The 2020 Mid-Year Update
The first half of 2020 has been one to remember, and we continue to see the economic impacts on our local real estate market. The general take away may be different than what you would expect, though.
Now more than ever, inventory is limited. Many sellers who would have put their properties up for sale during the first half of the year have held off due to uncertainty with the market, job changes, plans put on hold, or simply not wanting to open their homes to strangers for showings. However, Buyer demand remains strong. The shift towards spending more time at home for both work and recreation is making many people re-evaluate their needs in their living situation. Perhaps they need an area for a home office, a bigger yard for the kids to play, etc. With a limited number of options to choose from, this has increased competition in the market.
If you are in the market to sell your home, it is an excellent time to get your property on the market, and our team can help you do so in a way that is sensitive towards your safety concerns. Your virtual presence and marketing strategy is vital due to an ever-evolving shift in the way buyers are finding & purchasing homes. That’s why our marketing package works to ensure the best possible exposure online, including a complimentary staging consultation, access to our in house repairs/renovation company, and both professional photography AND videography. To ensure safety for you and visitors during this sensitive time, we will also provide masks, gloves, shoe covers, sanitizer & disinfecting wipes for showings and limit the number of people who can access the property at once.
If you are in the market to buy a home, let’s partner up to put you in the most competitive position possible. Our team works to set you up for success with your search through tailored listing notifications and quick access to properties. We also have years of experience working with buyers and a track record of getting creative in offer terms to set our clients apart from the competition.
The overall activity and negative numbers in the downtown condo market tell a different story than that of Madison and Dane County. During Q1 and Q2, there was a 13% decrease in new downtown condo listings verse 2019. Dollar and unit sales were down 26% and 7%, respectively, versus 2019, while average sales prices were down 16%. Average sold $/SqFt was also down nearly 7%. The downtown condo market appears to be more negatively impacted by the events over the first half of the year, particularly in the higher price segments. The negative changes versus 2019 may be due to several factors, including:
- A preference for a single-family home versus condo living due to fear over shared living spaces
- Public unrest and protests primarily centered downtown
- The inability to see, experience, and sell the downtown lifestyle with so many businesses and events closed.
As a downtown condo Seller, it is important to remain patient and allow sufficient time for your property sale. Partner with a real estate professional that can help you navigate the process, time the listing of your property appropriately, and price/market your condo correctly. Although we appear to be in a rough patch for the downtown condo market, sellers are still in a good position where inventory levels are low, unlike what we saw in the 2009 recession. As such, we anticipate seeing a much faster rebound.