Slow Market No 'Mystery' For Market Watchers

The Grand Rapids Press reports on Michigans housing market. "Donna Carnes and her husband love the Jenison home they lived in for 12 years. They wish someone else would love it, too. The updated three-bedroom ranch has been for sale by owner or through a real estate agent since April. 'It's a lovely home and a wonderful family neighborhood where people take care of each other,' said Carnes, who moved to Arizona last fall and has made two house payments since then. 'It's quite a mystery why it hasn't sold,' she said." "Not so much for market watchers. The Carneses are trying to sell their home at a time when sales have slowed after a record year and listings are through the roof. Too many 'For Sale' signs and not enough people to pull them out has made for a good news-bad news scenario." "'I can tell you there's some great, great buys out there, because there are sellers who need to sell,' said Tom Kuiper, associate broker in Walker. 'If you're a serious buyer and want to do some picking, you can find a pretty good deal,' he said." "Grand Rapids-area sales in December were down more than 24 percent from the same month in 2004. At the same time, new listings were up almost 14 percent from a year ago. That means there's a 12-month supply of homes on the market, or 12 homes for every buyer. 'We've never had quite that supply, which makes more competition,' said Rick Voorhies, broker-owner in Jenison." "Homeowners realize they have to sweeten the deal. Tom and Jessica Borisch gave up about $20,000 and a home theater system to sell their house. So, after installing new appliances, the couple listed their Grand Rapids home for $202,000, slightly more than the $199,900 Tom paid for it. Then, they found their dream house in Ada. 'It was going to go away pretty quick, so we went with it and financed both homes,' Tom said. 'You can only afford to pay for that for so long.'" "After about six months, the couple accepted an offer of $184,000, only after agreeing to pick up $2,000 of the buyer's closing costs and to hand over a home-theater system they planned to take with them. 'It was going to take a lot to uninstall it, but we were going to do it,' Tom said. 'I couldn't let the offer go on account of something like that.'" "Dave and Jennifer Sears lowered the price twice, are willing to pay closing costs and have come to terms with the fact they won't recoup about $10,000 in upgrades. They also are open to creative requests from potential buyers. But the most common buyer request is a low price. 'That's what we've seen the most of,' Sears said. 'People are trying to low ball it and just see how desperate you are.'"