ResalesGermantown, Maryland Homes Selling For Asking Price Or More
Like other hot housing markets, Germantown, Maryland homes are often selling for more than asking price, say local Realtors, which means buyers should be ready with good offers.
"Until recently, Germantown was a series of suburban housing developments in search of a center," says Realtor John Webber. "However, with the on-going development of "downtown" Germantown, the different communities of Milestone (1990s), Clopper Mill (1990s), Churchill (from 1970s), Seneca Crossing (1990s), Gunners Lake (1980s), Fox Chapel (1970s), etc. will begin to feel as though they belong somewhere.
"There is also a move afoot to incorporate Germantown," he continues. "Until the mid-1980s, there was little development in Germantown. The incredible growth and the housing boom of the late "80s saw the construction of hundreds of townhomes and the overall balance of housing became almost 50 percent townhomes and 25 percent apartments/condos. (Compared to a county average of 50 percent detached homes). Since the mid-1990s a variety of new developments have placed emphasis more on detached housing, and the Kingsview community West of MD Rt-118 is the latest in the growing area, though, strictly speaking per zip code, it is in Boyds, 20841!"
About the market, Webber explains, "The first quarter has boomed! Very low inventory! Prices up, up, up! Escalation clauses standard with most offers! Open Houses are being mobbed! Over 192 homes came under contract during the month at an average list price of $288,800. Average days on the market was nine."
Says Realtor Murray J. Gould, "During the month of February, 123 homes settled at an average per transaction selling price of $289,926. Homes sold, on average, for 99.6 percent of their most recent listed price, having been placed under contract after 28 days on the market (DOM).
"Consider this amazing statistic - a full 66 percent of the 851 sales in all of Montgomery County during February occurred at or higher than the listed price. Those particular homes sold very quickly - which means that the "average" DOM figures were skewed upwards by that smaller proportion of homes that spent much more time on the market, possibly because of being over-priced, poorly located, in poor condition, or some combination thereof (bearing in mind that it generally takes longer to sell higher-priced homes)."
Gould suggests, "If you are wondering whether it is still a seller"s market out there, the answer is "Oh, yes." How long is this going to continue? Being a Gould, and not a guru, I don"t have the answer. Will interest rates go up after the election? Will they go up slowly? Could they jump over night? How will the mounting national debt affect consumer buying power and the cost of money? Will any of those possible eventualities dampen the housing market? In experimental science, success lies in conceiving the questions to ask in the first place. In real estate, the questions come easy, but the answers are elusive.
"This is my message for the buyer with a budget," advises Gould. "When you are ready to roll, study the home buying process carefully, learn fast, think fast. What is the worst thing that can happen to you as you begin to look for a home? The worst thing is that the very first home you lay eyes on is an absolute winner. You can"t possibly be mentally ready to recognize that fact, and your considerate real estate agent - who is not one to push people where they have never gone before - knows to keep his mouth shut. You therefore let the opportunity go by, only to wish later you hadn"t. Fast forward a short time into the future: prices have continued to rise, and the lesser twin of the home you could have bought last month is now out of reach.
"What to do? Unfortunately, there is no protection against this problem, except to go full speed when you are ready, learn fast and think fast," he says. "And, oh yes, don"t bring too many friends and/or relatives into the decision process. Every human being on this earth, no matter how friendly or well meaning, has multiple agendas, which - to say the least - can complicate your decision process. Shop to please yourself (and/or your significant other.)"
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