Upper Makefielt Home Sale Statistics Through 7/30/12

Newtown Township Home Sale Statististics

The number of homes sold this year in Newtown Township through July, 2012 has significantly increased.  There was a dip in July but the overall trend is positive.  In fact, there were 32% fewer homes for sale in July, 2012 compared with the number for sale in July, 2011.

Average prices in the township fluctuate considerably due to the sales of new construction homes that are priced above the average sale price of existing homes within the township. 

A better indication of home sale prices for existing homes in Newtown Township is the statistics for Bucks County.  Prices in Bucks were up 1.5% if the average price of sold homes for July, 2012 is compared to the average price of sold homes in July, 2011. However, if home prices for the first seven months of 2012 are compared to the first seven months of 2011, prices were down 1.9%.

It is too soon to tell whether prices have bottomed out, but statistics indicate prices are relatively stable as compared the declining prices experienced since 2006.

This chart shows the month by month and year by year fluctuations in home sales over the last few years. 

Selling an Inherited House

My husband just inherited a partial interest in a property in Massachusetts. Being a realtor, my husband and  his relatives assumed I would be heavily involved in the sale of the property which was fine by me.

The first task was to find a realtor. My relatives and I interviewed three realtors from different brokerage firms.  I shouldn't have been surprised when I found that the way realtors operate in Massachusetts differs from how we operate in Bucks County.  The reason I shouldn't have been surprised is that buyers relocating from other states to our area are frequently puzzled by the differences in how we do business. Where ever you go, you have to adjust to local practices.

All of the realtors we interviewed were good realtors and were qualified to sell the house. Choosing between them was difficult.  A major concern for us was that we do not live close by and it will be difficult for us to maintain the condition of the property. Also, there were a few issue items we needed to address before putting the house on the market. Therefore, we were looking for an agent who would "go the extra mile".

There are some agents that will take a listing and never mention to the seller that repairs might be necessary and that rooms need painting and decluttering.  That was not the type of agent we were looking for. We were willing to do these things ourselves, but we couldn't stay in MA for an extended period of time.  There were some followup issues with plumbers and landscapers that the agent we chose would have to deal with. 

We chose not to interview a high profile agent with many, many listings who hosts an ongoing radio real estate discussion.  She appears to deal in volume and we thought she would not be able to provide the attention we were seeking. 
Talk is cheap and promises are frequently broken; so, we asked for references and called them. The references provided details of their experiences with the agents, and we became comfortable with our final decision on which agent to work with.

Agents are not responsible for the security of a property, but the agent we chose lives nearby and was willing to check regularly that doors were locked, and nothing seemed amiss.  That made us more comfortable leaving the property unattended.  So far, she has exceeded our expectations.

It was important to me that out chosen agent hire a professional photographer to take home photos.  In our area, most agents do.   That was not the norm in the area of our inherited house.  One agent said she does not like to put many photos on the internet because potential buyers feel they have already seen the house and it is difficult to get them to view it in person.  That seemed crazy to me.  With 90% of buyers searching for properties on the internet, numerous high quality photos generally increase the number of showings.  We did not select that agent.

The three agents we talked to estimated the market value of the property. Their estimates varied by 5%.

Sellers should never choose an agent primarily because they provide a high estimate of the value of the property.  Estimating the value of a home is not an exact science.  Agents sometimes overestimate the value, or deliberately provide an estimate as high as can be reasonably justified so as not to disappoint the sellers.  The list price and the marketing abilities of the agent should be separate concerns.  We wound up listing the property for a lower price than our agent suggested.  We averaged the three estimates of market value and listed it at the average amount.

Being absentee owners, we are expecting more from our listing agent than she would have to do if we were living locally.  Therefore, we offered to pay her a higher commission than she had requested.  Our thinking was that we have a difficult house to sell and we are expecting a lot from the agent.  She should be compensated for the extra effort.

Showings start tomorrow.  I'm crossing my fingers that the house will sell quickly.

Buyers' Expectation

Most buyers these days are looking for similar features in a new home.  The list generally includes  fantastic kitchens, hardwood floors, new or remodeled bathrooms, open floor plans, high ceilings and walk in closets in the master bedroom.

These features can be difficult to find in Lower Makefield, Upper Makefield and Newtown for buyers seeking a single family home in the $350,000 to $550,000 price range.

When moving from areas where housing prices are lower than in Bucks County, or from places  where there is a lot of new construction, buyers are usually disappointed. They frequently have to see many homes before they realize they must lower their expectations

The Bucks County communities along the I95 corridor were largely developed before 1995 with many of the homes being 30-50 years old.  These homes can be very nice, but buyers frequently view them as dated and in need of remodeling.  There are some newer homes, but those homes generally command higher prices.  If the buyers are lucky they may find a home that has been significantly updated, but in most cases they make compromises.

What many buyers don't immediately realize is that most of these older homes are well built and comfortable to live in. Updating can be done gradually and may not be as expensive as anticipated.  The area's ease of commuting to different destinations, fine schools and desirable neighborhoods are well worth the tradeoff.

Bucks County Home Sales Through May, 2012

What a difference a year makes!

Check out these home sales statistics comparing May, 2012 home sales in Bucks County with home sales for May, 2011. Statistics are also shown for the first five months of 2012 compared to the first five months of 2011.

Buyers currently have fewer homes to choose from.  The number of homes for sale has decreased by 10.9%, while the number of pending sales and settled sales has increased.

Prices have continued to decrease.  This trend may change as the market adjusts to the fact that the number of homes for sale has decreased.



Preparing a Home for Sale

If you are trying to sell a home, make sure your home looks good on numerous real estate listing websites.

With 85-90% of buyers screening properties on the internet before visiting homes, the appearance of your home on various internet sites and in videos is extremely important. If you want buyers to schedule an appointment to view your home, they have to like what they see on the internet.

Occasionally, I'll see pictures on the internet that appall me.  The pictures of one home were taken during or after a party.  There were streamers in the living and dining rooms and presents and wrapping paper everywhere. Couldn't the real estate agent have come back a few days later to photograph the home when the house was neater?

I just viewed pictures of another home that was actually a very nice property.  Unfortunately for the seller, you had to look carefully at the on line pictures to realize it.  Plants were everywhere with vines winding around furniture and bookcases. I like plants, but when selling a house, "less is more".

 Some people might think, "Well they're not buying the plants", but few potential buyers take the time  to imagine what a home would look like if the decor were changed. Even though the house was priced below market value, it's not surprising  the listing expired without the home selling. 

  More subtle changes that can be made before the home is photographed are removing most items from kitchen counters, removing notes and magnets from refrigerators, closing toilet seats, hiding trash pails and placing attractive towels neatly on racks in the bathroom. Small items should be removed.  Items smaller than a football generally  look like clutter in a photograph. 

Some agents still take their own pictures rather than hiring professional photographers.  If they are skilled amateur photographers with sophisticated equipment, that's okay, but too often they are not.  Proper lighting and  wide angled lenses are necessary to capture the essence of a room.

When choosing an agent, you should discuss with them whether they will be making suggestions on preparing your home for the market.  Will the agent attend the photo shoot, or better yet, come a half hour early to make sure the property is ready for the photographer? 

Some agents work with third party professional stagers and will absorb the cost of a few hours of a stager's services. Whether a stager might help and who pays for his or her services are questions homesellers should ask agents.

 Will the agent hire a professional photographer and videographer?  If not, ask to see that agent's listings on the internet and check out whether photos are well lighted and capture representative views of rooms. The agent can't control the features of the house itself, but with attention to staging and good photography, he or she can help present your home to its' best advantage.

I usually engage a professional stager to provide suggestions on how to maximize the appeal of a home without the homeowner spending a lot of money, and I always hire a professional photographer. If a home doesn't look good on the internet, the number of buyers who will want to visit the property will be greatly reduced making it difficult to obtain the best price within a reasonable time frame. It's just good business to make sure a home looks it's best.

A Fun Evening in New Hope

  

New Hope has always attracted artists and talented theatrical people.  Those talents will soon be showcased at the Phillips Mill Community Center.

On June 8-10 and June 14-17, 2012, the Mill will be featuring its annual stage production.  If this year's show, titled 360 Degrees of Separation is anything like past performances, the evening should produce a lot of laughs.

For information check http://www.phillipsmill.org/drama/.  Doors open an hour before showtime.  It's cabaret type seating, so most people bring their own wine and hors d'oeuves.