Simply stated, many sellers are asking too much for their property.
No, not all homes for sale; but, enough to see a pattern of price reductions and homes sitting longer on the market.
A lot of people seem to be speculating a bit of a “crash” in a declining market. To their defense prices have indeed settled and declined a bit in many areas. In my opinion, a PRICE CORRECTION is happening.
With a lot of homes being objectively over-priced, seller’s are inclined to reduce the price of their property and once their home is in range of it’s intrinsic value…they sell.
From my observation based on my own clientele and my own listings there are still plenty of buyers out there and homes are still selling. My strategy as a listing agent is to price competitively and analysis objectively with adjustments, of course pending many subjective variables as well.
There’s often the fear and rebuttal that buyers always want to feel they “got a deal” so we need to add some cushion for negotiation. This strategy is absolutely suitable in certain cases; but, when you objectively price a house supported by hard facts and numbers supplemented by your agents ability to negotiate and sell, there should be no objection to get your number.
I believe pricing correctly puts you in an advantageous position against a slew of overpriced listings.
A property I sold recently was negotiated approx. $250,000 over ask intentionally pricing competitively with the market with the intention to create a frenzy which we successfully accomplished. There are plenty of examples of this same tactic of homes selling quickly merely based on correct pricing .
Let’s keep it simple. Whether your home for sale is a FSBO, a condo for sale, land for sale, etc. Price your home correctly from the beginning being realistically ambitious and you will sell your home fast, tagged with great marketing and a great realtor.
Would love to hear your opinions on today’s market as there are plenty of other thoughts that hold water.