Selling in a Bedroom Community?

So you've moved to a bedroom community outside of Red Deer and now thinking of selling is it harder to sell in a small town versus the big city?

In Red Deer sales for the month of June are down significantly compared to June of 2009.  38% below last years numbers.  What about Blackfalds, Penhold, and Springbrook?  The attraction of living in a smaller "bedroom community" is the quiet charm and a lot to do with value.  Typically small town life comes with a smaller house price.  That smaller price should benefit in tough times as well as good right?

Well, the realty is when the market shifts downward in sales volume and price it is quite often magnified in a small town.  With so much to choose from and declining prices or increased value in the big city, the value perception must be even greater ina small town like Penhold.

Town:

2009 June Sales

(MLS®)

2010 June Sales

(MLS®)

Active Listings

June 30th, 2010

New Listings 2009/2010

January 1 - June 30

New Listings 2010

January 1 - June 303
Penhold
4
1
44
59
80
Blackfalds
11
4
101

164


210
Springbrook
3
5
16
33 27






Not only do these sellers need to be competitive versus similar homes in their area, they also have to provide a great value alternative to Red Deer.  Whether or not that value is $10,000, $20,000 or $50,000 depends on buyers in the market.  In some towns that difference in a similar home compared to Red Deer may need to be greater depending on distance traveled, property taxes, size of yard. services available, and aesthetics of the community.

The challenge some of these communities face was the rise in 2006/2007 brought that price disparity very narrow and today there is a stronger need for that to widen.  If you are planning on selling in of of the areas smalelr communities be sure to talk to your REALTOR® about the "local real estate market" and the importance of pricing today.

 

Your Friend in Real Estate

Patrick Galesloot

Twitter @pgalesloot

 

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