2014 is shaping up to be another year of progress for Columbus home values! As foreclosures and short sales have declined, the inventory of Columbus homes for sale has dropped. According to industry reports, we have 16.2% fewer homes on the market compared to March 2013. Meanwhile, the median asking price of a Columbus home stands at $153,500, an increase of 6.7%.
The reduced number of homes on the market will put pressure on home prices, and heat up competition among Columbus home buyers. While this could have a ripple effect across all price ranges, first-time home buyers will feel the brunt of the impact. This is because property investors have the same kind of homes in mind to convert to rentals, or to resell at a profit.
Industry reports show that Franklin County, Ohio stood among the top 100 U.S. counties for cash home buyers in January 2014. Specifically, Franklin County had 620 all-cash home purchases. Cuyahoga County also made the list, ranking ahead of us with 859 cash purchases.
Cash buyers play an important role in our housing recovery by absorbing distressed properties that are often beyond the scope of traditional home buyers. And while our home values have improved, prices remain below the market peaks reached in 2006. As long as real estate investors have a reasonable expectation of profit, they will remain active in our market.
This does not mean that first-time home buyers will be pushed out of the market. Cash buyers tend to make offers much lower than market value. Some home sellers will be enticed by a cash offer and the promise of a fast, easy closing with no inspection or appraisal. But not all sellers will find this to be a fair trade! If you prepare your financing in advance, and use the services of an Exclusive Buyer’s Broker, you can successfully compete with cash buyers in Columbus!
As your Exclusive Buyer’s Broker, we serve your best interests at all times. Unlike real estate agents and brokerages who represent sellers, as an Exclusive Buyer’s Broker, we only represent you, the buyer, getting you the best price and terms with no conflict of interest at all times. Understanding this distinction could literally save you thousands of dollars not only on the purchase price and terms, but also on seller concessions and home inspection issues, whether you are a first-time homebuyer or an experienced homeowner.
Contact us with your home buying questions! Remember, we are with you every step of the way…all the way home!
Andrew Show
Broker, CEBA, CEBA-M, CNE, CSP, ABR-M, e-PRO, GREEN
Buyer’s Resource Realty Services
Serving Metro Columbus, Ohio with Exclusive Buyer’s Agents
7100 North High Street, Suite 204, Worthington, Ohio 43085
614-888-4110 | 888-888-4110 Toll Free | 614-839-4110 Fax
