In our market here in the Treasure Valley - Boise, Idaho and surrounding areas, the peak was 2006-2007. We have been declining pretty drastically and steadily since 2007. 2011 seemed to mark a changed market and in 2012 we had drastic appreciation - 25-35% in some areas!
Another marked difference is the amount of distressed properties. Distressed properties, whether short sale or REO/Bank Owned properties were a majority in the market - I believe at the peak the number was 56% of sold properties were distressed properties. Now it is down to 23%.
With the shift in the market in 2007 my husband began his specialization in short sales. He has been negotiating and selling short sales for many years now as a primary part of his business. While that is still a huge part of his business we have seen the decline in the number of listings he holds at any given time.
Now with distressed properties on the decline John is turning back to working with more buyers and more traditional sales as well. I have always been working with buyers so that isn't changing for me. However, we are back to the multiple offers and difficult climate for buyers so we have to shift back to educating buyers that it is not a buyers market as many think it is.
So, as buyer's agents, the top three things that a buyer's agent needs to do to be successful in this type of market are to:
1)Know the market. It is important to know the current statistics. It is important to know prices. It is important to know inventory. With everything moving so quickly, a buyer really needs an agent that is immersed in the market and who is knowledgeable enough to answer questions and help a buyer make a decision quickly. There is really no time to "sleep on it" in this market. Doing so, offering too little, not having financing together, etc. can all cause a buyer to lose the home that they want. The buyer's agent needs to be on top of their game.
2)Educate Buyers. A lot of buyers still think it's a buyer's market out there. I'm not sure if media is portraying that or if they just haven't been paying attention to the trends, but buyers need education. If a buyer' agent is up on the market (see #1 above) they will be able to better educate a buyer so there isn't disappointment after disappointment in losing the homes that they want.
3)Be Available & Work Hard. These markets are tough for both buyers and buyer's agents. Homes are selling in a matter of hours. What that means is that we have to be available to our clients to show them the homes and to get the offers written immediately. Not tomorrow. Immediately. If you are a buyer's agent and are too busy to be available to your clients, you need help. Hire a showing agent, get a partner; whatever will help you to be available for your clients or you will miss out on their homes and they will be frustrated that they chose an agent that isn't available to them. It's hard work and it's frustrating but it's the season of real estate that we are in, at least for the time being.
If you are looking to buy or sell in the Boise area, including Ada, Canyon, Gem & East Boise Counties we are here to help. Real estate is our business. Give us a call!
Managing Broker, Jon Gosche Real Estate, LLC
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Boise, Idaho Real Estate
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