The Long Grove real estate reports for March 2012 have been published and the numbers are much improved from previous months. The Long Grove attached real estate market has seen and incredible increase in price of 70.9 % from $119,500 to 204,250 and a median sales price increase of 79.4 % from $122,500 to $219,750.
The Long Grove detached market did not fare as well as the attached market, but there is still good news to report. There was a 9.7 % increase in the number of units sold and a 14.0 % increase in the median sales price from $335,000 to $381,750. The average sales price did show a decrease of -11.6 % from $432,258 to $382,276. While we wish that number was an increase instead of a decrease, the rate at which prices were falling in the Long Grove real estate market has slowed.
These reports tell a few things that we think you should keep in mind whether you are a buyer or a seller in the Long Grove real estate market.
Prices are low and interest rates are low, but inventory is also starting to decrease. The law of supply and demand would tell us that prices should go up and while that may not happen ant the rate we would like, they mostly likely won’t stay this low forever.
The banks just settled with the government less than a month ago over the suit regarding foreclosures and this means they will be hitting the market very shortly. While reports are saying that the banks will release these homes slowly to not flood the market, we are more concerned with the frame of mind this may put buyers in. If a buyer sees a foreclosure marketed at a lessor price a few things happen. 1) They will use that to negotiate the price on your home 2) A buyer may not even look at your home and wait for a foreclosure to come on the market thinking they may get an incredible deal. 3) When your home does go under contract these foreclosure and short sales are becoming comps at appraisal time.
We suggest as a seller you do not wait to see what happens, rather look at the current market reports, contact a member of the team, and evaluate what is best for you and your situation. You may learn its best to sell right away or that it might be best to stay. Either way we are here to help you with all of your Long Grove real estate needs! Contact us today at 847-465-3638.