The Door County real estate market in 2021 was fast, furious and sometimes downright aggressive. 2022 may bring more of the same and you wonder how you can compete to get the Door County home, condo, or piece of land you want. Read some sage advice here and begin your search for all the Door County listings at www.HomeInDoorCounty.com
What do data and statistics have to do with it?
Charts and data can be informational, they tell a story and don’t lie. Still, you need to understand the story behind all that data. You need a Realtor who is experienced in the complexities of this Door County real estate market–whose seen all the ups and the downs–I can help you understand the data and how it might help you in your Door County real estate purchase.
In a day or two I’ll have all the 2021 statistics and update you here. In the meantime, let’s talk about the market and how you can be successful in getting your Door County dream.
Inventory shortages and service delays
There was a time we heard about, in other parts of the world, stores with low inventory and empty shelves, increased construction costs and delays that can last months, delayed medical supplies and services, and a lack of adequate housing. We are still hearing it.
Well over the past year we’ve experienced those things right here in Door County.
Some might say the market will slow, the fast and furious market cannot last forever, it will correct itself. We don’t know, we don’t have a crystal ball. When I can analyze the stats there may some telling signs–and I’ll have those in a day or two, in the meantime…
Buyers but the shelves are empty
What can a buyer do
The hard truths
–Days on market may seem long, and in most cases that’s because our MLS does not feed out the pending and under contract statuses. Chances are if you see a good property appearing available on line, it is already under contract. Call me anytime to check status.
–Cash, as they say, is king. Basic loan prequalifications will not fly. A loan preapproval letter may, but make sure you have all of your paperwork in with the lender.
You may have only hours to make a decision, not days. Be prepared for that quick trip to Door County to view the property.
There is no such thing as comps in this market. If you want to compare one property to another that sold to justify your purchase price, good luck. Comparable property sales cannot keep up. Be prepared to know at what price you’ll be willing to let the property go.
If things go as they did in 2021, be willing to pay list or more to compete. Demand is greater than supply, so someone will pay at least list price in many cases.
You can’t see days on market in the sites you search on, but I can on my system. The days between the time a property is listed and it falls under contract are telling. A majority of listings do not make it more than 7 days before going under contract with contingencies or pending (contingency free). If a property has more than say 14-20 days on the market it’s safe to say it comes with lots of deferred maintenance or may be over-priced.
Cash is king. If you are getting financing, have all your paperwork submitted, and see if your will give a conditional approval.
Home inspections. Expect sellers to reject requests for repairs that are not true defects. They will walk away and turn to another offer (and there may likely be a backup offer) if they feel you are nickel & diming them.
There are no tried and true solutions to the lack of inventory and what is driving the prices. Hind sight is 2020, and 2022 may most likely be a repeat of 2021.
Your do have opportunities in the Door County real estate market. There will be new listings. You have to be prepared. Most importantly, work with an agent that understands the complexities of navigating this market. I understand those complexities, I’ve seen the ups and the downs, and almost everything that can make an offer successful and result in a successful purchase.