Search Homes For Sale
Foreclosures
HUD Homes
Schools
Public Information
Email me when you find a home you would like to see.
Or call my cell at 616-293-2540.
Confused about the housing market?
I have been helping people buy and sell residential homes in West Michigan full time for 9 years. The number one question I get asked is, “How’s the market?” If anyone remotely pays attention to any news, especially the GR Press you know the housing market is hurting. Many people are as confused as this guy looks. I can’t blame them. Well, it is a good time to buy. It may or may not be a good time to sell. We have two markets going on.
1.The Buyers Market-
The interest rates are great. Some of these foreclosure prices are a steal. 100% financing is rare so you will need at least a 3% down payment but you can find some really great houses. If the house is NOT in foreclosure than there is most likely less equity in the house so no deep discounts. However, these houses are very nice inside and are great houses to live in.
I like to think of this analogy: There is a wholesale, dent and damaged market out there. Just like the back back room of Art Van, where you can pick up some furniture for a steal of a price and you just have to put the scratched side of the sofa against the wall. There is also a retail market out there. Like shopping at D2 or something other fine store where the furniture is basically art. Some houses are awesome inside. They have a great product to sell. No work needs to be done, the candles are lit, cookies are in the oven and the house has the perfect layout for that buyer. These sellers will not or cannot compete with the 20% plus discounted foreclosure houses in price.Rentals-
I had one client buy at duplex by the GR GVSU campus for 15k. I think he used a credit card! You can find some houses for 20% less than it's last sale price. However, remember values are still declining and you may have to do major renovations. You have to buy the right house. If you are thinking about buying a rental house (or three :) it will be a good investment.
Think about this: The people who go through foreclosure still need a place to live and will not be able to buy another house for 4 to 10 years, so a surplus in renters will be here. Experts predict that the rental rates will increase 8% over the next couple of years. The value of houses should stop declining with re-adjusted values in a couple of years, so if you have a small rental portfolio you would be in really good shape.2. The Sellers market-
My opinion is, only sell if you have to. You will have to take less than you may think and values are still declining. However, there is a silver lining in this market for sellers. Let’s say you want to buy a bigger better house. You may have to take a hit on your selling price but the next house you buy will most likely take a hit too. The loss on selling your house will not be more than the discount you get on the bigger better house. Think about that fuzzy math for awhile.Of course there are exceptions to every analysis but if you are going to make a move or buy more houses then I would be more than happy to help you. This is my value as a Realtor. This is why you would hire me. I help you navigate through this sometimes stormy situation and find a better place to be.
Rick Olson Jr.
616-293-2540
