MARKET TRENDS

HOUSE SELLING TIP: To obtain an accurate micro-market assessment on which to base a decision about selling at a point in time, you need to find out the following information about home-sale activity in the local neighborhood:

• Look at the sales of listings that are similar to one you'd consider  selling that closed within the last three months. Did the listings sell close to the asking price or were they discounted? How long did they take to sell? How much inventory is there on the market now? Is the market dominated by REOs and short sales? Your real estate agent can help you with this analysis.

• You also need data on pending sales. These are listings that are under contract but have not yet closed. Were there multiple offers? Were they priced higher or lower than the sold listings? If lower, this indicates a declining market.

• How much standing inventory of unsold homes is there in the area? More standing inventory gives buyers an advantage because they have a lot to choose from. They can afford to be picky, and they will negotiate for the lowest price possible. Low-inventory, high-demand markets tend to favor sellers, and may have a positive impact on home prices.  

Supply and demand of homes for sale in the area, along with the state of the local economy, have a profound effect on local home prices. 

For all your real estate related questions and concerns and to obtain a FREE market assessment of your neighborhood, send an E-mail to info@BatesRealEstateGroup.comor call (415) 378-6614.