Northeast Ohio
Real Estate
February 24. 2023
Happy Friday!
Hope you are doing well and had a great week!

Thank you for checking out this email. If you have any questions, please don't hesitate to reach out.
Debunking myths of New Construction
Within the last two weeks, I've had another client decide to move forward with the construction of a new home. After an extensive and thorough search, it became clear that there was nothing on the market that meet this clients specific needs for their family. With that being said, they made a great decision to get precisely what they wanted and build a home to their exact specifications.

I often hear five common myths about building, and I'd like to address them here:

1. Financing new homes is hard.
New construction homes can actually be easier to finance than existing properties. And while builders may offer incentives to to use a recommended lender, I have many lender partners who specialize in new construction.
2. There's no way to inspect a new home.
Most homebuyers are invited to inspect a home while it's being built after the initial framing and walls are complete. Local government will also inspect a property before occupancy is approved.
3. New homes all look the same.
There are usually plenty of opportunities for homebuyers to customize their new construction home. Existing homes are the ones sold "as is."
4. Pre-owned homes are better.
Tougher building standards, improved codes, and more energy-efficient features mean that new homes keep getting better.
5. New homes don't need an agent.
Wrong again. This may be true for experienced investors. But new homebuyers can benefit from having a real estate agent help negotiate the deal.
What's happening in Real Estate?
Existing-home sales declined again in January, extending the streak to 12 straight months. Sales were mixed among the four major U.S. regions, as Cleveland and the Midwest overall saw declines.
According to the most recent data, total existing-home sales — defined as completed transactions that include single family homes, townhomes, condominiums, and co-ops — slid 0.7% from December 2022 to a seasonally adjusted annual rate of 4 million in January. Year-over-year, sales declined by 36.9%, down from 6.34 million in January 2022. 
Total housing inventory registered at the end of January was 980,000 units, up 2.1% from December and up 15.3% from a year ago, when it stood at 850,000 units, the report states. Unsold inventory sits at a 2.9-month supply at the current sales pace, unchanged from December but up from 1.6 months in January 2022.
Inventory remains low, but buyers are beginning to have better negotiating power. Homes sitting on the market for more than 60 days can be purchased for around 10% less than the original list price on average in NEOhio.
Housing prices have increased a record 131 consecutive months. But, properties are also remaining on the market longer. In January they stayed on the market for 33 days, compared with 26 days in December and 19 days in January 2022. Still, 54% of the homes sold in January were on the market for less than a month.
Data also indicates that first-time buyers were responsible for 31% of sales in January, matching December but up from 27% last January.

What this means to buyers and sellers is that this a very interesting time to be in the market. I just sold a home for a buyer for $53,000 UNDER asking. In the same week, an offer for one of my buyers that was $10,000 over asking was not accepted. The market is changing, but it's changing at different paces depending on the type of property and the city where it's located. It's still a great time to sell, and with rates dropping slightly, still a great time to buy. Please let me know if you'd like to connect to chat about any real estates needs you have in 2023.
Listing of the Week

144 STONECREEK DR
MAYFIELD HEIGHTS, OH  44143

I'm proud to present my newest listing which just hit the market today! I'll be hosting open houses all weekend, so please come check it out!

Meticulously maintained end unit in a desirable zero maintenance community is a true treasure! An elegant first floor master suite opens up to a great room with vaulted ceilings and an abundance of natural light. The gorgeous living room and formal dining rooms connect to the tasteful and roomy kitchen. With over 3, 000 square feet of finished space, there are multiple areas for your family to gather, including around the beautiful gas fireplace. The coveted end unit boasts plenty of green space for privacy, as well as a multi-tiered deck for entertaining. This property is just minutes away from shopping, dining, hospitals, easy access to the highway, the North Chagrin Reservation Metropark, and much more!

Click here for the ---> Listing Link
Pat Barmann
216.990.5719