The number of U.S. homes listed for sale rose in August compared to July, the 8th consecutive monthly rise, according to data released by real estate brokerage ZipRealty. In addition, 47% percent of homes on the market had at least one price reduction and an average of two price reductions. The Orange County market was among those with the largest median price reduction. Together with the looming "shadow inventory" of foreclosure and short sale listings, we can expect the downward pressure on home prices to continue well into 2011.
What does this mean to sellers? If you plan on selling in the next few years ... sell NOW and price it RIGHT. After you are in escrow, start looking for a replacement property while interest rates are still incredibly low. While prices will likely continue to decline, the interest rate plays a much greater role in overall affordability than most people realize. Email me at Nancy@TheOCExperts.com for an illustrative example of price declines vs. interest rate increases.
Seven Gables Real Estate
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Nancy, I have to agree with you, in Calvert County Maryland the sellers ,I believe have seen the light and are pricing their homes to sell. With winter on our heels the sellers are not looking forward to a continued decline.