This is an interesting market in Southeastern Michigan. We are seeing a decrease in the number of closings and the volume of closings, but the average sales price is only down by about 1.5% compared to the same time last year. While that is a decrease in the average sales price, it is not nearly as large a decrease as I had expected.
After four months worth of data, I would surmise that the reason for the drop in average sales price is attributable to the relatively warm "first-time homebuyers market." Anecdotally, the $300,000+ price points of the market are stagnant, adding more weight to the lower priced home sales figures
The link below will take you to a brief summary of the residential and condo market here in Washtenaw County. The numbers were gleaned off of the Ann Arbor Area Board of Realtors site.
[ed. -gee, thanks for the depressing news. Why bother pointing this out?]
After the Jump: Honestly, your Realtor is trying to help you sell your home!
One of the largest knocks that Realtors take is that we get blamed for "giving the home away" or "pricing it too low." Remember, that for the most part, Realtors have done their homework before chatting about price with potential sellers. And while we would love nothing more than to sell that 850 square foot home for $500,000, the market will simply not bear out that price. With the market numbers shown above, it is getting more imperative for sellers to price their homes correctly.
Homes are still selling….The ones that are selling first and fastest are the ones that are priced at or below their nearest competition that ooze value!
My advice to sellers: you want your neighbor's house to sell yours. In English, this means assessing your competition's pricing and amenities and pricing your home at or below the competition's current price. When someone walks through the homes, you want the competition to justify your price and show the value in your home