I think we’re all grateful to close out 2024!
It began with an uphill battle in real estate. If you were a seller who was used to the heights of Covid when multiple offers were the flavor of the day, or one of the buyers reeling from the challenge of rising interest rates, or just dealing with one of the many challenges through these last 12 months from an uncertain economy to a world in turmoil, you weren’t alone. Politics this year has not been dull, and many on both sides of the aisle in Washington had deeply conflicting viewpoints as to how to lead our divided nation out of chaos. We all dug deep.
All indications are that real estate should be on the uptick in 2025 for our area. We have heard from the investor community in the last six weeks, and they’re back, ready to find the win in real estate in the Great Smoky Mountains. That’s good news on all sides!
So, what’s the best advice as you approach 2025? If you are a seller, 2025 should be encouraging. However, you must not be lackadaisical. You need to stage, address challenges, price your property at market value, and be ready to be flexible and a bit negotiable to have a good sale.
If you are a buyer, there’s also good news. You will again have property to choose from, so do your due diligence. You are going to be able to ask for closing costs, things to be fixed, and concessions to address challenges. Be smart and 2025 will be a good year for your investment portfolio!
Do I think there will be foreclosures and short sales in our area next year for buyers to take advantage of? The short answer is no. The longer answer is that cabin properties are generally providing positive cash flow or at least covering their expenses, even for properties where the owners may have overpaid. However, you may have some owners who are not making the big bucks they expected and/or are disillusioned with the red tape of the short-term rental Fire Marshall permit that is now required. You might be able to take advantage of their irritation.
If you are a handyman or have some skill and are willing to put in elbow grease, this market’s next season will be favorable for buyers. Purchase a cabin that needs updating, that needs added fire egress, and/or that needs new windows to please the Fire Marshall to be able to meet the bedroom count.
I think 2025 will be a year of real estate as usual: where the most creative, hard-working diligent person wins. Let us know if we can help you. We’re here to serve, give advice, and point you in the right direction as a part of your real estate adventure team.
