The Changing Real Estate Market
As the third quarter statistics have come out for the real estate market, it’s apparent the real estate market is still doing very well and improving. On average nationally homes were selling in 84 days between July and September. Also, the median list price rose 7.6% to $199,128. Housing inventory dropped by 3.3% compared to last year.
Obviously the market is changing. However, what does that mean to the homeowner who is considering selling their home? What the numbers and the market conditions are indicating is that if (a) the home is priced correctly, and (b) it is in acceptable move in condition (what discerning buyers are looking for) more than likely it will sell quickly. Since housing inventory is low, there aren’t a ton of houses on the market. Which is good news for sellers as buyers are paying close to or above asking price on those homes that offer the best value.
So, how can you tell if your home is priced correctly? Or, if you haven’t priced your home yet, how do you arrive at that number that will get you top dollar and yet still sell quickly? Simply looking at nearby homes for sale can give a wrong impression for a few reasons. 1. They themselves may be priced too high. If you were to price your house based off theirs, it may sit around for months. 2. Other homes may have features that aren’t as obvious that may make them worth more or less than your house. For these two reasons and others, it is important to obtain a CMA (comparative market analysis) completed by a real estate professional.
A final important note to remember is more often than not, every home will sell at a particular price point and very rarely much higher than that. You can’t make a home with a market value of $250,000 somehow sell for $295,000 without undertaking major improvements and/or upgrades. And those may or may not be worth the time and investment. So while there might be a desired sale price you’d like to walk away with, you can only get so much for the house in its current condition. Unfortunately, for some homeowners emotional ties to the home can make it difficult not to over price. Price it right, and it will sell…. QUICKLY!