Potential buyers and sellers have been curious lately about what will happen in the near term for real estate in Connecticut?  Is it too late to sell this year?  Will next spring be better?  Given that there are no crystal balls, there are still some relevant observations to make. Residential real estate tends to lead into a good economy, followed by commercial real estate, and also can begin declining before other sectors see a dip.  The reason it precedes many other factors is that it is driven by consumer confidence to a large extent.  That's an attitude, not neces ..read more

Explanation of absorption rate: The rate at which available homes are sold in a specific real estate market during a given time period. If you look at the number for Branford you can say “If market conditions do not change and if no new listings come on the market it will take 3.5 months for the current inventory to sell at the current pace of the market. A balanced market’s absorption rate is typically between 5-7 months”.   ..read more

 We had an interesting discussion at a sales meeting today, about what people think when they see a home that has been for sale for a very long time?  Or one that has been reduced in price over and over again?  The consensus answer was that it depends, of course.   If you are a sophisticated buyer, and you look at the property on Zillow, you can see the history of listings and sales.  People who discover price change after price change often assume that the property was very overpriced, or that there is something really wrong with it. Other homebuyers, especially ..read more

Because of the strength of the current real estate market, largely due to lack of supply, there is still time this calendar year to sell a home.  Even now, buyers are out there.  One agent at our firm listed her home yesterday, and had multiple showings within an hour.   What's the secret to selling your home quickly?  Don't overprice.  That's it. Many people want to try for more, so they overprice, hoping that a desperate buyer will bite.  That's the wrong way to do it.  The only real way to get more than your home is worth is to list it for at, or slig ..read more

It was recently announced that Connecticut has a debt load per taxpayer of $62,500, against an average across all states of $9300.  There are many ways to calculate debt, and to measure it versus average income, but this is a high number by any measure.  The reasons go back decades, most specifically to the 1980s, when Connecticut was flush with tax money, and many programs and benefits were instituted.  That, combined with the unusual strength of the public sectors unions in our state, left us with problems that still persist, and in some cases are getting worse.  The loom ..read more

Explanation of absorption rate: The rate at which available homes are sold in a specific real estate market during a given time period. If you look at the number for Branford you can say “If market conditions do not change and if no new listings come on the market it will take 2.0 months for the current inventory to sell at the current pace of the market. A balanced market’s absorption rate is typically between 5-7 months ..read more

 Every year, we post some version of the same message to buyers:  If you want to buy a house, the best time to make an offer--if you are serious and can move quickly--is between Halloween and Thanksgiving.  Sellers who really want to sell are beginning to come up against winter, and the end of the calendar and tax years.  They have begun to heat their homes, and sometimes plow their driveways.  There are fewer active buyers, and not all properties have as much curb appeal once leaves have fallen and flowers are gone.   All of those factors taken together give ..read more

 Real estate closings have changed outwardly in many ways, especially since the beginning of the pandemic.  Most parties sign ahead of time, and--usually--not much happens at the closing.  The monies are often wired from buyer to seller, and sometimes the commission is paid that way as well.   Although that all sounds smooth, there are always glitches that pop up at the last minute.  The most problematic, and maybe most common, is a delay in the closing date. It could happen that the mortgage funds are not available.  That could be due to processing issues, o ..read more

 What is it that people say about the stock market?  "Bulls get rich, bears get rich, but pigs get slaughtered".  Things are only worth what they're worth, and real estate is no different.  If a seller tries to take advantage of a tight market by overpricing, it might work, but, more times than not, it won't.  If it does work, it will usually be because multiple buyers are bidding on the same property. Even then, reason mostly prevails, often the next morning, or when the appraisal comes in.  Although many people are either downsizing, or have saved extra money du ..read more

 It may still be close to 100 degrees outside, but fall is on the way.  Kids are headed back to school, vacations are mostly over, and many people still think of Labor Day as the true start of a new year.   If you are interested in selling your property, now just may be the season.  There are plenty of buyers out there, and many of them were shut out of the spring market with too much competition. Also, we've been reading about the "wedding boom" that is following the COVID pause, so more households are forming all the time.  People who have been living in pods ar ..read more