Real Estate Information

I hope you had an enjoyable Memorial Day weekend.  It was one of the few in recent memory where the weatherman cooperated with three nice days in a row.  That was good for us in the real estate business, although the amount of showings and activity was somewhat mixed, which is not unusual for a Holiday weekend.  Often if the weather is nice, people are out enjoying the various family activities.  I had one customer Email me on Friday who said he was going to up here in the area, but I’d only hear from him to show his family property, if it rained. 

There is much anticipation this time of the year that we will begin to see an increase in activity that will lead to more showings and eventually to sales.  At our weekly sales meeting on Tuesday morning there was mention of a number of accepted offers that had come together over the last week which is always an encouraging sign and can be an indication of good things to come, but is not something that gets reflected in the “closed” statistics that you read about.  Those “closed” numbers continue to be down from past years in many if not most markets and you will most likely hear or read about the average sales prices being down as well.  This is due to a large extent to bank owned foreclosure properties that are selling in many areas, and are often at substantially discounted prices, which in turn brings the “average” numbers down. 

I read an article about a report out this week that talked about a substantial increase in consumer confidence, and its effect on the stock market.  I think the same thing applies to real estate.  In many cases, it is all about perception and timing.  Our job is to help the buying public to understand what is really going on in the market and be able to explain why some of these numbers are down.  Pointing out the differences in our market and how we don’t have many of the negative factors here that are affecting some of the more troubled markets, is what we are up against on an almost daily basis.  Hopefully, the news about real estate will improve over the next few summer months.

The grass is turning green and the leaves seem to be popping out almost overnight these days.  Definitely signs that Spring is here.  The month of May has also begun to show some signs of life in the real estate market.  We are “beginning” to see some activity from people who are probably being motivated by the nicer weather and the slow but steady increase of some optimistic signals coming from the financial markets.  I don’t mean to hint that things have gotten back to “normal” with regard to the real estate market, but we are at least seeing signs that things may not be as bad as some would believe and the so called “bottom” may have finally arrived.  It will be interesting to look back a few months down the road and see if May was the beginning of a turn around.  Ironically, one of our next struggles is dealing with Buyers’ numerous questions about the current market and its effect on prices.  Many markets are seeing a substantial reduction in the “average” sale price being driven in some cases by bank owned foreclosure properties and short sales.  Even though we don’t see a great deal of this type of foreclosure activity in our market, many Buyers have taken note of this and most astute Buyers today will ask to see recent comparable sales, when they do get to the point of having some interest in a property.  In some cases it is difficult to find much of anything to give them in terms of sales over the last 4 to 9 months, which only tends to heighten their concerns about where the true value of a property really is and if this is in fact the right time to buy.  We will also be facing that problem now with lenders requiring appraisers to use only the most recent sales on financed transactions and sales from last year in many cases won’t qualify.  So we’ve got some serious issues to be dealing with but I am convinced that our market will continue to weather the storm better than many other markets across the country.  We’re committed to doing everything we can to help you get your property sold, hopefully in the very near future.

When will Spring arrive?  That’s the question on everyone’s mind these days.  What a disappointing weekend we had last Saturday and Sunday with the torrential rains on both days.  Not the kind of weather conducive to bringing people out looking at real estate.  I guess the good news is that when the nice weather does finally arrive, we are definitely going to have some very healthy green grass all around us to enjoy looking at.  In spite of the weather last weekend, I did have two showings on Saturday and two on Sunday on a new listing I took recently in Williams Bay, so we are seeing some activity beginning to take place.  Have you noticed that there is some positive news being reported about real estate these days?  Not so much with the sales numbers and statistics, as those numbers are still showing declines in most cases through the month of March, but more to do with a higher sense of optimism about the future.  In two recent articles I saw, one referred to the so called “bottom” being in sight and the other talked about the increased number of first time Buyers deciding to purchase now.  Much of the increased activity does in fact seem to be related to first time Buyers, possibly taking advantage of the $8,000 tax credit recently passed in Washington, and a number of sales are happening in some parts of the country on REO or bank owned property that is priced in many cases at below market prices.  However it starts and whatever it starts with, if the public hears that people are electing to buy now, that can only have a positive effect on the market overall and encourage more Buyers to have the confidence that now is the time to take action.

There continues to be numerous signs of optimism for the real estate market as we head into Spring and the nicer weather that’s just around the corner.  I follow several real estate forums and belong to a number of networks with many other successful agents across the country and I’m hearing good things about the amount of general activity that agents are starting to see in a number of markets.  Unfortunately, the sales numbers are down YTD from past years here in Walworth County but hopefully we’ll begin to see those increase as we get into the season.  We are seeing a lot of new inventory coming on the market and that will continue to keep pressure on asking prices, making it more important than ever to be priced realistically and competitively.  I saw an article in  USAToday  this week that briefly mentioned the Lake Geneva area, I assumed they were talking about a unit for sale in Geneva National that has been on the market for some time without much activity.  It seems like the only news the media talks about when it comes to real estate these days is the bad news and that does not help us in our attempts to convince prospective Buyers that this is a good time to buy.  We do continue to try to promote the positives like low mortgage interest rates with money readily available and warning about the danger of waiting on making a purchase, thinking that the so called bottom is yet to come.  There is a good selection of property to choose from right now with many Sellers having adjusted their expectations and asking prices to reflect the current market conditions.  Interest rates will not remain this low into the future and eventually inflation and appreciation will cause prices to rise, so all in all, this really is a great time for a Buyer to make the decision to move forward and buy now. 

Well except for the snow last weekend, it seems like things are beginning to show signs of improvement with the real estate market in general.  I have found myself to be busier than normal for the last several days with a number of Buyer showing appointments and several listing appointments with potential Sellers.  There was certainly a mix of good and bad news with the stock market and the end of the first quarter of 2009.  I saw an interesting article in USA Today that showed that the Dow was down just over 13% for the first quarter of the year, but was up over 7% for the month of March.  So hopefully that is a sign that things are pointing up and we’ll see continued signs of an economic recovery.  I follow several real estate networks on the Internet and there is definitely a common theme with many agents in various parts of the Country reporting a pickup in sales and just an overall more upbeat general discussion going on.  Let’s hope that it continues and the media begins to pick up and report some of the more positive news to help the buying public understand what’s really going on out there.  This is another example of a recent news story in USA Today about low interest rates, now down below 5% for a 30 year fixed rate, and the effect on refinancing.  Hopefully these lower rates will translate soon into help encouraging sales as well.

Contact Bob Webster at Keefe Real Estate for all your real estate needs in the Lake Geneva Area.  It's easy to search for a home or condominium on Lake Geneva at Bob Webster's Lake Geneva Real Estate Search Site.

We finally had a couple of beautiful days in a row last weekend in Lake Geneva.  Let’s hope there are more to come very soon.  I don’t mean to use the weather as an excuse for seeing fewer showings and less activity than normal, but there is just no substitute for warm spring like weather and sunny days to bring prospective Buyers out to look at real estate.  This applies to both the primary home market and especially to the second home market.  Last Friday we finally finished a week with positive gains in the stock market.  I think if it could be a trend that continues into the spring and summer it would go a long way towards giving the real estate buying public some long overdue assurance and confidence that this is a good time to be in the market.  Buying today at a time with favorable interest rates and some very good values available in the market would seem to be a prudent strategy.  You’d probably be surprised to know how many prospective Buyers many of us deal with on a daily basis who have some level of interest in making a real estate purchase, but are completely misinformed about what is really happening out there in the real world and the realities of where our market is.  Many have an extremely dim view of the present conditions as well as the future and it’s a constant struggle to try to give them examples and evidence that support taking a much more positive and optimistic view.  I continue to believe in that and will continue to work hard on your behalf.  On a lighter note, we’ve been trying a new marketing idea for the last few months with Comcast in Chicago that highlights some of our second home listings to the Chicago market.  If you are a Comcast Digital Subscriber, or know someone who is, you might find it interesting to check it out.  You need to dial in 888 on the TV remote, select Real Estate, Home Listings and begin a search.  There is a category for southern Wisconsin, which I believe we are the only local company participating.  We’d be interested in your thoughts or any feedback you’d like to offer.  

Contact Bob Webster at Keefe Real Estate or go to www.LakeGenevaProperty.com to search for lake front home, condominium or vacant land on any of the lakes in Walworth County and Western Kenosha County. 

Let’s all hope the politicians in Washington have gotten it right.  The details of the “Housing Rescue Plan” are due to be released this week and it has the potential of offering some badly needed help to get the real estate market back on track and moving forward in a positive way.  My understanding is that it will be a plan to help those who are headed for the foreclosure process as a way to help them avoid losing their homes and in doing so, give the market a shot in the arm by reducing the negative effects foreclosures are having on the market.  Another program announced last month as part of the Stimulus Package was geared specifically to help first time Buyers and offered an $8,000 tax credit to those who step up and purchase a home in the calendar year 2009.  Under this program the credit does not have to be paid back provided the Buyer stays in the home for 3 years.  You can click here to learn more details of the program.  There were high hopes that this program would have had a broader scope and applied to other purchases, such as second homes, but that was not the case.  

We’ve seen the activity in our market begin to slowly pick up although the sales are still somewhat spotty with many Buyers driving a hard bargain and expecting a lot of negotiating on price, based on what they are hearing and reading.  This is typical of the kind of mind set that many people have based on what they hear in the news these days.  In response to a question from a customer this week, I ran a report from our Multiple Listing Service showing that year to date in 2009 the average list to sell ratio for sales in Walworth County is at 92% or close to just an 8% reduction off the asking price.  Of course there is a difficulty with looking at averages, meaning that it does not take into account a number of important factors such as how realistic the initial asking price was and more importantly whether there had been any reductions on the Sellers part to the asking price, which would lead one to logically assume that the percentage would be smaller.  It just makes it that much more important for good agents to have a positive outlook and be armed and ready to present the real facts and figures to help the public see the light.  I believe the market will continue to improve as we get into the nicer weather, assuming we are close to having seen the last of the snow and extreme cold weather.

For all your Real Estate needs in Lake Geneva, WI contact Bob Webster at Keefe Real Estate at 800-364-7579 or go to www.LakeGenevaProperty to search for a home or condominium anywhere in the Lake Geneva area. 

I have put together 2 transactions in the last week and wrote 2 other offers in the last 3 weeks that were beaten out by another offer in a Multiple Counter Offer situation.  That is probably the best news I can report as far as the early signs of things picking up in our market.  Ironically, most of the activity seems to be more in the primary home market, as opposed to the second home market, but in the last few weeks it appears that the number of inquires is increasing and I think we will see a corresponding increase in the numbers of showings and offers as the weather continues to improve. 

There does not appear to be a clear sign yet as to whether the financial and real estate markets will respond favorably to the passage of the Stimulus Package Bill.  The details of the next plan coming from Washington to address the housing and mortgage situation are due to be unveiled this week.  I remain optimistic that the news will be positive and will give us ammunition to be able to use with the Buying public that now is a good time to buy and the worst is behind us.  That probably more than anything else is what we need to be able to communicate to potential Buyers to combat all the negative news that continues to be pumped out by the media.

To search for Real Estate in Lake Geneva go to www.searchlakegenevahomes.com. You can Email Bob Webster with the details of the particular type of property you are looking for and I'll send you a report from the Multiple Listing Service showing you what is available.  Call me at 800-364-7579.  

It’s the first week of February.  What is the real estate report?  Good news, bad news, no news?  January started with a fair amount of activity for the first two weeks as many of us expected.  We got into the never ending snow and sub zero temperatures and I believe the activity level was greatly affected by the weather.  The Super bowl last weekend captured many people’s attention.   So here we are with warmer weather predicted for the weekend and the Lake Geneva Winter Fest going this weekend that should bring folks out for hopefully a busy weekend.  It seems like the politicians in Washington have gotten bogged down with hammering out the details of the stimulus package but hopefully that will happen in the next few days and the country will begin to believe that things are moving forward and improving for the economy.  A little good news would go a long way towards helping the real estate market.  I’m hopeful there will be a lot of good news.  We shall all see.
Contact Bob Webster of Keefe Real Estate or visit www.LakeGenevaProperty.com to search for a home or condominium in the Lake Geneva Area.