Billings-Market
Temperature (and prices) Falling
11/10/2006
The Real Estate market in Billings has slowed over the last several months. The average single-family home sales price in July was $189,849 while in September that number dropped to $177,318. This is indicative of the colder selling season. This is, however, a great time of year to buy Real Estate. With the temperature dropping, so are the home prices. If you can stand to move during the frosty winter months, then you should start thinking about home shopping. The fall and winter months can be scary times for sellers, most of whom are much more motivated to get their home sold so it doesn’t sit through the winter, even if that means lowering the price or accepting a lower offer price. My advice to buyers during this time of year – buy your new home now while the prices are lower. My advice to sellers during the winter months – if you are flexible with your price don’t turn away any offers, counter offer to a price you are comfortable with to get your home sold and avoid the hassle of holding a home through the winter. Don’t scare away potential buyers by being overly aggressive with your price. This is the time of year for sellers to consider price reductions and buyer incentives. If you are not price flexible, you should prepare to hold the house through the winter months when the selling market is weakest. The spring will mark the beginning of another wonderful sellers market when you can be more aggressive with pricing and advertising.
Don’t believe what you hear and read about crashing Real Estate markets and the bursting housing bubble. While this is definitely true for the coastal markets (California to be more specific) and places like Colorado, Billings has a thriving Real Estate market. I anticipate a strong but more level market next year, not due to a housing bubble, but due to fear that the Billings market will or has crashed like the California and Colorado markets. This will not be the case. Billings is growing by leaps and bounds. I anticipate that the market through the next year will bolster Real Estate prices and peoples confidence, allowing for an even stronger market in 2008, with home prices increasing with the population. Don’t be afraid to buy a home next year or the year after. As far as the investment outlook, I recommend that investors start turning some attention to Laurel and Shepherd for good deals during the next year. Shepherd has seen some great price increases this year, with out of state buyers looking to live in a more rural area. The space between the Billings Heights and Shepherd is a great place to invest. Billings will be growing out that way and Shepherd has been very popular this year. Laurel will see some great growth next year as well with the new Wal-Mart going in. Wal-Mart in itself may not be such a big deal but, with the convenience, people will be able to live more comfortably in Laurel without having to drive to Billings to shop. Wal-Mart should also bring more businesses to town and a stronger economy. I personally believe that Laurel will be the new investors central for the next several years, with the home prices in Billings soaring, even South Side properties are commanding a higher price tag. Laurel will be a great place for investors.
In conclusion, buyers should be looking to buy now (you can call or e-mail me and I will help you find the right home), sellers should be considering price reductions and being more price flexible or preparing to ride out the winter, and investors should be looking at Laurel for future projects (investors should contact me to get automatic e-mails or personal notification when properties come available that may be interesting).
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