This week I want to talk about the state of the Real Estate Market in Conshohocken & West Conshohocken. Just in case you didn’t know we are in a “Seller’s Market”. This happens when the demand is high and inventory is low which ultimately drives prices up. The market is cyclical and will once again be a Buyers Market in the future. How did this happen you ask? Well, from my experience over the years I have seen an increase in the rental demand in our area which in my opinion started the whole thing.
Young college students who rented in Manayunk while attending school in the Philadelphia area soon became young professionals and decided to stay and work in the area. Tired of the Manayunk partying scene they decide to graduate to the Conshohocken area where they could enjoy fine dining, a walkable town and still be close to the train and major roads. These young professionals would rent in Conshy for 2-3 years then decide they love it here and want to buy.
Two other culprits are the job transferee’s to this area and the over 55 community. We are now in the largest “downsizing” market in history. The Baby Boomers who live on the Main Line & surrounding areas in large homes have found themselves as empty nesters and want to downsize and simplify their lives. They are drawn to Conshohocken for the same reasons as the young renters but can afford more with their money.
The typical cycle would keep us balanced. Renters buy small homes as first home buyers, those selling the small homes would in turn buy the large homes from the downsized’s and they would either buy a condo or move to a sunny state. But that’s not happening. Everyone is staying and moving to Conshohocken. That’s why the apartments buildings were built and are usually full. The small home sellers are staying in Conshy but looking for a bigger homes that are rehabbed or brand new which is in direct competition with the over 55 who are buying the same. There is not enough inventory to support all of these buyers which puts the sellers in the driver seat.
I have seen homes listed at market value and receive 4 or 5 over asking offers within days or even hours of the home going on the market.
This is why we see new construction homes built in less desirable areas (main roads, industrial or near cemeteries) that sell out quickly. Look for more rehabbed homes and new construction to come so we can accommodate all who want to live here.
If you are considering selling your home, do it now!