RE/MAX of New England Broker Questionnaire

Upper End Report

May 2007- May 2008

 

 

1. Summarize activity for upper end properties in your area during the time frame of May 2007 through May 2008.  How would you characterize demand for upper end properties at the present time? UpperEnd for my market is from 1M+ 4M (in my opinion)

There are currently:

Single Family Listings: 95       Average List Price: $1,588,972       Average Sale Price: $1,444,168     Average Market Time: 128.52

OF THE ENTIRE 95 SF listings, 32 Active properties that are on the market within this 1M+ price range 7 are under agreement and 56 are SOLDS

from 2M-3.3M in this period 9homes are sold-2 are Under Agreement-5 are currently active in our town as of tonight. 6/19/08 The demand for Upper End homes in my market is incredible, the buyers want to buy but there is limited (quality ) real estate inventory on the market. If it is priced correctly/farely it is then sold and sold quickly. 

 

 

2. Have unit sales increased or decreased year-to-date?  Please provide stats, if available.  By what percentage have sales increase/decreased? Why? Sales from Jan-Dec 2006-vs Jan-Dec 2007 total number of sales went from 276 to 327 in 2007 sales price drop a mere 8.7% and has now bounced back. Current time on market for all homes here in town there are:

THERE WAS A TOTAL OF Single Family Listings: 102

Average List Price: $1,022,947     Average Market Time: 125.56

 

From 01/01/2007-06/15/2007

There were a TOTAL of Single Family ListingsSOLD: 107

Average List Price: $767,576       Average Sale Price: $743,858     Average Market Time: 120.91


OF THOSE 107 SOLDS There were 25 homes sold over 1M and only 1 sold at 2M

 

SAME period from 01/01/2008-06/15/2008

There were a Total of Single Family ListingsSOLD: 84

Average List Price: $1,013,253       Average Sale Price: $958,218     Average Market Time: 130.08


OF THOSE 84 SOLDS There were 28 homes sold over 1M and 7 sold at or above $2M (one home sold at 3.3M)

 

3. Are rising gas prices expected to soften upper end property sales? not at all. Buyers in this price range are not affected (directly)with home prices as more and more buyers in this HIGH end are making purchase decision to BUY TODAY….

 

4. Has average price increased year-over-year (May 07-May 08)?  By what percentage?  Please provide statistics, if available.

SEE ABOVE. PRICE POINT HAS INCREASED and the HIGH END IS STILL BUYING MORE THEN EVER BEFORE…

 

5. Is affordability becoming an issue in your market?  Is it hampering sales activity?

PRICING IS KEY-if it is price correctly it is sold in the first 3 weeks if not we see DOM increase.

6. What is the starting price for a typical, three-bedroom upper end property?  What is the starting price for a two-bedroom condominium apartment or townhouse unit?

Typical price is 900-1.3M, 2BR starting price condo/townhouse is about 4ooK but we have condos that are listed well over $1M as well.

7. What is the most active price range(s) for upper end properties in your area?

BW $999-1.5M

8. Is there an adequate supply of listings in you area?  Is a shortage of listings expected to place upward pressure on prices?  Do you expect multiple offers?  Conversely, if there is a glut of listings on the market, do you expect prices to fall?

Currently there are 167 properties in Winchester on the Market as of 6/20/08

Single Family Listings: 102       Average List Price: $1,022,947     Average Market Time: 125.56

Condominium Listings: 47       Average List Price: $446,485     Average Market Time: 107.06

Multi-Family Listings: 8       Average List Price: $633,425     Average Market Time: 134.00

Land Listings: 10       Average List Price: $1,116,300     Average Market Time: 193.30

9. What trends continue to develop?  (Baby boomers entering the market en masse, retirement rec. props, foreign investment, etc.)

Baby boomers are selling and looking to downsize to condos in/out of town and are selling their $800-3M homes they are buying condos in Boston or at the cape and buying a second home in FL or another "Warm" area.  More and more young Gen Y'rs & Gen x'rs are coming to Winchester from Boston, Charlestown and Cambridge looking to have more yard better schools and a sense of community without having to sacrafice a long commute to work. Many professionals take commuter rail to Boston where they are currently employed.

10. Will purchasers have to compromise or adjust expectations to realize ownership in 2008?

Purchasers will have to be aggressive at the offer process or they will miss the opportuinites here in Winchester. The market here is competitive as many buyers are looking for the same properties.  The inventory in the price range from 7-1M is tight and we are seeing multiple offers and shorter Days on Market than we have in the past 6-16months.

11. What is the least expensive upper end sale so far this year (May 07-May 08)?  What is the least expensive upper end property currently listed for sale – preferably MLS?

1,050,000 is the lowest priced home that is over $1M in my town sold in the last 6 months.

1,050,000 is the lowest priced home that is over $1M in my town sold currently listed

(10 Hillcrest Parkway)

12. Summarize activity in the recreational market of upper end properties in your area.  How does this compare to one year ago?  Have you experienced a cooling off?  Have prices reached their ceiling?  Has there been any buyer resistance in the recreational market?

Prices have not cooled in this area, more and more buyers are putting in offers and are now able to purchase the HIGH END homes that they could not otherwise have afforded just 1yr ago.  Sellers are starting to come back down to earth as it relates to price and they are more aware of what is selling in their price ranges-hence making adjustments in their list prices to attract buyers. Buyers are making offers and deals are being put together that were not before because buyers and sellers are being better informed as it relates to "real" prices not over inflated Original List Prices that were being presented just6 months to 1yr ago. 

13. What has been the most expensive upper end sale this year (May 07 – May 08)?  What is the most expensive upper end property currently listed for sale – preferably MLS?

The most expensive sale todate in Winchester from May07-May08 was $3.3M

The most expensive listing currently in the MLS Today is $4.6M