Selling Maine Real Estate 
Understandng Market Conditions 

Like much of the nation, prior to 2006 the greater Portland area experienced a spirited residential housing market. Many sellers sold their properties in record time at unprecedented prices. Since then the market has changed — properties are taking longer to sell, fewer are selling and prices have stabilized and in some cases retrenched. Although there are significant differences in each community and within each price segment, this general trend has held true throughout Maine.

If you are considering selling your current home, condo or vacation property, there are several factors you should review:

Is this really the best time for me to sell?

When you put your home on the market can impact the price you get. If inventories are low and there are buyers in the market for your type and price of home you can get more than if you were competing with five similar properties. The time of year may impact property values as well. For example, real estate sales in Maine normally slow in December and January. People usually buying during this time, however, do so because they have to, not because they want to, and inventories are generally at their lowest levels. So sometimes the winter months are the best time to realize the highest price for a house.

Because every situation is different, the sale of a home has to be evaluated at the time the house goes on the market, not using market conditions that are three or six months old. You need to consider all your options. Do you really need to sell? Should you sell or keep your place and rent it? What people think they need to do isn't always what they should do - or what is best for them in the long run. You need to carefully analyze your particular situation, and you need to explore all your options before you decide to sell.

What are the current market conditions in Southern Maine?

Although the market has slowed down since the record levels of 2005, our market is still strong and stable. We still see the occasional multiple offer now, but that is the exception, not the rule. Inventories have increased and average marketing times have moved upwards, but there are still buyers in the market ready to buy.

Today we are now in a more balanced market, or even in a slight declining market. Prices have fallen about 6% from last year, but it is more that sellers are not able to push prices up anymore. Buyers are much more cautious. Sellers and agents that don't understand our current market conditions and are listing their homes too high, stand a good chance that the home won't sell and then when it does after several price reductions, it will sell for less than it would have if it were priced correctly to begin with. The market has changed, but that doesn't mean that this is a bad time to sell. It means that buyers are not currently paying inflated prices for homes.

History has told us that we have a substantial increase in the market about every ten years. In fact, since the 1970s, home prices have doubled about every nine to ten years. Southern Maine offers a very desirable lifestyle and the greater Portland area has a diverse and stable business base. Our downtown area is growing and vibrant. People want to live in the Portland area. This is all good news for our housing market

Our responsibility is to provide you with accurate and up-to-date sales statistics for your given area, property type and price range. With this information we can assist you in making a proper assessment on list price and what your expectations should be about time on market. Understanding the most current market dynamics is imperative to selecting a competitive price that will attract buyers.

How do I find a good Realtor?

Good Realtors are not all that easy to find. Good agents possess a very strong sense of the market and are attuned to its nuances and subtle changes. Their approach to their client's needs are well thought out and documented. Of course, we think we're great agents, but we realize we may not be right for everyone. Our marketing programs are based on creating maximum exposure for your property though the latest in new technology. Our goal is to provide you with a Competitive Advantage in the market.

Finding a good agent could be one of the most important decisions you can make. Selling your home is an important financial decision; to get the highest possible price and to protect yourself from any possible problems requires the use of professionals. Find the best one you can and find one that is able to tell you the truth about your property. Don't choose an agent because they give you the highest price; choose them because they have a proven track record.

What do I have to do to get ready to sell?

This depends on the market and your competition, but generally, home sellers believe they have to do more than they really have to do to get their home ready for sale. The first impression of a home is when you drive up to it and when you reach the front door. Those areas should be cleaned up to look in good order. Once inside, you should let in as much light as possible and rooms should not be cluttered. Kitchens, particularly, should be free of clutter, and basements should be clean and bright (use 100 watt light bulbs) and have the windows cleaned. Typically, you don't need to paint or put in new carpet. If your carpets are very dirty, you might want to have them cleaned. Spend as little money as possible and don't get carried away. The people who buy your home will get carried away and repaint, put in new carpet, or tear out the old carpet and refinish the hardwood floors, and so on.