Total listings of homes for sale in Wisconsin plummeted nearly 40% over the last 12 months, which boosted the median home sales price over 10%, according to a recent analysis by the Wisconsin REALTORS® Association (WRA). This was a drastic difference from the modest 5% shrink in inventory in March 2020 compared to March 2019.
The southeast region of the state remains a strong seller’s market. Remarkably, there wasn’t a region in Wisconsin that had more than 2.6 months of supply of homes in March, the WRA’s report revealed. A balanced market is indicated by having 6 months of supply.
In Waukesha County, the number of home sales dipped over 12%, while median prices grew over 14% in the first quarter of the year compared to 2020’s Q1. The inventory crisis has caused housing prices to skyrocket, and will likely start weakening the number of home sales we see this summer.
Low mortgage rates have helped offset the rising home prices for buyers. According to the WRA’s report, the rate for a 30-year fixed mortgage was at 2.68% in December, and has inched up consecutively in each of the last three months, to 3.08% in March. Rising mortgage rates may start to dampen demand, and lead to moderating home prices in 2022.
For now, multiple competing offers made above asking price is expected to remain common. If you’re looking to purchase, it is imperative to have your financing lined up and to stay patient. You may lose out on a few homes you put offers on, but that just means your home is still waiting for you. At the end of the day, buyers are still closing on homes, and you will too when the time comes. Learn how to stand out from the competition with these 6 Buyer Tips.
If you’re thinking about selling while the market is in your favor, having a new place lined up is imperative. The average days on the market are down, meaning homes are selling more quickly.
Preparation is the key to success if your looking to purchase or sell a home in today’s market.
If you are thinking about selling or purchasing a property in the Lake Country area, we can help you. Request your in-person or virtual appointment below, or call us directly at (262) 567-3611 to speak to one of our real estate professionals.
There continues to be high demand for homes in Oconomowoc and surrounding area, making it a competitive market for buyers to purchase a home in the local community. Low mortgage rates and tight inventory has kept the pressure high for available homes for sale.
Here we’ll share some strategies, that can help get you into a new home.
When sellers review the offers presented to them, one of the major considerations is how the buyer plans to fund the purchase. Eliminating a financing contingency all together is ideal, but paying all cash is not feasible for many buyers.
Conventional loans as opposed to FHA loans are typically preferred by sellers. The conditions and dynamics of federally funded FHA loans are very different, and normally have stricter guidelines and requirements than traditional loans.
If you know a specific neighborhood or condo community you want to live in, but there are no listings for sale, sending a letter to potential sellers can lead to an opportunity.
We have helped buyers draft a letter, create a mailing list of homeowners in their desired community, and mail it out. Sometimes there are residents that have been considering putting their home up for sale and a real estate match can be made.
Omitting a home sale contingency will make your offer more attractive to the seller. If you’re looking to move but also have a home to sell, please don’t hesitate to reach out to us to discuss. One of our knowledgeable realtors can offer you advice on how to navigate the transition best, and to help you weigh your options.
Hiring a local real estate agent, in the community you want to purchase a home has its advantages. Not only will they have a better understanding of the area, but they also network with contacts and other agents in the community constantly. This can help them get a feel for homes that may be coming on the market soon.
A professional who has established positive working relationships with other local realtors can help get offers to the finish line. They can call the listing agent prior to submitting an offer, to learn about things important to the seller. Doing so can help you tailor an offer to be more appealing. Furthermore, they can communicate to the seller’s agents that they will help safeguard a smooth transaction.
When house hunting online, be more open minded about potential houses. Doing so can help you uncover a wonderful home. Sometimes bad listing photos or outdated cosmetic features can cause a property to be ignored. If you like the location and it meets your requirements, seeing it in person can reveal its true character and potential.
When submitting an offer to purchase, also include a personalized letter to the seller. Writing a letter is your opportunity to introduce yourself and your family, explain why you love their home, and to make a connection with the seller. You can also highlight favorable terms such as your flexibility on the closing date. Bonus points for including a photo of you and your family (especially if you have a cute kid or pet).
If you’re ready to purchase your first or next home, we can help. Contact us to consult with one of our professional agents that can educate you on the local market conditions, and help you develop a game plan to successfully purchase a new home.
You may have heard that it is a strong seller’s market right now. If you have been considering selling, now is a great time before housing prices begin to moderate. Home values in Oconomowoc have increased substantially over the last few years.
Due to the high demand for housing in Oconomowoc, it is essential to be prepared before putting your home on the market. Here’s what you need to know if you’re selling your home in the Oconomowoc area in 2021.
You should be fully prepared to have a lot of foot traffic through your home, especially if it is priced at $350,000 or lower. It is recommended to remove personal items and de-clutter.
We have seen listings get back-to-back showing requests, prompting the need to reduce the maximum showing length for potential buyers to just 15 minutes. As the seller, you’re in charge to dictate the showing schedule, and can have days and times pre-blocked off as desired.
The average number of days that homes are staying on the market are down, meaning they are selling quicker. Make sure you have a new place lined up, in case your home sells quick. We have seen sellers get offers the first day their home is listed.
In today’s market, it is not uncommon for sellers to receive multiple offers, above asking price. It is important to look at all the conditions of each offer, not just the price.
For example, if a buyer has a financing contingency, ask for their pre-approval letter from their lender and make sure the dates are valid. This will give you an idea of how much they can afford, to help you gage if they might be offering more than they can handle, which increases the risk of the deal falling through.
Selling a home can be stressful, due to all the moving parts involved. The real estate agent you hire matters more than ever. Your realtor should be someone you can rely on to manage numerous phone calls, multiple offers and negotiations on your behalf.
The process can be chaotic, and you want to be assured that your professional real estate agent will help mitigate your stress, and have your best interest in mind. Selling your home with a well-versed agent can guide you to a smooth and successful closing.
If you don’t have an agent, we can help you find a great match with someone from our team. Send us an email at info@oconomowocrealty.com or fill out the short form below.
Since July of last year, median home prices in Wisconsin have grown at an annual rate of 9.7% or higher each month, according to the latest housing market report from the Wisconsin REALTORS® Association (WRA). Housing inventory continues to be in short supply, which has led to a relentless period of solid price appreciation.
Despite the rise in home prices, the backlog in buyer demand has fueled strong home sales. The bulk of homes for sale in Waukesha County were under contract, detailed in the graph below (as of March 17, 2021 when our data was compiled). Remarkably, over 90% of the homes for sale, priced between $215,000 to $350,000 in Waukesha County were under contract.
As the world turns, the increased distribution in coronavirus vaccinations and warmer weather could motivate the “wait and see” sellers, those who postponed their plans to sell in 2020, to list their home this year. Those looking to cash in on their home equity, and take advantage of low mortgage rates may also be in the market to move, which would help add more homes to the marketplace.
Additionally, new construction homes are on the rise. The Wisconsin single family permit data shows the number of permits pulled increased 13.7% last year from 2019, and increased 19% in January versus the prior year according to the WRA’s report.
Once inventory improves, the growth in home prices is expected to moderate. If you’re thinking about selling, you may find that you will have less competition earlier in the year. As COVID vaccinations become more widespread, more homeowners may feel comfortable listing their home. For those looking to purchase a home, you can still find good opportunities.
Despite the turbulent real estate market, we have still helped our clients successfully close on their home. If you would like to discuss your real estate goals or have questions about the local market, please reach out to us.
Outdoor spaces have become more valuable than ever. Last year’s stay at home order cooped us up at home, and altered the way we utilize our yards. Enhancing your yard and creating functional outdoor living spaces can make your home more attractive to buyers, and ultimately improve your home’s resale value.
It is important to consider what practical yard improvements you can implement to make the most of your home, while setting yourself up for success when you want to sell. Here are 7 recommendations to help you decide how to spend your money.
Landscaped homes are typically priced higher than similar homes without it. Adding hardscaping and softscaping into your home’s design will help your home look more polished and adds curb appeal.
Retaining walls, garden edging, and walkways are some hardscaping ideas to transform your yard. Planting shrubs, plants, ornamental grasses, and trees are easy ways to add texture and color to your yard.
Mowing, annual mulching, and pruning shrubs helps your home look well cared for. Doing these things or hiring someone to do them for you should bring a 100% return on investment according to The National Association of REALTORS® Impact Report on Outdoor Features.
Illuminating your yard can act as a safety precaution, and also helps create an ambiance. Lighting can make your outdoor space feel more inviting.
A new deck or patio will improve the livability of your outdoor area and in general, a good return on investment. If you already have one, fixing it up instead of starting from scratch may be the better route. A good pressure cleaning can instantly enhance its appearance.
A patio or deck provides an excellent foundation for an outdoor living space, but shouldn’t take up your whole yard. Reserve some open space to allow room for exercising at home, and providing space for kids and pets to play.
A perfect way to expand your home’s living and entertaining space is to create an outdoor living/dining area. Ideally, the space should be easily accessible to your kitchen.
If your yard has frequent sogginess, puddling and/or flooding during the rainy season, it can cause basement issues and turn off prospective buyers when you’re trying to sell. It is recommended to have a drainage system in place.
Swales and rain gardens are some natural ways to manage storm water that helps reduce pollutant runoff, among other environmental benefits.
We hope this information is helpful to you. If you would like to speak to one of our realtors about the local market or about taking the next step to purchasing a home, please don’t hesitate to reach out to us.
Learn what other people have said about working with us on our Testimonials page.
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The real estate market started off strong to kick off 2021. January is typically the quietest month of the year in real estate, however both sales and prices improved from January 2020 in Wisconsin.
Our local southeast region had the highest number of January home sales in the state, up 4% from the respective month last year. If you have a property up north, you may be interested in hearing that home sales jumped 31% in the north region, over the same time period.
Locally, the median home sales price in Waukesha County grew an impressive 10% to $330,000 comparing last month to January 2020. Home prices may only go up from here, if housing inventory does not improve.
The Wisconsin REALTORS® Association (WRA) reported in their most recent housing report that there were roughly 2 months of homes for sale in January, worse than 3.5 months of supply a year earlier. Statewide, listings were down nearly 36% in January 2021, compared to the respective month last year.
Mortgage rates remain extremely low, helping to add more buyers to the marketplace. Home prices may increase significantly and the number of sales may slow, if the number of homes available do not improve.
Winter can be the best time of year for buyers to successfully purchase a home, before buyer competition ramps up in spring.
As a buyer, you may still be able to find some good opportunities. Working with a realtor who is experienced, and knows the local market well, can give you the best chances of scoring a home in this tight market.
To consult with one of our real estate professionals about your real estate needs, please reach out to us.
Swap out your dated hardware in the kitchen and bathrooms for a newer look. You will find that there are many styles, finishes, and colors to choose from.
Hanging decorative corbels under breakfast bars, mantels, shelves and in entryway corners can be a stylish way to add some character and charm to your home.
The use of the decorative finish can make a room more pleasing to the eye. Crown molding helps give a room a more stylish look. When used selectively, it can distinguish the more formal areas of your house from the casual areas.
Start fresh by emptying out your pantry and cleaning it. Categorize items to quickly find what you need. Make use of lazy Susans, glass or clear plastic containers, and baskets to help save space. Label items to easily locate them. Utilize door and extra wall space by hanging shelves and hooks. Being a high traffic area, an organized pantry can make a great impression on future home buyers.
Replacing your thermostat with a smart one is a modern update that can appeal to future home buyers. Many of the devices can be controlled by your phone and voice, to easily adjust your heating and cooling settings.
Save space by mounting your TVs on your wall. For an even more sleek look, you can run the cords behind the drywall. Mounting your TV can make a room feel larger, and eliminates the need for a bulky T.V. stand.
Transform your laundry room from bleak to charming. Add some cabinets, shelving, and hooks to organize. If your laundry area is in the basement, put down a rug to warm up the space and add color. Utilizing liquid dispensers for laundry detergent and softener adds convenience, and gives a cleaner look. Throw in some decorative items on the shelves or walls to complete your space.
Upgrading your kitchen and bathroom faucets to more modern and stylish ones can instantly make the room feel more contemporary.
An inviting entryway can help your home feel more welcoming. A statement rug can add personality. Hooks, shelves, a bench and a small table can all add function to the space.
For your backdoor entrance, create an organized drop zone for items such keys, dog leashes, backpacks, and winter accessories. Hooks and baskets are a great way to contain items, while making them easily accessible. Designating a drop zone in your home can help reduce a cluttered feel.
An old ceiling fan can make the whole room feel outdated. Trade your old ceiling fan for a more modern style or replace with a lighting fixture. Lighting fixtures can dramatically change the look and style of a room.
Chili fest is one of the community’s favorite events of the year. Here are 11 useful tips for the festival.
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Oconomowoc Area Home Sales Go Through the Roof in 2020.
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The Oconomowoc area housing market was very active in 2020, as home sales improved substantially in the second half of the year.
Despite the fact that the number of homes for sale in the Oconomowoc area was not able to keep up with buyer demand, home sales compared to 2019 increased over:
Statewide, annual home sales in 2020 increased over 7% from the prior year- topping off at 88,685 sales. The highest recorded number of home sales in WI since 2005, when the WRA updated their data collection methods, according to the latest sales report from the Wisconsin REALTORS® Association (WRA).
Prices soared for homes in Oconomowoc and surrounding area. Driven by record low mortgage rates, the annual median sales price in 2020 compared to the prior year grew:
The WRA reported that 2020 was the first year the state’s median home sales price exceeded $200,000- up 11.4% year over year.
Homes continue to move quickly and for top dollar. Recent record-breaking home sales have deprived the number of homes available. Statewide inventory stood at just 2.2 months in December, according to the WRA. If listings don’t improve, we may start to see falling home sales, and sky rocketing prices.
The housing shortage is excellent news if you are looking to sell your home this year. Listing your home prior to spring is an ideal time due to less seller competition and a bigger pool of buyers. In return, you can sell your home without delay and have the upper hand when it comes to negotiating.
If you are looking to purchase a home in the Oconomowoc area, it is imperative to work with a realtor who is experienced and knows the area well to help you navigate the hot market.
Our team is here to help you achieve your real estate goals. Contact one of our real estate professionals to get started, or if you have questions about the local housing market.
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