GREEN BAY, WI (WTAQ-WLUK) — If you’re looking to buy a house anytime soon, realtors say don’t be surprised if you’re expected to pay thousands of dollars more than the asking price.
Driving around the neighborhood, you’ll spot fewer for sale signs.
Dan Ludwig is a Green Bay-area realtor and owner of Shorewest Realtors. The group has been tracking how many houses they have sold over asking price.
“Seventy-four percent of homes that sold in the $150,000-200,000 price range, 74% of them sold above asking price,” said Ludwig.
FOX 11 asked what he thinks the situation will look like in the next few years for current home buyers paying well over asking price.
“No crystal ball here. I believe they’re going to be absolutely fine. I really do,” said Ludwig.
Ludwig says that’s because people aren’t making the same mistakes as they did in 2008. Buyers are now putting more equity into their homes up front.
“If they have to sell three or five years down the road sure they might not get back what they paid for, but at least they’re going to have enough equity in the house to be able to sell it,” said Ludwig.
While houses are selling for more compared to last year, they’re also on the market for fewer days. Here in Brown County, on average a house is on the market for 65 days according to Wisconsin Realtors Association monthly report.
“The only thing about Northeast Wisconsin that you can take from the numbers is that the severity of the inventory shortage is taking little bit of a bigger bite in the market up in that part of the state than other places,” said Joe Murray with WRA.
Murray says the housing market situation comes down to supply and demand.
“Where we do have an issue with the current housing market is the over lack of inventory. We have approximately 27% less inventory statewide than we did 1 year ago today.”
Compared to June last year, the price of homes in Northeast Wisconsin has increased almost 20%, while inventory has decreased by nearly 27%.
Realtors have also sold nearly 3,000 more homes this June compared to last year. That’s an increase of over 8%.
