While there are signs that today’s real estate market is recovering, the turnaround is going to be slow going. And what this means for you as a home seller is you need to get proactive, if you are serious about selling soon.
According to data from the Multiple Listing Service (MRED), average sale prices have decreased—in some areas, such as Chicago, by as much as an average 30% loss. Unfortunately, there is still an oversupply of properties on the market, including low-priced foreclosures and short sales, and not enough buyers to buy them. The buyers who are serious are often first-time home owners looking to qualify for the $8000 tax credit and get a steal of a price.
So what should you do?
The best strategy for a savvy home seller right now is simple: lower your price. This isn’t an easy answer, but it’s one that works. Lower your asking price, as reasonably as you can, until it generates interest.
Why is this the best answer?
Price is the first thing a buyer will notice, as we’ve written before in posts like How to Sell Fast and 5 Price Tags of Overpricing. Price is also the #1 thing that can turn a potential buyer away, especially when the competition is filled with lower-cost alternatives.
So consider reducing your price by $5K and seeing what happens. That’s the way to be aggressive in this market, and that’s the way to sell.