Having been a Churchill East specialist for almost 15 years and a former resident of Churchill East for 13 years I’ve seen a lot of changes in the Churchill East Real Estate market. Homes that sold for $130,000 in 2000, and went as high as $375,000 in 2005, are now selling at, or below $265,000 at the high end, and $185,00 at the low end. Average time on the market in the area is now around 7 months.
The Seller’s market that
lasted from 2000-2005 has been replaced by a Buyer’s market. Prices have
dropped in the past few years 25-30%. The average seller paid
closing cost help for the buyer is now averaging about 3%. A huge
percentage of sales are now foreclosures and short sales. A short sale
takes place when the seller does not have enough equity to pay off the lender
or lenders at settlement and the lenders must agree to accept less than they
are owed. These "distressed sales" are causing home prices to
plummet as the sales prices are reduced until a buyer can be found.
Despite the downturn Churchill East continues to be a relatively popular
neighborhood due to it’s proximity to the popular new Town Center and convenient
location close to schools, recreation, shopping and quick access to 270.
The 2009 market is difficult to predict. Some feel the market has reached
a low point and as the traditionally hot spring market kicks in, perhaps with
new stimulus packages from Washington, prices will once again escalate,
although not at the torrid rate of recent years past. The optimists
believe the Washington area has a strong economy and more people are coming
into the area than are leaving. Others feel prices will continue to drop
for the foreseeable future. The reality is that no one knows for sure,
and variables such as the state of the economy, the credit markets,
interest rates and world events can have a strong effect on the market.
As always, home values are determined by the particular model of the property,
(Churchill East has 5 different sized models), the overall condition of the
property including upgrades and renovations, and the state of the current local
Real Estate market. In 2005, during the height of the Seller’s market,
homes sold very quickly regardless of condition. In today’s market, the
length of time a home stays on the market and whether or not it sells for top
dollar, or sells at all, is determined by the overall condition of the
property, how well the home is priced, and how well it is marketed by your
Realtor. Despite all the scary articles, your home can still sell quickly
and for top dollar, if these three conditions are met.
