Given Aurora, Oregon’s lengthy history, there are some unique facts about this unique town you may not know. Here are half a dozen interesting ‘info nuggets’ about Aurora, Oregon.
Fact #1. Aurora Has A ‘Secret’ Cemetery
One of Aurora, Oregon’s best-kept secrets is among its most historic. There are numerous cemeteries in Aurora, nearby Butteville and Champoeg. Yet the one with the biggest connection to Aurora is tiny Keil Cemetery, situated off a graveled, little-used lane called Cole Road near Aurora’s west side. Founder Wilhelm Keil is buried here, as are his family members. Especially noteworthy is the burial site of Dr. Keil’s daughter Aurora, the town’s namesake. The cemetery is less known because it’s located on private property.
Fact #2. Aurora’s Record of Fine Dining
Aurora has both good modern day restaurants, plus an exceptional culinary history. Ben Holladay, President of the Oregon & California Railroad, worked out an arrangement with Aurora’s founder, Dr. Wilhelm Keil to feed train passengers at Aurora with the settlement’s renowned cuisine. The food was so good in Aurora that travelers and even train workers would bypass eating at other railroad stops, making a point to dine in Aurora.
Fact #3. Aurora, Oregon Is An Aviation Powerhouse
The Aurora State Airport is Oregon’s third busiest. Yet given its relatively small size, some might call the Aurora Airport a ‘mighty midget.’ Originally constructed during WWII as a military support airbase to Portland, the Aurora Airport is now a vital economic hub with vibrant businesses, including two helicopter heavyweights, Columbia Helicopters and Helicopter Transport Services.
Fact #4. Aurora, Oregon’s Unique Geography Aurora includes both a town, but also encompasses a far larger rural setting, too. Greater Aurora is located virtually equidistant between the major metro areas of Portland & Salem, Oregon. Aurora’s 97002 zip code also lies astraddle of both Clackamas & Marion Counties. So depending on your specific location, this means two completely different sets of schools (Canby & North Marion) and property tax systems (Marion & Clackamas Counties).
Fact #5. Aurora Colony Days Aurora’s Colony Days is a multiple day celebration of Aurora pageantry held every August. Features include a parade, marketplace, concerts, beer garden and even a 5k run/walk. It’s a family-friendly environment with something for everyone.
Fact #6. Yes, There Are Antiques, Too
Among Aurora’s commonly known, modern-day ‘claims-to-fame’ is its antique heritage. In fact, to many, antiques have long been Aurora’s main attraction. Given its small town charm and pedestrian friendly design, weekends are especially popular for many to visit downtown Aurora, Oregon.
Are you interested in buying or selling an Aurora, Oregon home? Contact our Aurora, Oregon sponsor, Certified Realty for a free consultation at 503-682-1083 or use the convenient form below.
The future is looking good for Aurora, Oregon’s potential growth and jobs.
The Oregon Department of Aviation recently recommended moving forward with the extension of the Aurora State Airport’s runway. While more work remains, the flight path for this local economic boost seems clear. Read more here!
As is usual with the sale of anything, there are a few factors for Aurora, Oregon homesellers to consider. Local homeseller costs typically include a real estate commission, plus items like title insurance, escrow and recording fees. There are other attendant costs, too, like the ‘hassle factor’ and moving expenses.
Spoiler Alert: The answer to the question of how much it costs to sell your home is, ‘it depends.’
Why is this the case? Well, for starters, Realtors frequently work using different commission rates. On top of that, you don’t always know with precision every single cost you may incur as a homeseller, such as negotiated home repairs. Yet despite all this variability, sellers can still receive an estimate of the cost to sell their home from a Realtor and while sometimes it’s within a given range, that figure is typically close to reality.
First, let’s focus on specific hard costs to actually sell your home. When considering your ‘bottom line,’ it’s important for homesellers to include in their calculations any liens (like an existing home loan, home equity line of credit, or unpaid property taxes) that need to be paid at closing.
Price vs. Cost In selling a home, it’s helpful to understand the difference between price and cost. Here’s a summary for homesellers to consider when looking at most efficiently selling their home for the least cost:
Price = The ‘sticker’ amount of what you’re buying, like hiring a Realtor to sell your home.
Cost = What you stand to lose if you don’t consider your return-on-investment. For example, if the agent you hire does a poor job, you can:
1. Lose time (say goodbye to opportunities like that home purchase you planned to make, since you expected your home to quickly sell).
2. Receive less buyer activity and fewer offers.
3. Experience frustration (lost sleep and more).
For example, if you find a dentist to work cheaply, but end up with an infection or need to pay another dentist to get the job done to your satisfaction, the case can be made that a cheaper price is hardly a bargain. That’s because the cost can be significantly higher than the price you initially agreed upon.
Commissions Are Negotiable
The Realtor fee to sell a home is usually called a ‘commission.’ Regarding the real estate commission amount, because Realtors are independent contractors, if you ask more than one real estate agent, you may receive a few different answers. This article gives one attorney’s view of a Realtor’s value. A Realtor fee is truly the free market in action. Cream ‘rises to the top,’ so better agents usually are paid as much (sometimes more) than less experienced brokers, who may be less successful and/or offer fewer services.
Give Me A Number By far the most common commission arrangement is that unless your home actually sells and closes, no real estate fee is paid. According to this 2017 Realtor.com article, the average prevailing commission for a home sale is about 6%. That said, you can expect the majority of professional agents to approximate each other. The commission amounts quoted are likely to be different, but so is the service and expertise of the agent. Like you, Realtors only have 24 hours in a day. When an agent is working with you, that’s time he or she could be spending with another client. And because commission sales are a results-based, expect to pay a competitive rate to hire a successful Realtor.
This isn’t so surprising, since if you were to pay for a doctor’s visit, a home furnace service call, or a mechanic to fix your lawn mower, there is usually a range of what is considered reasonable. Similarly, throughout our region that range can vary. This explains why it’s difficult to provide a precise and accurate dollar figure on seller costs when selling a home. It can also depend on the property itself.
Feeling The Burn
Expect ‘bargain’ commission rate quotes from less experienced or desperate agents. Also expect a low quote from less diligent agents who may simply stick a sign in the yard and either hope it sells, or intend on ‘beating the seller down in price’ in order to increase their odds of eventually being paid. If a ‘churn and burn’ attitude is not what you want, consider working with a helpful, consultant type Realtor who actually represents your best interests and doesn’t use ‘strong arm’ tactics. To summarize, if a commission seems to good to be true, it probably is. In the end, you may pay considerably more than you bargained for to become someone else’s ‘on the job’ training.
The Volume Discount
If a property is priced very low, such as a vacant lot located in a small and distant town, commissions frequently are higher to help make up for an agent’s considerable time and effort. Why? Consider that the real estate commission on a $25,000 lot can be around 1/10th of a $250,000 home, yet both require plenty of paperwork and attention to detail. Marketing the $25,000 lot may even take considerably longer and involve more sheer work. To attract a good, diligent agent may require paying a bit more in the real estate commission to adjust for the reality of that Realtor’s lost opportunities with other more lucrative properties while selling yours.
How A Lower Commission Hurts Homesellers The thought that sellers are potentially damaged by a lower commission paid to their Realtor is counter-intuitive, right? Think again. Here’s an example using that 2017 Realtor.com statistic of 6% as the ‘average’ Realtor commission.
Real estate is a business. And because Realtors are salespeople, they expect to be paid what they’re worth. This is especially true of experienced agents who are typically among the best at their profession. So let’s consider a seller, Mr. Jones who wishes to save some money. As a result, he talks with several Realtors and finds one willing to work not for 6%, but 4%. Great for Mr. Jones, right? Possibly not and here’s why, looking at just one of numerous reasons.
Doing ‘The Split’
It’s helpful to understand that the Realtor representing Mr. Jones doesn’t typically get the entire commission, regardless of the amount. In our region, it’s common for commissions to be split four ways. There are exceptions, but here’s how the commission distribution usually breaks down and each part can vary, depending in large part upon the total commission:
1. Part to the seller’s Realtor 2. Part to the seller’s real estate company
3. Part to the buyer’s Realtor
4. Part to the buyer’s real estate company.
Given such a ‘split,’ no one is getting rich and compared to the national average of 6%, suddenly a 4% commission is looking pretty skinny. Here’s why that matters.
Commission ‘splits’ or distribution can vary, but if the Realtor and company working for Mr. Jones receive around half of the commission, or around 2%, that leaves a less-than-common 2% commission to be shared between the buyer’s Realtor and the firm they represent.
Why does that matter?
Because the buyer’s Realtor can easily look at the listing sheet and see precisely what commission is being offered to the buyer’s Realtor who writes an acceptable offer for the home of Mr. Jones. If the commission structure pays a percentage or two less than what that buyer’s Realtor is accustomed to receiving for selling a home, expect a tepid response, or possibly no response at all. After all, there are frequently other homesellers who ‘pay the going rate’ whose homes are just as easy to sell.
It’s simply too easy for a buyer’s agent to observe those homes that pay what is seen as a competitive commission. So much for Mr. Jones ‘saving’ money. That’s because the end result of a ‘bargain’ commission could instead be fewer showings, a longer market time and diminished offer activity on his home. Remember, a main reason for multiple listing is to get more offers for a seller’s property. It’s generally a good idea not to work against that principle. Pay professionals the market rate and you usually won’t regret it.
There are different ways to sell your home. The most common and (usually most profitable) is to hire a full service Realtor. Another method is to go it alone, ‘by owner.’ Yet one more alternative is to work with a ‘discount broker.’ Let’s look at each of these scenarios to see which might be right for you.
Homeselling ‘For Sale By Owner’ If you do decide to try selling your property by yourself, you will soon realize there are good reasons why even real estate agents pay a commission to sell their own homes. That’s because in addition to taking on a second job, from a ‘bottom line’ standpoint, hiring a Realtor is usually by far the most profitable way to go.
The irony for ‘by owner’ homesellers is that in their attempt to save money, they usually leave the most money on the table. That’s because ‘by owner’ is often the least effective and most expensive way to sell your home. Since your property isn’t in the Realtor’s multiple listing system, you can expect to have far fewer qualified buyers aware of your property. Fewer buyers means less competition and less offer activity.
Home & Personal Security
Before offers, come showings. This brings the security of yourself and your possessions into play. Realtors routinely scrutinize buyers before agreeing to represent them. Don’t like the idea of unscreened and unaccompanied strangers in your house? Then selling ‘by owner’ may not be for you. The simple fact is that working with a Realtor provides one more layer of scrutiny and seller security.
Sellers ‘by owner’ routinely must deal with ‘tire-kickers’ who are unqualified to buy and therefore can be a significant waste of time. And if you do happen to get an offer when selling ‘by owner,’ there’s no Realtor to deal with under-handed offer tactics, contingency ‘landmines’ and other potential pitfalls, plus no documents to help protect your interests, such as the arbitration and mediation clause. As a result, lawsuits can become more of a likelihood. Didn’t complete a property disclosure or lead paint form? Don’t know a good repair contractor? Dislike ‘legalese’ in documents you’ve never seen? If you plan to sell ‘by owner,’ be prepared for some expensive surprises.
Convicted fraudsters can appear very unassuming. Some ‘sketchy’ buyers take advantage of ‘for sale by owners’ too. That’s because there is often less buyer competition, since you’re not in the Realtor multiple listing system and therefore buyers typically have both time and less buyer activity working for them. If you happen to be a real estate attorney with a ‘hot property’ that has buyers knocking on your door and you have it priced right, plus you don’t mind doing a lot of legwork, going ‘by owner’ may work for you.
Want A Second Job?
But if you have a full time job, want maximum exposure, plus an experienced professional to assist in pricing, marketing and transactional minutiae, including a Realtor simply makes sense. Sellers with a Realtor net a better return at closing compared to ‘for sale by owners.’ Some of the most parsimonious banks realize this and as a result, financial institutions routinely hire real estate agents to sell their REO (real estate owned), which are often foreclosed properties.
Homeselling by Discount Broker For homesellers, a step up from ‘for sale by owner’ is the ‘discount broker.’ Some consider it akin to a low budget buffet, the kind where the food and service may find you walking away wishing you’d gone somewhere else. You could get lucky, but don’t be surprised if you get heartburn, instead.
That’s because while you’ll now probably be placed in a Realtor multiple listing system, a potential downfall is a possibly reduced commission paid to buyer’s Realtor. Unless you’re paying the buyer’s Realtor a competitive rate, don’t expect agents to rush to your door and sell your property. On top of that, some discount broker agreements require the seller to handle showings, negotiate the transaction on their own and even handle much of the paperwork. So much for being easier!
Homeselling by Full Service Realtor This is the ‘full meal deal.’ You’re in at least one multiple listing system, have full representation, plus the abundant resources of a licensed professional at your disposal. Showings are followed up on, paperwork is handled on your behalf and you can expect priority to be made for your questions and scheduling.
The Bottom Line Because any commission charged by your Realtor is only one piece of the seller’s ‘net at closing’ puzzle, it’s a good idea to request an estimate of closing costs, including real estate commission, prior to listing your property. This provides you with a better picture of what to expect at closing. This is a free service provided by Realtors and helpful in gauging an approximation of the funds you can expect at closing.
Thinking About Selling? Consider working with full service Realtor Roy Widing at Oregon’s Certified Realty. For a free consultation of what your Oregon property could sell for in today’s market and your ‘bottom line’ of seller’s proceeds at closing, use the convenient contact form below or call 800-637-1950.
Compared to the life of famed superspy James Bond, buying or selling Aurora, Oregon real estate is dull and monotonous, right? Au contraire. You might be surprised to see how such a comparison actually sizes up.
Click here or on the play button above to hear the audio podcast of this article.
Not So Mundane, After All How could the seemingly routine tasks associated with Aurora, Oregon real estate possibly compare to the life and adventures of ultra-suave Agent 007? Initially, it seems like a ridiculous question. Of course Bond’s life is far more treacherous, risky and ‘on the edge,’ right? As we’ll soon learn, not exactly. Buyers and sellers of Aurora, Oregon real estate have considerably more in common with the famous spy than first meets the bullseye.
Deceptively Daring Many actors have played Agent 007 in film, yet each brings to the Bond character his own unique imprint on the multi-faceted Bond persona. But while each person playing 007 is unique, in every iteration of the well-known agent we recognize Bond’s uncanny ability to ‘land on his feet’ and ‘avoid being bested,’ while inching (or sometimes speeding) toward his well-defined goal. Let’s examine some of the super spy’s cinematic character traits and how they might relate to your next Aurora real estate transaction.
Turning The Tables
To an Aurora, Oregon homebuyer or homeseller, ‘landing on your feet’ might not equate to jumping from a high rise building. Instead, it might mean effectively dealing with endless surprises…like a low appraisal, or poor home inspection. It’s helpful to understand that one of Bond’s classic techniques is to shift bad odds to his advantage. Your way to ‘avoid being bested’ may not mean beating the tables at Monte Carlo like James Bond. Instead, it might be skillfully negotiating the terms of your Aurora home transaction. And to an Aurora, Oregon homebuyer or homeseller, Agent 007’s ‘inching to his goal’ could simply mean patiently completing key tasks in order to close the sale. It’s nice to know that unlike the production of a Bond film, Aurora area homebuyers and homesellers typically complete their ‘mission’ substantially under budget and in a relatively short time span, with no loss of life or limb. This makes you arguably ‘better than Bond.’
Diamonds Are Forever…And So Is Real Estate
Here are some other factors that make the so-called ‘average’ Aurora, Oregon homeseller or homebuyer significantly more daring than even Agent 007.
Risk James Bond is frequently seen as a tremendous risk taker. But while it’s true some of Bond’s actions are potentially perilous, it’s helpful to realize that his risks tend to be thoughtfully calculated. 007 is usually well-armed, whether that means carrying his Walther PPK, or mentally prepared for the task at hand. If he’s without a gun, Bond is able to adapt and improvise, like using fire extinguishers in the middle of a firefight to provide cover and escape.
Charmingly Disarming But if James Bond gets into a ‘jam’, he usually has his trusty sidearm to help take care of business. Yet using a small caliber handgun to get your way is not an option for Aurora homebuyers and homesellers. As a result, your options are limited to less obviously coercive means than Agent 007 can wield. Requiring the use of ‘wits, not weapons’ takes certain options off the table for you, since buying or selling Aurora, Oregon real estate demands non-lethal resourcefulness. By having to use friendlier and more creative methods of persuasion in your path to success, it’s fair to say that once again, the ‘average’ Aurora, Oregon homeseller and homebuyer is arguably ‘better than Bond.’
For an example of Bond’s risk reduction techniques, have you ever seen Agent 007 gamble great sums of his own money on a dice throw? The usual answer is ‘Not a chance.’ That’s because Bond virtually always plays with his government’s money, not his own. Yet you, as an Aurora homebuyer or homeseller, are laying your very own hard-earned capital on the table. So once more, in comparison you can arguably be seen considerably more daring and consequently ‘better than Bond.’
Aurora, Oregon Real Estate Tip #1 From James Bond: Maintain Your Humor A superspy like Agent 007 doesn’t constantly walk around like a tough guy. It’s actually quite the opposite. Bond knows how to work a room and deliver a well timed joke. ‘Breaking the ice’ to disarm and/or relax the other side with a joke takes some guts…especially when someone means you financial or physical harm.
Savoir-faire Savoir-faire is a French term that roughly means: knowing what to do in any situation. Those with savoir-faire respond appropriately in a wide variety of circumstances. One dictionary reference suggests savoir-faire is demonstrating “a polished sureness in social behavior.” In other words, classic James Bond behavior, whether it’s disarming a bad guy, nuclear device, or flawlessly ordering the best item off a French menu.
Savoir-faire can be adapted to Aurora, Oregon real estate, where a wide variety of ‘tough to predict’ situations occur with surprising frequency. For Aurora homesellers, this could mean witnessing the failure of a prospective buyer’s loan, possibly due to buyer disqualification like a credit score drop, or job change. For Aurora homesellers, perhaps your home needs a new roof and there simply isn’t sufficient equity to pay for it. Or there’s rampant dry rot. Or severe mold. You get the idea.
How 007’s Savoir-faire Can Work for Aurora Homebuyers and Homesellers A prepared and practical approach to problem solving is what both James Bond and successful Aurora homebuyers and homesellers bring to the table. Agent 007 is able to adapt and navigate in almost any environment, whether he finds himself in a high-stakes casino in Monaco, a posh ski lodge in the Swiss Alps, or a poor fishing village in Asia. Bond knows what to do. When buying and selling Aurora real estate, you can adapt and navigate in different environments, too, including such changing factors as housing inventory (which can indicate if you’re in a buyer’s or seller’s market), shifting credit scores and fluctuating interest rates.
Just realize that no matter how things appear, some factors and outcomes are not completely determinable. In fact, sometimes they are for a while virtually unknowable. For example, let’s say you’re selling your Aurora, Oregon home and have three offers on the table to consider. In this scenario, let’s suppose all buyers appear well-qualified and each offer is very similar to the others. Which one do you decide to accept? Which will actually close? Which buyer will be reasonable to work with? Which lender will have even-handed underwriting and not require needless delay or costs? Working with your Realtor, you can reduce risk, perhaps by focusing on how much each buyer is willing to pay, the size of their down payment (where a larger down payment makes it easier for them to get a loan) and even their earnest money deposit and anticipated closing date. Such an analysis can help boil things down to those factors that make the most difference.
Aurora, Oregon Real Estate Tip #2 From James Bond: Always Have a Backup Plan
The key is to limit your downside risk by making the best decision possible under the circumstances and remain alert. For example, if after accepting one offer on your Aurora home, the buyers begin loudly complaining about seemingly minor issues, have your Realtor stay in touch with other prospective Realtors working with buyers who’ve expressed interest. That way, you keep the door open for a ‘Plan B’ and later, possibly a ‘Plan C’ if your initial buyers bail on your home sale.
Debonair Agent 007 is often described as debonair. How can that possibly apply to your next Aurora area real estate transaction? There are varied definitions to the term debonair, but related terms include courtesy,graciousnessandhavingasophisticatedcharm. These traits can be powerful and disarming when dealing with the other side on a home sale. An example of courtesy might mean allowing buyers to schedule a tour before closing for measuring room dimensions or determining paint colors. Being gracious could mean as a buyer you allow the home sellers an extra day to move out, particularly if their moving van broke down. Sophisticated charm might mean leaving a box of chocolates or champagne after you sell a home for when your homebuyers finally move in.
Small details perhaps, but such activities are often long remembered. If after moving out, you remember leaving priceless heirlooms in the attic of your former home, imagine how much nicer it will be to request the return of your precious items from the current owners with whom you’ve been civil and friendly. They are also more likely to even contact you if they find something you mistakenly left behind.
Aurora, Oregon Real Estate Tip #3 From James Bond: Secrecy There’s good reason undercover agents are also known as secret agents. ‘Don’t let them see you sweat’ is an adage Agent 007 works with aplomb. So you don’t want to lose out on your home purchase and are willing to substantially increase your offer, yet don’t want to overpay? Keep those cards discreetly close to your vest and understand that by doing so, you’re modeling James Bond, who can definitely keep a secret. He’s a spy, after all.
Humility Though James Bond can swagger with the best of those who hold the ’00’ license to kill designation, he’s usually discrete and avoids attention or bragging about his prowess. Such meekness is supremely beneficial in situations to disarm adversaries, while catching them off guard. Agent 007 doesn’t often talk about how many people he’s put in the hospital, or his annual income. Simply by observing him, it’s clear Bond has gravitas.
Courage Having courage when buying or selling Aurora property doesn’t mean you don’t feel fear. It does involve pushing that fear aside to rise above whatever obstacle you are facing. Agent 007 pushes himself out of his comfort zone to face serious fears on a daily basis. This gets him used to feeling comfortable with the uncomfortable. As an Aurora, Oregon homeseller or homebuyer, once you desensitize yourself to fear, it will become easier to perform courageous acts, like counteroffering that offer you really don’t want to risk losing, or agreeing to substantial repairs in order to pass a home re-inspection and close the deal.
Be Patient In the middle of a real estate transaction, it’s easy to be overwhelmed. To be successful, it helps to have a well defined plan executed with patience. You also should allow sufficient time for your plan to work. For example, if you’re an Aurora homeseller who doesn’t receive an offer in the first few days on the market, understand that if you’ve already examined the latest market data and the average market time is measured in months and not days or even weeks, realize your anxiety may be premature. Keep cool.
Consult An Expert When buying or selling Aurora, Oregon real estate, it helps to have an experienced Realtor as your own personal ‘Q’ to keep you out of difficult situations. An experienced real estate broker is someone who has been ‘over the road,’ thereby saving you needless expense, time and worry.
So rather than having Bond’s sidekick ‘Q’ demonstrating gadgetry and armory (like a blowtorch on Bond’s Aston-Martin convertible), Oregonians can rely on the calm, cool and collected experience of a proven local Realtor to more successfully navigate the pitfalls sometimes found in Aurora real estate.
Do You Have Aurora, Oregon Real Estate Questions? Thinking about selling your Aurora property, or have real estate questions? Contact your Aurora real estate specialist, Roy Widing with Certified Realty today for a free consultation. Roy has been selling Aurora properties since 1988 and he can sell yours, too. Simply use the convenient form below, or call him at (800) 637-1950.
TMREI: Too Much Real Estate Information Sometimes absorbing the sea of Aurora, Oregon real estate information is more like drinking from a fire hydrant. Yet, out of all the seemingly helpful real estate data bandied about, there is one especially helpful number, which when understood,can provide near-magical clarity to both Aurora, Oregon homebuyers and homesellers.
What Is It?
What is this ‘magic’ number and what does it represent? Simply put, it’s the current figure for housing inventory, typically expressed in months of projected home supply.
Housing inventory is also sometimes known as home inventory or housing backlog. Why is this number so important? Once you understand the single figure that defines our current supply of local available Aurora, Oregon homes for sale, you have an instant ‘snapshot’ on whether you’re in a buyer’s market, seller’s market, or more of a balanced real estate market. Armed with that information, you’re far more ready to do battle in the real estate trenches and more likely to avoid some usual minefields.
Normal Home Supply
Among real estate experts, a ‘normal’ range for home supply in parts of Oregon-including Aurora-is frequently cited as somewhere between three to six months. For example, if the home supply figure is three, then hypothetically our market would be ‘out of homes’ in three months, provided no new homes were placed for sale. In other words, if our regional home inventory figure is within three to six months, we’re typically experiencing a normal market, meaning one not far from a balance of supply and demand, also called equilibrium. In a way, it’s kind of like an absorption rate for how fast supply is used up.
Your Mileage May Vary It’s helpful to understand that home inventory figures are more of an average for a region. In Oregon, major real estate regions include Portland, Bend, Eugene, Salem and the Oregon Coast. Aurora is equidistant between Portland and Salem, so the market might be considered a ‘hybrid’ of sorts. Schools can also be a driver for many homebuyers and given the Clackamas County/Marion County ‘divide,’ it makes sense to consider this factor when analyzing Aurora’s unique Oregon real estate market niche.
So if your property is located in or near Aurora within Clackamas County, the Portland area inventory figure is frequently cited as a bellwether for housing backlog. If your home is located in or near Aurora within Marion County, the Salem inventory figure provides an alternative approximation of local home supply. It’s also likely that your specific area could be somewhat different altogether, based on a variety of hyper-local factors affecting both demand and supply. That said, home inventory is an undeniable and convenient ‘thumbnail’ sketch to help assess what kind of market you’re in.
What’s The Practical Impact of Housing Inventory? Consider real estate and inventory like a pipeline. If more flows through it, the product is plentiful and therefore the cheaper it is to buy. So with a lower, dwindling home supply and the spigot turned down, the reverse is true. That’s when the local real estate environment favors sellers, because there are more buyers and it’s considered a ‘seller’s market.’ In that case, expect a short market time and an environment where homesellers receive multiple offers, often at or above listing price. If the supply of homes is higher, it’s considered a ‘buyer’s market.’ This means you can expect a longer market time, with homesellers seeing few, if any offers…and frequently for less than the asking price.
It’s routinely a good idea for buyers to get a ‘heads up’ before making an offer to determine how ‘hot’ or ‘cold’ the market is. Otherwise, if you ‘lowball’ a just-listed home in a seller’s market, you may be lucky to even get a counteroffer instead of an outright rejection by sellers experiencing lots of calls and showings on their property. Coming in with an offer that’s too low sometimes causes offended sellers to refuse to seriously consider a possible follow up offer.
What’s the Big Deal About Housing Inventory? One reason housing inventory is so important is because it helps buyers and sellers to better manage expectations. Most buyers are interested in how long it may take to find the ‘right’ house. Inventory affects this. Alternatively, most sellers are interested in how long it may take to find a qualified buyer. Inventory affects this, too.
That’s because a high home inventory tends to slow down the market time and low inventory frequently provides a ‘jump start’ to activity. One way sellers can help to avoid an excessively long market time is to review comparable local home sales information provided by their Realtor to ensure proper, market pricing.
Another reason housing inventory is crucial is because it can significantly impact so many other important factors. In other words, inventory is a ‘driver’ for market time, selling price, appraisal results, lendability and more.
Okay, So Inventory Is Important. What Does It Look Like?
The above image provides a good example of fluctuating home inventory. As our Aurora, Oregon real estate market bounced back from the severe market downturn of the Great Recession, home inventory reduced from more than twenty months of housing supply to less than three.
Contact the Experts Thinking about selling your Aurora, Oregon property? Know the market before diving in! Contact Certified Realty with your questions and for a free consultation on what your property could sell for today using the contact form below, or call (800) 637-1950.
While there is a case to be made for homeselling in each of the four seasons, Winter is one of the most powerful times that Aurora, Oregon sellers can place their home on the market and for ten very good reasons.
Price & Market Time. Statistics show homes sell faster and for more money in Winter. One way to understand this phenomenon is by considering a motorist with a flat tire in bad weather. That motorist has an urgent need and is less likely to haggle, or even seriously consider less expensive options, in order to meet an immediate need. Our local Winter homebuyers around Aurora, Oregon can experience the same kind of urgency and this helps to explain the premium that homes can command during the real estate ‘off season.’ Another way to look at the Winter market dynamic is if you want to buy snowshoes in July (at least around Aurora), expect to pay more, since availability is typically lower.
High Quality Buyers. Because home touring is generally less convenient, there tend to be fewer ‘Looky-Loos’ during the Winter. This means Aurora, Oregon homesellers have fewer buyers tracking dirt into their house, in Winter, with less energy spent preparing for real estate ‘Tire-Kickers.’
Less Seller Competition. Let’s face facts: It’s convenient to sell in the Spring and Summer, especially locally around Aurora. The weather is usually better, flowers are blooming and with plenty of homebuyers looking, it’s a ‘target-rich environment.’ Yet while it’s easier and more convenient to sell in sunny weather, this convenience often comes at the cost of increased competition from other sellers. Conversely, Aurora’s Winter homesellers can expect fewer like-minded sellers competing for buyers. Just like the successful contrarian investor who sells when everyone else is not, avoiding a ‘herd mentality’ can pay off with a higher price and faster sale.
Higher Buyer Motivation. Is your idea of a fun time getting into a car on cold drizzly nights to look at houses? Probably not…unless you just got a job transfer. Or a nice raise. Or you received an inheritance and want to get out of your tiny apartment. It’s helpful for Aurora’s prospective Winter homesellers to know that corporate relocations are common in the first quarter. Plus family changes can occur anytime and estates are settled year around.
The Hunt for Red January: Get a ‘Jump’ on the New Year’ s Competition. The best time to get your Aurora property on the market could be when everyone else isn’t. Placing your home for sale in Winter gives you access to hyper-motivated buyers who have made homebuying a New Year’s resolution. That way, when these eager homebuyers begin their ‘hunt,’ your house will be a prime ‘target’ as visible as Rudolph’s nose. So if your home is market-ready and available to tour leading up to the New Year, expect to tap into this highly focused ‘pent up demand.’
Your Aurora Home Looks Inviting During the Holidays. Who doesn’t enjoy the happy glow of a Christmas tree or other holiday decorations, along with the pleasant smell of fresh-baked pumpkin pie, cinnamon buns, or a vanilla candle? Homes often look their most inviting during the holidays. And given the pleasant, even emotional attachment so many have during that time of year, expect some homebuyers to fully embrace the holiday theme of ‘Peace on earth, good will toward men.’ As a result, such positive feelings can spill over into the home selling process and make it easier.
Your Lawn & Landscaping is Virtually a Non-Issue. Forget to mow your lawn? No worries. Some Aurora buyers won’t care if they tour your property and it’s covered in snow, raining hard, or after sundown. Buyer landscaping expectations can be quite reasonable during Winter months around Aurora.
When Your Home Sells, You May Buy With Less Competition. Few Aurora homesellers stop to consider that given good timing with their sale, their own future home purchase may also benefit from similar, unique seasonality. So depending on a variety of factors in the market where and when you buy, Aurora homesellers can sometimes take advantage of lower Winter activity levels to successfully negotiate with a motivated seller. This is because some sellers place their home on the market during Winter not for convenience, or desire to maximize their selling price, but from genuine need. In other words, they are highly motivated. Such homesellers could therefore provide a good buying opportunity.
Fewer people relocate in Winter, so this means you’re likely to have an easier time booking a mover. Competition for moving companies can be challenging during the real estate ‘high season.’ As a result, expect less difficulty scheduling your moving company when you sell in Winter.
You Can Dictate Which Days & Times Are Available for Showings. As an Aurora, Oregon homeseller, you typically have control over tour times and dates for your home. This includes during Winter months. Given holiday-related gatherings and events, buyers are likely to understand their need to schedule their tour of your home. Your Realtor can help by specifying days and times your home is available for showings. For example, you could have your house available for tours on Saturdays from 2 to 5pm, weekday mornings after 9:00am, or between 5 and 8pm weekday evenings.
Thinking about selling your Aurora, Oregon house this Winter? Call our AuroraOregon.com sponsor, Certified Realty at 800-637-1950 for a FREE consultation!