Navigating Local Real Estate in 2020
July 9, 2020
Are you interested in buying a new home? CENTURY 21 Rasmussen, located at Carmel City Center, brings us the current climate of local real estate in 2020 to help you navigate the market.
Business/sales in the first half of 2020 is up 20% over the same time in 2019. Broker/owner, Larry Rasmussen, attributes this to low interest rates being somewhere in the 2.7% range for a 15 year fixed rate to 3.15% for a 30 year fixed rate (depending on credit score) over the past couple months.
“COVID-19 has definitely changed the way our business has transpired in 2020,” said Rasmussen. “The first six weeks or so we didn’t know what to expect or how to react in a pandemic crisis. As the ‘New Normal’ became more apparent with corporate large company employees not traveling and working from home, the internet activity on listings turned HOT.” Although listing inventory is way down from 2019 (-22%), buyers began jumping at anything located in Carmel and surrounding areas listed under $350,000. This has created multiple offer situations and many times an over-asking price offer. As for the upper price range, $600,000 – $1.5M, there is currently not much inventory but plenty of demand for the updated, fresh home or the brand new home. Carmel is a hot spot for corporate transfers and continues to be on the radar for that type of buyer. “The areas around Carmel such as Westfield, Fishers and Zionsville all reacted in a similar manner – however, my expertise is in Carmel as CENTURY 21 Rasmussen has been located, and doing business in, Carmel for 40 years,” said Rasmussen.
Builders like Pulte, Lennar, Drees, David Weekley, Estridge, MI Homes and Westport Homes are very busy as most buyers would prefer NEW versus an older home, if affordable. With demand, prices have gone up, but that hasn’t seemed to stop the buyer attitude the past few months towards purchasing a new home during COVID-19.
As mentioned, purchasers in 2020 are very aware of what is available for sale with Zillow and other online platforms since they are generally working from home. The struggle is finding listings that match the buyer’s demand. Buyers have more time to view on-line and therefore make decisions quicker, rather than the traditional “house hunting on the weekends”, and have time to consider making a move to their next home or possibly buy their first home.
The most important thing to consider if you are ready to purchase, is to be prepared for limited listings says Rasmussen. This creates a sense of urgency and if you get pre-approved ahead of time and work with an agent that is well versed with the latest new activity, the process can be much easier. CENTURY 21 Rasmussen would like to be that guiding resource for you in 2020 as we get through this difficult time and stay safe and healthy.
Call Larry if you need help you with your real estate needs. To view featured listings, click here.
Broker/Owner CENTURY 21 Rasmussen
732 S. Rangeline Road, Carmel, Indiana