RealTrends August 2012 MarketUpdate
Check out the latest national market trends.
Price It Right – Sell It Now!
Ken H. Johnson, Ph.D. — Florida International University (FIU) and Editor of the Journal of Housing Research. Dr. Johnson explained that proper pricing has been studied by John R. Knight:
“The findings from this research indicate that, on average, properties which experience a listing price change take longer to sell and suffer a price discount greater than similar properties…
Sellers as well as Brokers/Agents should therefore be aware of the critical necessity of getting the price correct from the start. Sellers wanting to over list will ultimately take longer to sell and will sell their property for less, on average, according to Knight. Brokers/Agents’ desire to take a listing and get the price right later will ultimately lead to their working harder according to Knight, and they are not doing their sellers any favors. Thus, an initial and detailed analysis of the proper pri
ce is much more critical than many originally thought.”
As you can see from the graph to the right, properties in Broward County, Florida are selling within 91% of the original listed price and the days on market are getting shorter.
