Declining Market Verbiage.

[Timothy Hogan]

Declining Market Comment

PROPERTY VALUES ARE IN DECLINE AND THE SUPPLY & DEMAND IS OUT OF BALANCE, AS ILLISTRUCATED BY THE CURRENT MLS DATA IN THIS MARKET. (MLS LISITING AND DAYS ON MAKRET). MARKETING TIME IS TYPICALLY 3- MONTHS BASED ON CURRENT MARKET DATA AND PROVIDING THE PROEPRTY IS REASONABLE LISTED AT A COMPERTITIVE PRIVE. TYPICAL FINANCING IS CONVENTIONAL CARRYING 3+/- POINTS. THE SUBJECT PEROPERTY’S FINANCINING IS CONSISTENT WITH THE MARKET.

I edit and add as needed.

 

[Richard Carlsen]

Report the facts and not the reasons.

AMEN BROTHER!

You don't have to be verbose in this explanation. Just state the facts as they apply to the subject in the neighborhood and the market. As an example, here are my comments from the Market Conditions section on a HUD mfg house I did a couple of weeks ago:

No specific neighborhood data available. In the past 12 months, in the Central Lake and Bellaire mkt area, there has been 1 HUD mfg sale (225 DOM) priced under $150,000. Currently there are 7 active listings averaging 202 DOM. In addition, 3 listings have expired during that period averaging 223 DOM. Conclusions: Market is in a major over-supply condition due to overall poor statewide economy, resulting in declining values. No major economic changes known or anticipated. Source: TAAR MLS

I try to keep it as short as possible with all of the info in the space provided on the report. Sometimes it takes a lot of re-writing but I think that helps the reader understand the market.

 

[Mike Garrett RAA]

"Here is what my market research indicates"....

 

[Joy Price]

Good answers! I like all of them.

I have noticed that as the market changes some of the people I respect most don't use canned responses.

I'm beginning to like my big fat files of market research on each report I do. I like the time I now have to make calls and find out everything I can about the market. I like talking to people in the industry with experience. And for what it's worth, although it is a down market, markets cycle and it will eventually go back up again. Appraising will always be necessary.