Greendale Housing Market by Quarter 2003 - 2007

Greendale Housing Market Jan. 1 - Sept. 23, 2001 - 2007

Greendale Home Sales Plunge

Sellers See Few Buyers; Homes Taken Off Market

by Ron Faiola

The US housing market has been in a slump and while Midwest home prices have been a bit more stable than other parts of the country, the National Association of Realtors report that sales of existing houses is at a five-year low.

In Greendale, statistics show that in the past four years, home listings have doubled, sales have fallen and expired listings (unsold homes taken off the market) have tripled. People want to sell their homes, but it is very diffficult to find buyers so houses sit unsold for months, even a year.

Two examples illustrate the current situation. A home on Arrowwood St., purchased in 2005 for $200,000 was sold in August, 2007 for $173,000 after being on the market for 9 months. Another home on Angle Lane went from an asking price in 2006 of $192,000 but sold almost a year later for $167,000.

In this buyer's market, there are many homes to choose from but where are the sales? Since the sub-prime credit meltdown, buyers are having trouble finding the needed financing and other buyers are wary of getting into the troubled market right now.

Another possible reason sales are so sluggish in Greendale is the high property tax rate. Potential buyers get cold feet when they see the taxes on Greendale homes and end up finding homes in other communities where the taxes aren't as high.

A typical Greendale home priced at $200,000 has a property tax payment of $4,300 to $4,900 this year. Taxes on similarly priced homes in the surrounding communities of Oak Creek, Bay View and New Berlin are at least $800 to $1,200 less per year.

Property taxes in Greendale are going to be even more of a concern for home owners this year since recent assessments by the Village went up while actual prices are going down. In addition to the assessments, Greendale tax payers also have the addition of $15 million for the recent Greendale High School renovations.

In October, the Village Board of Trustees will be conducting Committee of the Whole Budget Work Sessions to review the Village's 2008 budget. The public is encouraged to attend to provide input. The sessions will be held at 6:30 p.m. in the Court Room of the Safety Center, 5911 W. Grange Ave. on: Monday, October 8; Thursday, October 11; Monday, October 15 and Monday, October 22 (if necessary).

For home sellers, realtors have some basic tips to help create sales in this tough market. Renovate the bathroom and kitchen, remove the clutter and make minor repairs. Fresh paint or wallpaper adds charm and value. Keep the yard neatly trimmed in the summer, rake the leaves in autumn and shovel the walkways in winter.

When will this end? Analysts predict the housing market's slump will not hit bottom until the end of 2008. The severity of the slump has posed a risk that housing woes will spill over into the broader economy and cause a recession.

However, recent consumer confidence and job growth numbers show that a recession probably won't happen soon if at all. Plus the credit crunch is seen as easing which may help weary housing market.

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