If there is one question that I am asked more than any others…this has to be it! It seems that when I am in line at the grocery store and I am wearing my name badge, someone will ask me that question or one close to it.The quick answer: It all depends on the area and neighborhood you live in and when you purchased your home. A couple of other factors to consider are: down payment and improvements made to the home since purchased.Let me give you an example of two different properties in my neighborhood in Grovetown GA:The first one is my own home in Euchee Creek Subdivision in Grovetown that my husband and I purchased at the peak of home values in February 2007. We thought we had found the perfect deal and something that was very rare at the time – a VA foreclosure in Columbia County in good condition! By good condition I mean, it had all of its fixtures and didn’t need any major repairs. Here are the stats:
- Paid $148,417 with $4,190 of closing costs covered by the VA
- Home is 1,926 square feet with 4 bedrooms and 2.5 baths.
- Built in 2004
- Spent $8,500 in updates and improvements – engineered hardwood floors, new neutral carpet, new stainless-steel appliances, architectural shingles for roof, sod for backyard and landscaping for yard. Oh and paint too!
The second property was the highest priced resale home in Euchee Creek during 2007.
- Sold for $186,000 with $626 paid towards closings costs by the seller.
- Home includes an in-ground pool and has 2,138 square feet with 4 bedrooms and 2 baths. The backyard is fenced in by a privacy fence.
- Built in 2004
The third home was the highest priced new home in Euchee Creek Subdivision during 2007.
- Sold for $185,300 with $6,120.58 paid towards closing costs by the builder.
- Home includes first floor master’s suite, 2,127 square feet with 4 bedrooms and 2.5 baths. Lot backs up to green space, which all 3 of these properties do.
- Built in 2007.
Now, let’s fast forward to 2010 and see just how these homes will do in the current market! The pasts months sales are as follows for the Euchee Creek Neighborhood in June 2010:
- Lowest Priced Sold – $139,000 with $4,170 closing costs paid by the seller. House has 4 bedrooms, 2 baths, 2,134 square feet and was built in 2003. (About a 7% decrease from 2007)
- Highest Priced Sold – $168,900 with $4,644 closing costs paid by the seller. House has 4 bedrooms, 2 baths, 2,153 square feet and was built in 2010. (About a 9% decrease from 2007)
As you can see, the prices have On the surface it looks like the housing market has depreciated in Euchee Creek. All of these homes had a home appraisal that was requested by the bank and appraised for at least the sale amount in order to obtain financing by the bank. The houses that were purchased for the highest price at the peak of the market in 2006 and 2007 will have the most difficulty in obtaining the price that was paid plus the amounts to cover the costs of selling the home especially if the home was 100% financed. So, has the market stabilized? I would say that it is the best time to buy a home, but is a tough time to sell a home.Susan MacEwen, Realtor Keller Williams Realty Augusta Partners Direct: 706-294-6795 Office: 706-868-3772 x207 email: email@example.com https://www.augustagahomehunter.com/ or www.BetterHomesofAugusta.com