Rubbing the sleep from my eyes this morning and slurping on the first cup of java before the boyos awoke, I began to read my email off my phone.  There was one email that stood out.  In fact, it gave me so much of a jolt that I nearly didn’t need any more coffee today…..almost.

The President of Operations at Real Estate One is Dan Elsea.  His email to the company was frank but optimistic about where we are as a company and as sales professionals in a rapidly changing market.  Specifically the following quote:

Overall, we will appear to “bounce” off the market bottom over the next six to eight months as we work through the mortgage market stabilization and our local economy settles down. Predicting the true market bottom is difficult; we won’t really know it until after a recovery is well on its way.

Also, year to date, the number of leases has risen from nearly 6% of total units to 12%, reaching close to 20% for the month of August. The percentage of leases, like the percentage of vacant homes, are indicators of the direction of the market. For vacant homes, the percentage is running in excess of 40%, with a stable market in the 20-25% range. When both percentages begin to fall, our market will be on the rise.

So the light at the end of the tunnel may not be a train after all, but then, this blog has never advocated a doom and gloom attitude on the housing market.  In fact, we continue to recommend to anyone considering buying, that they buy and buy frequently!  This is the market within which to make your money!  Never before have we seen the combination of the high level of inventory and the low cost of money.  If you want to make sure that your purchase now will pay you dividends down the road, now is the time to buy.

If you are a seller, things are not as bad as everyone wants you to believe.  Yes, prices are down, inventory is up and competition for the buyers in the market is fierce.  But Team366 has a proven marketing strategy that ensures your home is seen by all who might be looking for it.

In addition to our own marketing strategy, Real Estate One has its own proven track record.  In fact, here are the stats for our company for August 2007:

Sales Volume for August: $221 million dollars                 

Number of Homes Sold/Leased: 1,392

Number of Mortgages, Title and Home Insurance policies provided to our clients: 524

We had our listings shown more than 16,000 times

We had over 5,000 buyers visit our open houses last month

We had another record month of visitors to our web sites, over 110,000

Combining Real Estate One’s winning track record and Team366′s professional marketing strategy is a powerful way to ensure your home is seen and sold!

If you are a buyer or are considering selling your home in this market, give us a call at 734.330.2392.

Big House Data, LLC has gone into Beta for their new delivery of stats packages…and boy does Team366 like the look and the new data set.  From BHD’s intro to Beta email:

Aside from the announcement that there is now one location to get your housing statistics, BigHouseData.com|BETA is pleased to announce that our stats focus solely on properties within Washtenaw County.  No more out of county sales included in your housing stats!  Any property listed and/or sold in Washtenaw County by a licensed agent is now a part of our  data set and, therefore, your housing statistics.  Big House Data, LLC is  providing you with the truest picture of the area housing market!

Thank you Big House Data! Now for the charts and analysis!

From the Big House Data Executive Summary:

On average, single family residences and condominiums sell within 2.12% of their list price. This is a good indicator for the overall market. This means that buyers and sellers are beginning to agree, rapidly, on what price constitutes market value. Due to Pfizer’s withdrawal from Washtenaw County, it is BHD’s opinion that the area housing market learned what it takes to sell a home in this market a lot quicker than the rest of SE Michigan. It was a very short, steep learning curve, but Washtenaw County sellers now know that price sells.

Average List Price – Washtenaw County

The average list price on both condos and homes in Washtenaw county has fallen nearly 6.5%, compared to the same eight months of 2006.

The Pfizer withdrawal is in effect!

Average Sales Price – Washtenaw County

The Average sales price of property in Washtenaw county has fallen as well.  Given all the bad news and media hype, one would think the bottom had fallen out.  Fortunately, this is not the case.  Compared to the first eight months of 2006, the average sales price for the same time period in 2007 is down only over 4.5% to $228,270.

August 2007′s average sales price was $223,637, down 4%, compared to August 2006′s average of $233,148.

Number of closings v number of sales

As you can see, the sales trend continues gradually down as the listings continue to pile onto the market.

Compared to the first eight months of 2006 where 30.1% of listed properties sold, the same time frame in 2007 has seen only 19.9% of listed properties selling!  That’s a 10.2% drop in one year.

Compared to the county average of 19.9% of the listings selling, Team366 is proud to announce that we sell 73% of those properties we list….and that’s just this year!

As ever, contact us if you would like information on the Team366 professional marketing system, our housing stats or any further information regarding real estate in Washtenaw county.

 1:50 pm – Sign Plantings and Hello/Good byes

Signs are placed and directing interested parties to the Team366 Real Estate Chat: Eastside Edition.  For those keeping score, this chat is being held at 2827 Bellwood, Ann Arbor.

As I pulled into the drive the homeowners were packing up the kids and dogs.  We exchanged a few pleasantries about the recent success/demise of U of M football and they vacated the premises for two hours.

From the photos taken today, you can see this home is a delight to hold  open!  Sunlight and late summer breezes are the capstones today.

2:18 pm – Eric and Stacy

 For those doubters in the A2 Cyberland, or SE Michigan Cyberland, that anyone shows up to Real Estate Chats or open houses these days….Look!  I found a couple!  Eric and Stacy were kind enough to let me photograph them as pictorial evidence that people still do walk through homes on Sunday afternoons.

Eric’s smile, I’m convinced, was not only a result of being out and about with his lovely bride, but also the fact that they had just come into the finest home currently for sale on the EastSide of Ann Arbor!  They tell me that they found our Real Estate Chat as a result of looking online….Imagine that!

2:25 PM – floodgates opened!

Hmmph…no attendees to open houses or their sexier counter part, Real Estate Chats!

As I was wrapping up the last entry about Eric and Stacy, four more groups of folks walked through the front door!  Apparently the combination of a U of M win, wonderful weather and a beautiful house cause folks to go through open houses!

The groups thus far through the real estate chat have ranged from first time home buyers, to folks downsizing.  And three of five attendees learned about our real estate chat as a result of information from the internet.  I even got a pat on the back for my camera and voiceover work on the walkthrough for Bellwood.

One highlight of the mad rush was Grace.  I introduced myself to her party as follows, ”My name is Todd.  While you are here, feel free to ask any questions you may have.”  Grace’s immediate response, “That’s a funny name, Todd While You Are Here.”

I like Grace!  That’s my kind of humor!

2:55 pm – I thought I was going to get a nap!

Three more sets of interested lookers. 

So far:  seven folks found us online, and one via the newspaper.

As I publish this post, another attendee chuckling that this is not a pre war or post war home, but a home built during WWII.

3:35 pm – I get to take a breath and have a cookie

One of the things I enjoy about being a Realtor(R) is the ability to talk with and meet a variety of different folks.  Grace was a blast to talk with out of sheer humor.  Another attendee regaled me with stories of his friend, a state trooper in Kentucky. 

I can see the bottom of the cookie plate!

3:50 pm – Even Other agents get in on The Chat Goodness

That’s how good we are!  Another agent thought they should stop by and check out Bellwood this fine day!  I suspect the agent was trying to get a feel for the competition in the Darlington Subdivision, but all I know is that this agent found us via the internet as well!

So, for the day, ten potential buyers through the Chat.  Of the ten, eight found the Chat online, one found us via signage, and only one admitted to seeing our open house ad in the paper.  All in all, a great day!

If you are looking for this kind of internet coverage on your property, drop me an email at info-at-team366[dot]com.  I would be happy to explain how our professional marketing system encompasses the new and old media to expose your home to 100% of the potential buyers for your home.

It’s the weekend, so that must mean it is time for some Team366 Real Estate Chats!  Not to be disappointing, we are holding four chats this weekend! 

Also on tap this weekend, we are pleased to announce that Mr. Harry Kroth has joined Team366!  So, without further ado, let’s introduce Mr. Kroth and his first Real Estate Chat.

20300 North Territorial, Chelsea, MI – Sunday, 2 to 4 pm

This four bedroom, three bath ranch in Chelsea simply must be seen to be believed!  The finished walkout lower level adds an additional 1300 square feet of livable space.  Surrounded by towering trees, you’ll feel as though you are in the middle of the country. 

Stop by on Sunday and say Hi! to Harry.

1216 Grant, Ypsilanti, MI – Sunday, 2 – 4 pm

Featured last week as new to the market, this weekend is the first open house for 1216 Grant Street.

This gorgeous Normal Park center-entry colonial just waiting for you to call it home!  Stop by this Sunday and say Hi! to Jim Tillman.  This is a must experience home for any Sunday Open House regular.  In fact, check out the video walk-through by clicking on the picture.

2827 Bellwood, Ann Arbor, MI – Sunday, 2 – 4 Pm

Todd Waller will be holding his real estate chat at 2827 Bellwood, Ann Arbor.  This real estate chat will be live-blogged, so if you stop by as a result of reading this post, let Todd know so he can post a photo of your visit!

1560 Kuehnle, Ann Arbor, MI – Sunday, 2 – 4 pm

Eric Pointer will be holding his real estate chat at the “Best of the West(side) Colonials”.”  1560 Kuehnle has got location for anyone needing to be close to bus lines and within the city of Ann Arbor, without the hustle and bustle.

1:45 PM – Sign Planting

Planted signs at the two most direct paths to 2827 Bellwood.  By 1:50 pm, had pulled into the drive and planted two signs on either side of the drive.  Already had two guests following me to the Chat!

2:05 pm – Cookies sure look good!

First two guests have left and the plate of cookies kindly left by the owners sure look good!  Guests were interested in the property and were originally on their way to check out a development wide open house in The Village.

2:30 – more guests

Half hour into the 2 hour real estate chat and we’ve had two guests tour the home!  Pretty good.  It is a beautiful day outside, so I can understand why folks wouldn’t have housing on their mind.  However, given the last week or so of rainy weather, I can’t blame folks for wanting to get out and about.

Real estate chats, or their more mundane counterparts open houses, have been getting a bad rap of late.  Team366 has been fortunate enough to hit upon the idea of Chats and invite any- and every-one interested in talking about real estate and viewing wonderful properties.

2:38 – How long?

Second set of guests have left and there is a third sitting in their car right our front.  I can only surmise what would keep folks on their phone, in their car on a beautiful day like this.  Especially since there is such a wonderful home to experience and an agent willing to talk about the current market conditions.

2:48 – the Cookies are really good!

Third guest is off the phone and coming in!

3:00 – Three by 3

Not a bad chat so far!  Third visitor has left and is continuing their tour of open houses.  Everyone so far has commented on how well cared for and decorated 2827 Bellwood is. 

Recently featured in RealView’s weekly newsletter, Bellwood is getting excellent exposure.  The owners have been very pleased.  Since listing their home in early July, this property has received far above the average number of showings, hits to the virtual tour and hits to the video walkthrough.

Only a matter of time for this home…only a matter of time.

3:30 – Man, what a beautiful day

So what does an agent typically do at a Real Estate Chat/open house? 

When there are no guests to host, an agent is typically on their phone setting up appointments for the rest of the week.  This could mean scheduling showings for current buyers or following up on leads they may have for listing appointments.

[or they could be napping!]

Having exhausted my list of calls, I turned to the local blogosphere and found this nifty article by Murph about “City Place,” a mid-range housing proposal for South Fifth Avenue.

The thought of conditional zoning being used for the first time in Ann Arbor means that it will be interesting all by itself.  The fact that someone is proposing to build something similar to Boston brownstones in Ann Arbor is very intriguing. 

Ed V has some maps of interest and online commentary on this proposal at his blogsite.

3:40 – The guests keep on coming!

Fourth set of guests arrived and they are sellers coming on the market soon.  So that means they are comparing this home against theirs.  Unfortunately for this agent, they are also already represented and tied to a relocation firm.  I darn near needed to wipe the drool off the laptop as they were impressed by the array of marketing that Team366 brings to bear on a client’s home.

Again, commented that Bellwood is gorgeous and they can’t believe that anyone lives here.  Their comment was that they thought the home was staged!

4:00 – Off to the next appointment

Well, four guests in two hours.  Not too bad for a housing market that is supposedly horrendous.  This tells me that there are still ready, willing and able buyers in this market.  It also showed me that there are still folks that need to sell in this market.

As dire as the news has been, homes still sell at the convergence of price and quality.  Always have and always will; it is ever a value driven market.

If you would like market information, email us at info@team366.com to be added to our monthly housing stats mailer.  Use that same email address to talk with us about our fabulous marketing system for sellers and our unique “Search and Save” feature for buyers.

The monthly report on the Ann Arbor Housing Market

It’s the second week of August so that means it’s housing stats time!

From the Big House Data Executive Summary:

Overall, the thin silver lining is that the pace of listings coming onto the market has slowed down. Sales prices, number of closings and monthly volumes continue to decline, giving the impression that no properties are selling at all. There is brisk movement among properties that appear to be priced at their 2001 price points.

Average List Price

List price continues its downward trend.  This is a direct correlation to the amount of properties currently on the market.  Econ 101 taught us about the law of supply and demand.  Falling list prices mean that sellers have taken the second class of Econ 101 and learned that the market drives toward equilibrium by forcing price downward as inventory increases.

Average Sales price

Average sales price, however, shows that its rate of decline has slowed, and even crossed the average list price threshold!  This could be an indication that the market is beginning to stabilize itself.  When properties sell for more than the average list price, it indicates a level of activity we’ve not seen in this market for quite some time!

Number of closings v number of listings

This chart shows the continued gap between the number of listings and the number of closings per month for the last 36 months.  It is dramatic to see the gap widen recently.  While listings per month have increased, sales per month have remained relatively stable, to declining slightly.

As ever, should you like a copy of the full report, Team366 will be happy to add you to our monthly stats email list.  Drop us a note at info-at-team366[dot]com.

19996 Weyher, Livonia:  SUnday, July 29th from 2 – 4 pm

This weekend, I will be holding my real estate chat and open house in Livonia!  Check out 19996 Weyher for some easy, affordable Livonia living.  Check out the video walk through here and here is the Team366 vFlyer.

Not only will you have the opportunity to check out a great home, but I will be on hand to answer questions and talk about this current real estate market.

Here’s a handy Google map to help you navigate your way.

Technorati tags: Michigan, Real Estate, For Sale, Team366, Livonia, vFlyer, WellcomeMat, Real Estate Chat

Via Big House Data, here are the most recent housing inventory statistics for Washtenaw County and the Ann Arbor area.  And since we love it when local bloggers link to our blog, we’ll reciprocate the link-love! 

trekker9er at As I Live and Learn has been detailing their quest to sell and buy a home in the Ann Arbor area.  trekker9er has been kind enough to recommend and link to this humble blog, so we thought we would reciprocate and point out that we have new data for you to look at! 

From the BHD Executive Summary:

The value driven real estate market continues on. The convergence of price and quality is where a property sells, and this market is definitively proving just this axiom. Anecdotally, Big House Data clients have reported listing properties on a Friday and then having to field multiple offers on Monday?.and the properties are selling above list price!

Inventories across condos and homes is up, there is no question. Pfizer relocation properties have ?taken the knees? out of some areas with their aggressive, post-buyout pricing. In some cases, 10% lower than a purchase from two years ago. The effect this has on the neighborhood is depressing the property values seemingly instantly. But, Pfizer is doing a great job of selling those homes.

If you are considering buying or selling property in today changing real estate market, give Team366 a call @ 734.476.1343.

Let’s face it, this market is a home buyer’s paradise.  High levels of inventory and near historic lows on mortgage rates are causing buyers to “fall off the fence.” Maybe not in record numbers, but buyers do exist in this market.  Big House Data’s recent monthly release points out there are roughly 16% active buyers in this market than last year.  This loss of buyers in the market and the inflated amount of inventory only exacerbates the perception that nothing is selling in this market.  The flip side to that 16% loss of buyers is that there are still 84% of the numbers of buyers in this market compared to last year.  So, yes, Virginia, homes are still selling!

This article from MSNBC.com points out that across the country, new home construction is in decline, yet the Midwest is up about 15.5%.  I would be shocked to learn that Michigan registered in the positive for new home construction, but it is encouraging to see that our region of the country is putting more “sticks in the air.”

With that mixed news, here are a few pointers on buying and selling in today’s market.  Of course, we’re a little biased on whom you should work with, especially in the Ann Arbor market.

Buyers steps to purchasing a home in this market:

1. Call Team366 for a quick assessment of your housing needs;
2. Get pre-approved;
3. Review list of properties provided by Team366;
4. Schedule showings;
5. Buy that special home for you!

Seller’s steps to selling a home in this market:

1. Call Team366 for a Highest Price Analysis of your property;
2. Review our Direct Path Professional Marketing System;
3. Sit back and let our Market System cause your home to be sold;
4. Close on your home!

What appears to be a regular feature on this blog, is the monthly rolling out of Big House Data’s housing stats.  Well, let June be no exception!

From the BHD Executive Summary:

The mantra in this market is: price moves homes.  Location, price and condition are the traditional three keys to selling real estate.  Sellers have ultimate control over two of the three.  When condition and price converge in the mind of the buyer, the property sells.  And the stats show that compared to last year’s market, 84% of the buyers are still there. [emphasis added by editor]

84%?  That means that the number of closings this year, compared to last, are down 16%!  Phew.  And that’s just from the first five months of 2006 compared to the first five months of 2007.

For the folks looking for some graphs:

Average List Price

The average list price for a home in Washtenaw County in May 2007 was $207,559.  For the year-to-date, the average list price is down nearly 5% to $223,657, compared to the same five months in 2006.

Average Sale Price

With an average sales price of $212,623, May 2007 saw the year-to-date average sales price drop to $210,730.  That represents a 7.19% drop in the sales price, compared to the same five months last year.

Average List Price v Average Sales Price

This chart is done purely to show how the list price and sales prices are moving from month to month.  What is interesting about this chart is the ‘inversion’ of the list price and the sale price for the month of May.  Watch for sales prices to continue to drop.