Branson Real Estate Sales Officially Up in 2010

I was thumbing through some sales data yesterday and came upon some interesting numbers.  Sales in 2009 were around 1,100 units and that number has risen to around 1,350 units in 2010…a rather nice gain year over year.  I project that the number of home sales will be higher again in 2011, but not materially.  However, some sellers are finally capitulating and some buyers are finally convinced that prices in the area are not going materially lower in the near future so only time will tell.  For now though interest rates are excellent and if a buyer is motivated to act quickly to buy the right piece of Branson real estate, nice deals can be had.  Just my two cents.

When Offering on Homes, Keep the Big Picture in Mind

In keeping with the theme of affordable homes in Branson, Missouri, let’s talk about making offers. Most buyers get very hung up on the sales price of the home, which is understandable but not very practical. For instance, if a home is for sale for $150,000 and there are other offers on it, make your best offer and call it a day. When you take a $150,000 payment on a 30 year amortization schedule, there is very, very little difference from $145,000. In addition, most people never retire their mortgages as they move more often than every 30 years, so the paydown of the principle is modest difference at best.

Now I am not saying that you should be making full priced offers in every situation, or even in the majority of situations, but in this tight market under $150,000 it is a good idea as you may end up with a lesser home if you offer low and don’t get the home. Most buyers don’t want to hear this, but there is high competetion and not much inventory at this price range in the Branson, Mo area, which pushes prices higher. I don’t see prices getting any lower as many homes have been sold at or less than it cost to build them…and there aren’t many builders with starts in this price range as they can’t make enough money when building them to bother.

Moral of the story: Be aggressive with your first offer so you get a quality home. The difference in payment is nominal, and is especially small when amortizing and paying down the home over 30 years. So if you are in the market for a home in this price range, give me a call at (417) 337 – 1627 and I’ll go to work for you.

Trading Up Will Be Expensive In The Future

Lately I’ve talked with a few bankers and mortgage brokers here in Branson, Mo and we’ve come to a basic conclusion: buyers should purchase as much house as they can afford now because when interest rates rise from their current all time lows the difference in payments for the same size home will be staggering. Since we’ve basically had falling interest rates for the last 25-30 years, most prospective homebuyers have probably not stopped to think of the paradigm shift we are about to witness. If interest rates get to 10% in the next handful of years and the home you are selling was financed at 5%, you will not even be able to get close to the same price home for the same monthly payment, and likely won’t get in the home with as little as is required for down payment in many situations currently. So if you think you will “trade up” in the next few years, you may want to evaluate your current options and decide what fits your particular situation the best.

Now please don’t take this little note as a “sky is falling” warning — it is certainly not intended to be construed that way. I just wanted to give a little example of the foresight and thought I put into my job and what I bring to the table. I won’t just show you a home, I will advise you about all facets of the transaction — so feel free to call me at (417) 337 – 1627 if you have questions about buying or selling real estate in Branson or on Table Rock Lake.

Branson, Missouri: A Two-Tiered Housing Market

A theme I have been seeing for the past few months is still going strong: Branson has a two tiered real estate market. Affordable homes for sale near Branson, Missouri (under $150,000) have been selling relatively well considering overall economic conditions, while homes over this mark have been selling at a much more sluggish pace. I would go as far as saying that it is a seller’s market under $150,000 (especially under $125,000), as renters with steady jobs and good credit can buy a home near Branson or Hollister for less than they currently pay in rent — taxes and insurance included. If you are in the market for a home in this price range, give me a call at 417.337.1627 and we can talk about what’s currently on the market here in Branson, Missouri.

Supply of Homes For Sale in Branson, Mo Under $135K Dwindles

Though the first time home buyer’s tax credit was extended until April 30, 2010, buyers in Branson, Missouri have been scooping up homes under $135,000 at a voracious pace. In the past few weeks I have seen multiple homes for sale in Branson have 2,3 and 4 offers at once. Builders stopped building in 2008 and the overhang inventory was largely soaked up in 2009 (specifically in this price range, not in the overall market). As 2010 gets underway, the homes for sale in Branson or Hollister are in high demand and short supply. If you are considering purchasing a home before the tax credit deadline, I suggest you do it soon. It has become a seller’s market in this price range.  Call 417.337.1627 if you would like buyer’s agency representation when purchasing one of the available homes in the area.

Branson Industrial Park Infrastructure Being Installed

Though the project was started well before the market corrections of late 2008, the Branson Industrial Park is still under construction. Located off highway 248 at Buena Vista Drive, the Park features a huge inventory of commercial lots (at least by area standards) as well as 180 residential lots tucked away on beautiful winding streets at the northwest corner of the property. Though it may seem counterintuitive, now may be a good time to pick up some developed lots at a bargain price. If you are looking to take advantage of the dislocation of supply and demand fundamentals, give me a call and we’ll see what deals are out there. 417.337.1627.