exception. Potential buyers in the Oakland County, Michigan housing market may be forced to take a “wait and see” attitude before they buy a house.
Many people are concerned about the uncertainty of the stock market and what this could mean to their personal erage American home buyers in Oakland County, Michigan have IRAs and 401ks they need to protect, and that will negatively impacted whether they believe they are ready to buy a new home.
Another economic uncertainty is also likely to bring on a cooling housing market in Oakland County and across the country for that matter. There is an ongoing threat that higher taxes will be imposed on businesses, corporations, and individual taxpayers. If this new tax policy was to get passed, the impact would affect people in every income level. Businesses have historically reacted to higher tax rates by laying employees off and decreasing hiring. Fear of losing their job is another reason why people put off buying a house and taking on any new financial obligations.
Another current issue that could cause a cooling housing market in Oakland County, Michigan is the rising rate of inflation that people are already feeling in 2021. People are paying more for practically everything, and their money is not going as far as it used to just a year ago. This, combined with the other aforementioned new developments, is not going unnoticed by consumers in Michigan. When consumers get “hit in the pocketbook” or wallet, they understandably change their buying habits. With so much negative economic news, however, it doesn’t necessarily mean that the real estate market in Oakland County will come to a standstill. Even if home sales slow down, home sellers should remember that it has been in quite a boom.
A boom in real estate is a trend that comes and goes from time to time. People will always want or need to move for one reason or another. Homes that are priced right will continue to sell, and buyers will continue to buy them. The days of bidding wars may be fewer and further between, but it’s always exciting when it happens! Now that school is open again after summer vacation, the families of Oakland County are hopefully all settled in their lovely new homes. Farmington Hills, Novi, Northville, West Bloomfield, and all of the other wonderful communities in Oakland County are great places to live, work, raise a family, or just live life to the fullest as an empty nester.
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When you hire a home inspector for your home for sale in West Bloomfield, Michigan, you are often afraid of losing the house because this is the time when the house reveals its secrets. When the home inspection goes on for long, you become disappointed that you have to let go of your dream house.
However, why retract the offer when you can come up with a counteroffer? Yes, there might be a few repairs but those can be easily dealt with if the seller agrees to offer you a few warranties or other incentives.
Let’s have a look at what this inspection holds for you and your dream house:
The first thing you need to do is stop worrying about the home inspection. The inspector will make sure that all problems are noted down. These problems are invisible to an untrained eye, so you can trust the inspector. Once the report is in your hand, consult with your real estate agent and come up with a counteroffer if you don’t like the results.
The Connection between the Inspection Report and the Appraisal Value
As mentioned earlier, major repairs in the report can affect the appraisal value of the home for sale in West Bloomfield, Michigan. If the seller lied on the home inspection report, then according to the State Law, he has to cover all the repairs.
The report covers the following areas:
The report provided by the inspector covers the following things:
- Repairs in the house
- How the repairs can be tackled
- Repair costs
Hiring a Home Inspector
Before hiring a home inspector, ask him the following questions:
- How much experience do you have in this field (5 years is a good number)
- Are you licensed?
- Explain to me your charges?
- Can I see a sample report?
- How much time will it take to make the report?
- Which areas do you check and which ones do you leave out?
- Water pressure
- Attic leaks
- Electrical wiring
- Strength of door and window frames
- Installation of safety features (smoke and carbon monoxide detectors)
- HVAC system
- Lead paint
Negotiating – Preparing the Counteroffer
Once you have the report in your hand, calculate the cost of the repairs and compare it with the house’s value? Is it worth it? By law, the seller is only required to fix anything that:
- Compromises safety
- Violates building code
- Might cause structural defects
Now is the time for you to negotiate. Here, you have two options:
- Tell the seller to make the repairs (ask for the invoice)
- Present the seller with a counteroffer, in which you have lowered the house’s price in exchange of you taking care of the repairs
So, there you go… these are the surprises you need to look for when buying a house. This is why, better get the home appraised before the home inspection, so that you are one step ahead. If you want to buy a home for sale in West Bloomfield, Michigan that falls under your budget and has all the features you need, then visit Homes2MoveYou. Get in touch with a real estate agent and start seeing houses in areas of your liking.
An Award-Winning Script For Your Oakland County Home Sale
Here’s a secret. Every moment of every day before and while your Oakland County home is up for sale, we will write the script together for your ideal home-sale movie.
That’s right. Selling your Oakland County home now is about focusing on everything that will produce your ideal home sale for you—the script, the cast of characters, the virtual trailer, curb appeal, admission price, the launch—everything. Together we’re the writer and the director, and your Oakland County home is the star of the wonderful production called YOUR OAKLAND COUNTY HOME SALE. Want a bigger, better blockbuster sale? No problem. Write a bigger, better script. As you change your script, you change your box-office results for all Oakland County home buyers.
Start with timing. It’s always hard to time a smash home sale in which you sell high and simply walk away with high profits. Yet there are many signs in Oakland County that now is a good time to produce a year-end home sale.
One sign? Buyers in Oakland County whom are out home shopping right now are serious. Nothing will stop some of them, especially the ones who lost out on some Oakland County homes earlier due to waiting. They are keenly aware that the improving signs in the economy could mean higher prices and higher interest rates next year in Oakland County MI. When prices and interest rates increase and the number of spring buyers grows, today’s buyers know their money won’t go as far as it once did.
Want to know more about why now is a great time to sell? Keep reading. Then call me for a story conference with any home-selling—or homebuying—questions.
Oakland County Supply Is Smaller
During the winter, fewer homes are up for sale in Oakland County. This means more buyers have fewer homes to choose from and yours will likely get more attention than at other times of the year.
Demand Is Higher In Oakland County
In areas where the supply of available homes has shrunk, prices have risen as buyers compete for a suitable home in Oakland County. If your home is move-in ready and priced right, you’ll attract qualified buyers quickly.
Serious Buyers are In Oakland County
Today’s home shoppers are serious buyers, undeterred by cooling temperatures and impending holiday events. Keep in mind some buyers may prefer to contract now, yet plan a move-in date for after the holidays.
Low Interest Rates
Historically-low interest rates make buying a home an affordable proposition. As rates start to creep upward, buyers’ purchasing power declines, meaning they can’t pay as much for homes like yours. Motivated local buyers want to secure a home now to stretch their dollars.
New Construction Is Back
In the recent past, many sellers haven’t had to contend with their homes competing against many brand new homes in Oakland County. With the improving economy, new home construction is starting up again, meaning your resale home may have more shiny new homes to compete against if you wait to sell, especially next springs market in Oakland County.
Quicker Sales In Oakland County
If your Oakland County home is in move-in condition and priced right, your home will sell faster. This means less hassle for you—especially as we enter the busy holiday season—as your home will not only be ‘holiday ready’ but its model-home shape will make it look like an award-winner in the eyes of local year-end home buyers in Oakland County.
If you need to move—or know someone who does—there is no time to lose. That new job won’t wait, that plan to be near family is important, the divorce is final, children have moved out or are moving back in. Life events often mean that the home needs to be sold now—and I can help write your ideal home sale movie right now.
If you are looking for a home in Oakland County, Michigan, you need to find a Realtor who knows the community. Tom Gilliam currently lives in the Greater Oakland County Area and is very familiar with the market, neighborhoods, schools and community issues. Located into the heart of Farmington Hills, Tom is ready to help families find homes in the Oakland County area including: Farmington Hills, Birmingham, Troy, Rochester Hills, West Bloomfield, Bloomfield Hills, Ferndale, Royal Oak, Northville and the Metro-Detroit area (specifically Canton and Novi)
Oakland County Realtor -Tom Gilliam
About Tom Gilliam-Realtor: If you are looking for a home in Greater Oakland County, Michigan, you need to find a Realtor who knows the community. Tom Gilliam currently lives in the Greater Oakland County Area and is very familiar with the market, neighborhoods, schools and community issues. Located into the heart of Farmington Hills, Tom is ready to help families find homes in the Oakland County area including: Farmington Hills, Birmingham, Troy, Rochester Hills, West Bloomfield, Bloomfield Hills, Ferndale, Royal Oak, Northville and the Metro-Detroit area (specifically Canton and Novi).
Oakland County, Michigan is full of great neighborhoods that are perfect for families or single adults. With access to public transportation and easy accessibility to the Metro Detroit area, you can live in a suburban neighborhood and still have access to the amenities of the big city life. Oakland County is one of the best places to Buy a Home or Sell a Home in Southeastern Michigan and is a great place to live. From the City of Farmington Hills, West Bloomfield, Troy, Northville and Novi to name a few it is a community that continues to thrive in the Housing Market. Oakland County also has many parks a recreation some highlights of Oakland County Parks include a nature center, five golf courses, wedding and banquet facilities, an action-packed BMX race track and two waterparks to name a few. If your looking for a perfect community to Buy or Sell a Home, Oakland County Michigan has so much to offer and is sure to please the pickiest of Buyers. Lets us know if we can help you find the perfect Home in Oakland County Michigan or Sell your homes fast and as seamless as possible.
Tom works as a Realtor with the RE/MAX Classic Offices. He was spent 16 years helping families find the perfect home as well as assisting families who need to sell their home. As a Realtor Tom specializes in helping first-time home buyers. Because navigating the real estate market can be difficult, having an expert who is intimately familiar with the neighborhood you are considering is a great way to get inside tips about traffic, shopping centers, family activities and other small details that make a community feel like home.
If you are considering purchasing a foreclosure or a short sale, having a professional real estate agent is essential. Because these sales are often more complicated and drawn out, having an agent on your side can increase your chances of getting the home of your dreams. Tom has specific experience dealing with short sales and foreclosures. He is trained in working with these unique real estate issues and has hands-on experience helping other buyers and sellers navigate these waters.
For Tom, helping a family find the perfect home brings a sense of accomplishment. His goal is to help you find the home you want at an affordable price. Real Estate is a competitive market and sometimes you’ll find a Realtor that pressures you into purchasing a home you don’t’ want or are not sure about. Tom believes that you should be truly happy with your purchase. Buying a home is a big investment, don’t settle for a home you don’t truly love.
As a Realtor who has spent nearly two decades helping families find their perfect homes and sell their properties for a fair price, Tom knows that the best way to decide whether you love a home is to fall in love with it in person. Of course, technology has its place for home buyers and sellers. Using social media and websites can save hours of time by allowing you to narrow homes down before you start traipsing through door after door.
While Tom believes the convenience is a benefit to the real estate market he also believes that working face-to-face allows him to get to know you better. He focuses on getting to know what you want and helping you find it. With Tom you get the convenience of online listings and the benefits of personal, face-to-face service to even better tailor your search.
Whether you need to sell your home so you can move on to a new job or you are looking for your starter home in Oakland County, Tom is here to help you make the process as easy of a transition as possible