Tuesday, May 20, 2014

Move Quickly to Buy Favorite Houses in Kansas City
Competition for Kansas City homes is creating bidding wars and some disappointed buyers.  That is why it is important for serious buyers to get preapproval, view the favored homes, and be ready to place offers quickly.  There is no time for procrastination or indecision!  Desirable properties in the Kansas City area are being snatched up in the blink of an eye.  Offers even come in before homes are officially on the market and during open houses. 
Here are some ways buyers can get a surer foothold in the Kansas City home market:
1.       Get a preapproval letter from your lender.
2.       Write a personalized cover letter to show buyer’s motivation.
3.       Make strong offer. 
a.       Increase the price or earnest money deposit.
b.      Pay cash.
c.       Wave contingencies such as inspections and other liabilities.
4.       Request accelerated acceptance date.
Most especially, those homebuyers looking for homes at medium price points in good Kansas City neighborhoods need to be prepared.  Today’s Kansas City real estate market is experiencing a short supply of homes for sale.  In March 2012 there were 7.1 months of existing homes available and today there are only enough homes on the market to last for 4.8 months. 
Sellers have it pretty good with many of them entertaining multiple offers.  They can choose the cream of the crop.  This is not the market for low-ball offers.  Most homes are selling for amounts close to the asking price or more.  In March 2014, the average sales price for an existing home was up 5.5 percent to almost $160,000.
The supply of new homes is a bit better.  The Home Builders Association of Greater Kansas City announced a 4-percent increase in building permits for single-family homes during the first quarter for a total of 863.  According to a recent article in The Kansas City Star Newspaper by Kevin Collison, “The supply of new homes was 26 percent higher in March than a year ago, with 1339 on the market.”  The average new home sales prices have increased year over year approximately 1 percent to almost $341,000.

Several elements are at play.  Continuing low interest rates, new jobs relocating to Kansas City, and affordable cost of living are a few of them.  Kansas City was ranked as the 7th Most Affordable Market among metropolitan areas with more than 1 million people in the United States, according to Collison.  The information came from nerdwallet.com, a San Francisco-based consumer finance website.

Shelly O'Boynick
Realtor, Broker Associate
RE/MAX Realty Suburban
12701 W. 87th Street
Shawnee Mission, KS 66215
email ShellySellsRealEstate@gmail.com