Page 16 - April 2022 Issue.indd

more than list price. If a property is put
on the market at a price that is higher
than comparable homes on the market
it may generate an off er, but it may be
for less than asking price. Th e deciding
Because you deserve qqualified, llocal representation factor will be how many other homes
like it are currently on the market.
when managing life’s important issues.
We are at the beginning of a period of

sustained inflation over 6%, and maybe
? ESTATE PLANNING several months of inflation over 7%.
? RESIDENTIAL & COMMERCIAL 300 Market Street Inflation at historic high levels these last

Suite 104
REAL ESTATE AND SETTLEMENTS Denton, Maryland several months has pushed interest rates
? LLC FORMATION & BUSINESS LAW 21629 back over 4% and slowly approaching

? MUNICIPAL & ENVIRONMENTAL LAW 5%. The last time we saw interest rates
? GENERAL LEGAL COUNSEL 410.310.1774 at or above 5% was 2009 which at the
time was the lowest they had ever been.
Our attorney, Patrick Thomas, and our Settlement shayman@mlg-lawyers.com It took 22 years, until last year 2021 for
Agent, Sandy Hayman, are available to travel to your www.mlg-lawyers.com rates to hit the next historic low of half
preferred location. that, or 2.5%.

Whether or not higher rates are the
with 138 (48%) selling at list price or pivot point where prices begin to
Samaritan House higher. level off is yet to be seen. But it is my
THRIFT SHOP Th e first indicator that real estate prices opinion that prices are starting to level

Wed.-Fri. 10 AM - 2 PM are leveling out or reaching a peak is off at certain price points. Entry level

Sat. 9 AM - noon when listing prices are being reduced homes popular with first time buyers
aft er going on the market and homes will continue to be popular if rentals
Fifth Street in Denton behind the Post Office
are selling at less than 100% of list price. are in short supply and monthly rents
Lowering a list or asking price indicates are comparable to mortgage payments.
that, based on feedback from those who Higher interest rates will dampen this
have looked at the property or a lack demand but until we see a signifi cant
of people looking at the property, the increase in inventory, I do not believe
price being asked may be too high. Th e prices will be negatively impacted.
remedy is to lower the asking price until Inflation and higher prices for just

SERVING THE COMMUNITY an offer is generated. about everything is a new experience
THROUGH YOUR SUPPORT for many who don’t remember the late

Sponsored by United Concerned Christians The above data shows that about half

the houses sold in the last six months 70’s and early 80’s. The challenge will be
this to happen and for real estate prices were at or above list or asking price and managing through by monitoring and
to decline we first need to see prices about half were below list price. Th is adjusting expenses, managing credit
reach a plateau, which will be evidenced tells me that the market has a little bit of appropriately and saving where you can.
by price reductions. breathing room before prices peak. At In the meantime, pray for peace in

the very least I would figure the number
Most sellers want to get the highest Ukraine and especially pray for those
of houses selling at list price or greater whose lives are being changed forever
price they can expect to receive for their
would drop to 20%-25% before I would because of the egos of power-hungry
product while competing with similar
even consider that prices were peaking. despots.
products on the market, which is basic Before you can conclude that prices are
economic pricing theory. According going down you need to fi rst determine Mr. Rowe is Vice President/Lending for
to Mid Shore MLS data in the last Bay Capital Mortgage Corp. with offi ces
that prices have stopped going up.
six months 222 houses were sold in in Easton and Annapolis. He has lived in
Caroline County and of those, 122 As I have said many times before, real Caroline for his entire life and supports
(55%) sold at list price or higher. In estate prices are a direct refl ection of the county by volunteering in a variety of
Talbot County, the numbers were 344 supply and demand, which is basic ways. He currently lives near Greensboro
houses sold with 158 (46%) selling at or economics. If a property is put on the with his wife Jeanne and daughter Kelsey.
higher than list price and for Dorchester market at an aggressive price it may
County the numbers were 288 houses generate multiple offers and sell for

16