Energy Returns to Deerfield Real Estate Market

Though Deerfield residential real estate values are approximately 75 percent of what they were six to seven years ago, buyers are beginning to fight over the available homes, according to local industry leaders.

In some cases, houses are selling for more than the asking price as multiple would be buyers submit offers at the same time, according to Keonig & Strey Senior Vice President and Broker Manager Michael Mazzei and Coldwell Banker Managing Broker Carol Strauss.

Get local news in a daily email from Patch. It's like getting a free newspaper. Learn more. 

“Homes are selling above list price about fifty percent of the time,” , said of residential property valued under $750,000. “If priced right (there are) always multiple offers,” she added referring to the current pace of the market.

Approximately 80 to 85 percent of the homes in Deerfield have a value less than $750,000, according to Strauss.

Strauss indicated buyers may make offers on a number of houses before they realize they might have to pay more than the list price because they are in competition with other buyers also acting fast.

Prices have increased between five and ten percent in the last year, according to Strauss. A number of homes, however, have declined 25 percent or more since the market peaked in 2006 and 2007, according to Mazzei.

A major reason for competition among buyers is the lack of property to meet increasing demand. The root of that problem lies with the fact a number of homeowners can handle their monthly mortgage payments but have negative equity in the property because of the market crash in 2007 and 2008, according to Mazzei.

“Inventory is just not there. A lot homes are still under water,” Mazzei said referring to people who owe more on their mortgage than their house is worth. “They can afford their mortgage (payment). They have no reason to move.”

For more news and updates, "like" us on Facebook or follow us on Twitter.