The Price is Right! Or is it?
Real Estate Update with Cheryl Marlow
770 KKOB AM’s Residential Real Estate Specialist!
Pricing is one of the hardest issues to deal with as a realtor, because quite frankly every seller feels like their home is better than the competition and that it’s worth more. And I hate to be the bearer of bad news, but the reality is that we are still very much in a Price War and a Beauty Contest! Your home has to be priced extremely well in today’s market conditions in order to be the one to have that Sold Sign put in front of your house.
There are currently over 6300 homes available in the Greater Albuquerque Area. Typically we see about a 14% absorption rate in the overall market per month. In otherwords, 14 out every 100 available homes are selling per month which means 86 out of every 100 people who are wanting to sell their homes this month are not going to, so we really have to take these numbers into consideration. When the market was really struggling we saw about an 8% absorption rate. So although we are seeing an improvement, pricing is still critical! I am here to help sellers protect their equity, I’m not trying to beat them up about their price. At the same time I have to tell them the truth because in pricing the home right it will sell in a reasonable amount of time, it won’t get stale on the market and that’s where you really start eating into your equity.
Unfortunately, buyers these days are seeming to be very picky! So to have your home sold in today’s market you really need to be number one, two or three in the market in terms of your pricing and in terms of how well your home shows. You absolutely have to be the best deal! Buyers are not emotional buyers any longer. It used to be that a buyer would fall in love with a house that they had to have and then pay a reasonable price for that. But now, buyers are making more of a business decision when it comes to homes. They are looking for the best deal and frankly some buyers are looking to steal a home. The reality is, Albuquerque’s market is not as bad as other areas and you can’t steal a house, but you can find a very good deal and a motivated seller in any given location and price point. That’s what buyer’s are looking for..price and motivation on behalf of the sellers.
Call me today if you’re ready to be competitive in our market and get your home sold and I would be more than happy to advise and help with all of your real estate needs. Thank you.
Cheryl Marlow
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