Solon Real Estate Market - Year In Review 2011
The following is our 3rd annual year in review for Solon Ohio real estate. Here, we will provide a comparison between this past year and 2010, show you a specific breakdown based on different price bands, and offer commentary.
Year # of Homes Sold Ave. Sales Price Price/Sq. Foot Sales Price/List Price %
2011 227 $287,205 $101.32 94.24%
2010 202 $292, 547 $103.92 94.61%
NON BANK OWNED HOMES
Since there have been a large number of bank owned sales over the past few years, which can often skew the statistics, we have included figures below that exclude all bank owned homes.
2011 212 $291,708 $103.26 93.50%
2010 192 $293,265 $105.41 94.53%
LUXURY HOMES ( sales price over $500,000 )
2011 29 $626,888 $137.98 94.58%
2010 25 $645,830 $139.06 94.17%
2011 FIRST HALF VS. SECOND HALF OF THE YEAR
FIRST HALF 99 $282,575 $102.99 94.40%
SECOND HALF 113 $301,013 $104.37 94.11%
Here is a break down of all 2011 sales by specific price bands:
While the last few years have been challenging to say the least, this past year showed us some positive signs. Below is a list of 5 important things that the above statistics tell us:
1. More homes sold in 2011 vs. 2010 ( when the federal tax credit articifically inflated sales )
2. Average sales price relatively unchanged
3. The market IMPROVED during the second half of 2011
4. A well priced home can expect to receive approximately 94% of asking price
5. The $200,000 - $350,000 price range has the most buyers
So, what can we take away from all of this? Market stabalization has positively affected the entire local real estate market for both buyers and sellers.
BUYERS AND SELLERS BOTH FEEL BETTER
The numbers indicate more buyers and sellers coming together and overcoming the numerous challenges presented by the market. First time buyers are feeling a little more confident as are the local move-up buyers. Those looking to sell and buy a larger home are realizing that selling their existing home is now a realistic goal and no longer have as much fear. This is epsecially true for those selling a home in the $200,000-$350,000 price range.
Sellers have come to better understand that the major correction in the local real estate market has brought prices to where they were about 10 years ago. I'm certainly not indicating that sellers are happy about this, but they now have more realistic expectations regarding price.
CHALLENGES MOVING FORWARD
The improvement in the local real estate market is a very slow going process. While the market is certainly seeing more activity, it will still take some time for consumers to regain total confidence in real estate.
It will still be difficult bringing buyers and sellers together when it comes to price. Sellers often have unrealistic expecations and buyers simply refuse to overpay for a home. That being said, homes are still selling in all different price points.
The key thing for a seller is to be flexible and reasonable on price. As shown above, a home can on average expect to receive 94% of the listing price. There are a ton of buyers out there, many who really do want to buy so sellers must be wise when pricing their home.
Buyers need to be more realistic as well in terms of expecatations. The have been given a slight sense of entitlement by the media, who has consistently been telling of a huge buyers market. Yes, while most price points here still have quite a bit of inventory, the nice homes stand out and multiple bid situations are not uncommon. Buyers must understand that the pefect home does not exist, in any price point.
The increased second half of 2011 is a good sign moving forward. It indicates that people are feeling more secure financially to move forward with their purchase goals.
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About The Authors:
Dan and Amy Schuman live on the East side of Cleveland and specialize in Cleveland Luxury Homes, working with buyers relocating to Cleveland, and first-time buyers.
For Ohio and Solon Oh real estate and homes see Solon OH real estate
For a personal consultation or to speak directly to The Schuman Team, call 216-346-3235 or email.
Solon Ohio HOme Value Report 2011 is the property of The Schuman Team and may not be duplicated or used without their written consent. ©February, 2012