Many people from my church and community ask me all the time how the market is doing. We have sold many homes this year but most from the buyer's side. What I mean is that the listings we have taken are not selling as much as buyers are buying other Realtor's listings. This could be for two reasons: 1. Our listings are overpriced or 2. Our listings are not marketable. When you analyze both of these questions you have to look at several issues. First, are the prices comparable with other homes in the area? I also look at specific locations and the average prices of those areas. I would have to say that the majority of my listings that haven't sold this year are marketable and well priced but there are other homes that are either short sales or foreclosures that may be bought first. Most sellers have a specific "bottom dollar" figure that they need to get for a home. If this number is not hit, they are content with leaving the property on the market, some for years at a time. I have one short sale that has been stalled at the bank for over 6 months with two offers on it. So in this case the sellers are willing to take less but the bank is not. This is disappointing as we could have sold this home twice and let the sellers off the hook by now. In the meantime, the house has been loosing value every month.
In addition, we have many land listings as well. These parcels are not selling for other reasons. In this area the home construction starts have fallen down to almost nothing. The only lots that are selling are doing so at very low prices. All of my land sales are from sellers that are not going to reduce the prices dramatically.
So the question becomes why are we representing more buyers that are closing than sellers that are closing? Well, it comes down to the fact that many of our buyers (who come from referrals, past clients repeating the process, and our website which averages 140 people per day) are picking off the lowest price homes in the best possible condition while the seller we represent are holding out at the lowest prices they feel they can sell without going short.
If this isn't clear give me a call and I will discuss it in more detail. We do have many quality homes for sale in the Clermont County area (35 listings today)and I do believe that they are well priced even though they are still on the market. These listings will sell for the prices that the clients want but it may take until next year to do so. In the meantime, if you are a buyer, we will help you find the best deal out there whether it is our listing or not.
Have a great day!
The Tye Group