The first quarter market stats are in for metro Atlanta and for the intown market. In summary, the findings point towards market stability. It appears that prices have hit the bottom and are slowly creeping up.
Sale to Original list price ratios were in a range that was somewhat below points reached in early 2009. The Median Days on Market was also more stable within a close range during the past 3 quarters. While quite high, the "failed" listings (those that did not sell) were in line with the same period in previous years.
The most important information is that of the intown properties that did sell, 65.6% of sales required a price reduction in order to sell and had 203 days on market (median). These properties only got 73.5% of their original asking price in order to sell. The other 34.4% of sales were only on the market for 21 days (median) and got 96.9% of their asking price. Of these sales, 33.2% got 97.2% of their asking price in 21 days on market WITHOUT reducing the price.
What this tells us is that properties that are aggressively priced against their competition and are in great condition will sell fast and close to the asking price. If you get the price wrong in the beginning, it may cost you big in the long run. It will take MUCH longer to sell and will probably end up selling for less than it would if you put a great price on the property when it's new on the market.
This model is nothing really new. It's just more extreme than we've seen in the past. Buyers are looking for great deals. And there are great deals out there, for sure. The savvy buyer will recognize a great deal and will pay close to asking.. if it's a great deal. Buyers are looking at a lot of homes, and they don't want to do a lot of work. Your home must be in move-in condition and look very appealing AND have the most competitive price or they will move on. Contact me for more details about the stats and what they are telling us. I can even break it down by price range and area.