I’ve been thinking about the closed sales we saw reported in June and how I found it hard to explain that even though we feel the market is improving, why are closed sales down from this time last year – even though they are way up this month over last month. (Refer to this post: June Sales). I decided I’m not going to try to explain it – BUT – I did take a look at contract sales – – the number of homes that went under contract in Basking Ridge in June of 2009, compared to the number that went under contract in June of 2008. Now THERE’S a difference: in June of 2009, we saw 51 homes go to contract, covering a price range from $199,900 through $1,850,000 (with 13 over $1,000,000 and 18 under $500,000). Compare that to June of 2008 which saw only 30 homes go under contract, covering a price range from $230,000 to $2,204,000 (with only 8 over $1,000,000 and 6 under $500,000).
This observation tells me a few things: more people are out there buying homes this year than there were last year! Consumer confidence is increasing – people are seeing value – and acting on it! However, there is a discrepency between closed sales and contract sales that needs to be explained. I know that I am working very hard trying to keep deals together – transactions are stalling because of mortgage issues (including funky appraisals) and inspection issues. Inventory is still high, buyers have choices and they are still in the driver’s seat. So, while we are starting to see the light at the end of the tunnel, we aren’t at the station yet!
Contact me for more information about the Basking Ridge Market – and have a safe and happy 4th!
