The Sky High Price is Falling, by Dennis Beerman

Value is a perception, not a reality, and in this market, sellers, buyers and bankers are no longer valuing homes through the rose colored glasses of the last three years. In fact, the dark lenses worn to fend off the recent financial glare are more reminiscent of mourners than sun worshippers.

In the current market, the driving forces have caused a downward trend in the price buyers are willing to spend to acquire a home, and banks are willing to lend to purchase that home. Availability of inventory, mortgage interest rates, loan qualifying requirements, and of course the ‘Sky is Falling’ headlines of the media, have driven the average transaction price down in comparison to this time last year.

With challenges to get the sale, and challenges to get purchase loans, homeowners have an even greater incentive to hold on to their property and ride the current economic wave. Ironically, the local housing needs of the now historic ‘bubble’ still exist.

Births and relocations continue regardless of economic trends, and with expanding families, come the need for additional local housing. According to the Chamber of Commerce , Hillsborough County has an expected population surge of more than 126,000 between 2004 through 2009.

In contrast, the current holding pattern on home sales means: to comfortably accommodate the needs of a growing family, rather than replace your current home with a newer, nicer, larger one – remain in your current home and update, upgrade, and upspace. The end result is; more comfortable living experiences, more space, and a higher equity value.

The appeal of a newer home can be achieved in an existing older home with a few strategically spent dollars to add more enjoyment, elbow room, and equity. Home owners should clearly define their priority for space, comfort, or ambience when speaking to a contractor.

Scott’s Custom Renovation and Construction (SCRC) – a local Building Contractor, provides renovation and remodeling services and financing, as well as consultancy, training and assistance for the die-hard do-it-yourselfer. By offering a breakdown of cost estimates by project, the do-it-yourselfer can save money by deciding which projects to have Uncle Harry’s help on, and which are better left to the experts.

More space and comfort without increasing square footage is now possible with newer storage options, area definition, and room layout. Space optimization, improved functionality, and moving walls are just some of the options that add space and comfort to a formerly tight existence.

So with the sky high prices of homes falling, home owners no longer have to take a financial hit by accepting a lower price for their home. Rather than sell for less, consider waiting out the market by giving your existing home a fresh coat of paint, and an even refreshing newer look. Since it is emotional triggers that make a buyer see your place as their future home, who knows – with your home now looking nicer than your neighbors, interested buyers might just get closer to the price you were looking for – and if not, the urgency to sell will abate as your newly remodeled home looks and feels more like the home you always dreamed of.

Dennis Beerman is a Florida Certified Building Contractor
CBC1253501
www.SCRC-FL.com
Tampa, FL
(813) 433-8556