February 27th, 2011
Buyer’s Dilemma
A common theme for people in the market to buy these days is that they cannot find a property that is the right fit. I think there are two contributing factors: high expectations and low inventory.
Expectations
In the past two to three years, I have noticed a distinct shift in my buying clients behavior. People are getting back to the basics when it comes to buying. Location, of course, is paramount. In addition to location, a buyer in today’s market wants to know that they can re-sell a house in the future. Is a house cosmetically challenged? That might be okay, but if it is functionally obsolete forget it.
Low Inventory
At the time of this post, there are 153 single family homes for sale on Bainbridge Island. Seven of these are pre-sale properties, meaning that they are not completed and in most cases at the moment ground has not been broken yet. Of the available inventory, once you have identified the homes that fit into a particular set of criteria (price, size, bedroom count, etc.) the inventory is feeling a little slim. Here is a chart showing the distribution of available inventory (single family homes only) on Bainbridge.
What’s a buyer to do in these circumstances? The answer is always “it depends.” I always encourage my clients to wait, if they can, until the right property presents itself. Also, sometimes we are able to go out and find it which I have done recently with two clients. If it is not possible to wait, then a buyer should, in conjunction with their agent, make the best decision they can with what is available.
If you are still waiting for just the right place, watch for March to be a good month for new listings. Personally, I will be bringing two great homes in the 300s, one in the 400s, and a condominium in the low 300s on the market in the next 3-4 weeks.
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