Since spring, Ron MacDonald has been trying to sell a home he owns at 1424 Anthony Michael Drive. His real estate agent, Crystal Swearingen, has hosted open houses and placed information about the property online. Since his son graduated from the University of Kansas, MacDonald has been trying to sell the house.
"I just still have not found someone who wants to buy a townhome," said MacDonald, whose property has been on the market since April.
Lawrence real estate agent Doug Stephens said the housing market in Lawrence started to slow three years ago, prior to the national decline in home sales. All across the U.S. home sales have been down lately. Home sales in Lawrence have decreased substantially with every year for multiple reasons.
"It's a perception issue. People are concerned about the economy and the presidential election," Stephens said.
Real estate appraiser Greg Moore said the values of properties have not gone down, but they are flat. Houses have not appreciated in value when they should have. Another problem Moore has found is that home loans are less accessible than they have been for years.
"Availability of money is the hardest part. It used to be that you could get a home loan for 103 percent of the price. Now 95 percent is the best you can get with a high credit loan," Moore said. Other people in the real estate business see other issues taking precedence.
According to Joy Slavens of Miller and Midyett Realtors, home sales in Lawrence are down 30 percent. People hold off on buying homes before presidential elections. Slavens believes buyers are concerned that if a democrat wins, property capital gains taxes will go up.
Moore saw fewer than 100 homes sold last year, and said so far this year only about 50 have been sold. About 144 single-family homes were built on the west side of Lawrence. Moore said houses in the price range of 300,000 to 400,000 dollars were over-built and too much for the market to absorb. While fewer properties are built, it is becoming increasingly expensive to do so. Moore read a memo posted to the Lawrence city Website, lawrenceks.org, by Roger Zalneraitis, which says, "There were 207 building permits issued in August 2008 compared to 313 a year ago. Despite the lower number of permits issued, permit valuation and fees collected were higher in August 2008 than in 2007."
Rob Lang of Hedges Real Estate said the newly built houses were developed and built in western Lawrence at a higher price range than older homes being resold in Lawrence. Foreclosures have made old houses much cheaper than newly built ones.
"There are solutions out there," Lang said. Lang focuses on solutions to the housing market problems in Lawrence. The IRS offers tax credit to people buying homes for their first time in three years. The Tenants to Homeowner's program in Lawrence helps make buying a house more affordable.
Improved interest rates are what Charles Gruber and other real estate agents in Lawrence say is most influential on improving the housing market. Since the government bought Fannie Mae and Freddie Mac, interest rates have dropped half a percent from 6.25 to 5.75.
"The meltdown has not dampened spirits in Lawrence. People move here because they want to live here," Gruber said. Although reports from the city prove that the housing market in Lawrence is suffering, real estate agents are optimistic about the future.
"I just still have not found someone who wants to buy a townhome," said MacDonald, whose property has been on the market since April.
Lawrence real estate agent Doug Stephens said the housing market in Lawrence started to slow three years ago, prior to the national decline in home sales. All across the U.S. home sales have been down lately. Home sales in Lawrence have decreased substantially with every year for multiple reasons.
"It's a perception issue. People are concerned about the economy and the presidential election," Stephens said.
Real estate appraiser Greg Moore said the values of properties have not gone down, but they are flat. Houses have not appreciated in value when they should have. Another problem Moore has found is that home loans are less accessible than they have been for years.
"Availability of money is the hardest part. It used to be that you could get a home loan for 103 percent of the price. Now 95 percent is the best you can get with a high credit loan," Moore said. Other people in the real estate business see other issues taking precedence.
According to Joy Slavens of Miller and Midyett Realtors, home sales in Lawrence are down 30 percent. People hold off on buying homes before presidential elections. Slavens believes buyers are concerned that if a democrat wins, property capital gains taxes will go up.
Moore saw fewer than 100 homes sold last year, and said so far this year only about 50 have been sold. About 144 single-family homes were built on the west side of Lawrence. Moore said houses in the price range of 300,000 to 400,000 dollars were over-built and too much for the market to absorb. While fewer properties are built, it is becoming increasingly expensive to do so. Moore read a memo posted to the Lawrence city Website, lawrenceks.org, by Roger Zalneraitis, which says, "There were 207 building permits issued in August 2008 compared to 313 a year ago. Despite the lower number of permits issued, permit valuation and fees collected were higher in August 2008 than in 2007."
Rob Lang of Hedges Real Estate said the newly built houses were developed and built in western Lawrence at a higher price range than older homes being resold in Lawrence. Foreclosures have made old houses much cheaper than newly built ones.
"There are solutions out there," Lang said. Lang focuses on solutions to the housing market problems in Lawrence. The IRS offers tax credit to people buying homes for their first time in three years. The Tenants to Homeowner's program in Lawrence helps make buying a house more affordable.
Improved interest rates are what Charles Gruber and other real estate agents in Lawrence say is most influential on improving the housing market. Since the government bought Fannie Mae and Freddie Mac, interest rates have dropped half a percent from 6.25 to 5.75.
"The meltdown has not dampened spirits in Lawrence. People move here because they want to live here," Gruber said. Although reports from the city prove that the housing market in Lawrence is suffering, real estate agents are optimistic about the future.
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